Running head: TOYOTA MOTOR CORP PROFILE

Toyota Motor Corp Profile and 2011 Company Crisiss Analysis Kritsada Leela-Amornsin Hien Thi Dieu Dao San Diego State University

TOYOTA MOTOR CORP PROFILE Toyota Motor Corp Profile and 2011 Company Crisiss Analysis A. Brief description of the company: Toyota Motor is the worlds largest automotive manufacture (overtaking GM in 2008). It specializes in design, manufacture, sales of its products, providing vehicle and equipment leasing and financial services primarily to its dealers and their customers to support the sales of the vehicles. Its products include cars and minivans, SUVs (sport utility

vehicle), trucks, buses, related parts and accessories. It also produces car with hybrid engines, as with the Prius. The Camry, Corolla, Land Cruiser, and luxury Lexus line, as well as the Tundra truck are its popular models. Toyota sells its vehicles in approximately 170 countries and regions, and markets for its automobiles in Japan, North America, Europe and Asia. (Hoovers Online, n.d., retrieved December 3, 2011) and (Mergent Online, n.d., retrieved December 3, 2011) Contact information Address Japan Office 1, Toyota-cho Toyota, Aichi 471-8571, Japan Phone: +81-565-28-2121 Fax: +81-565-23-5800 http://www.toyota.co.jp (Hoovers Online, n.d, retrieved December 3, 2011) Ticker symbol: TM (NYSE) (Hoover Online, n.d., retrieved December 3, 2011) Primary US Office Lexington Ave., 49th Fl. New York, NY 10023 Phone: 212-223-0303 Fax: 212-759-7670

TOYOTA MOTOR CORP PROFILE B. Primary SIC Codes: Secondary SIC Codes: Primary NAICS Codes: Secondary NAICS Codes: 3711 - Motor Vehicles And Car Bodies 3537 - Industrial Trucks and Tractors 336111 - Automobile Manufacturing 333924 - Industrial Truck, Tractor, Trailer, and Stacker Machinery Manufacturing

(Toyota Motor Corp, n.d., retrieved Dec 3, 2011 Business & Company resources center) C. Top competitors: 1. Ford Motor 2. General Motor 3. Hyundai-Kia Automobile

( IBISWorld, n.d., retrieved December 3, 2011) D. Market share: 33611A Car and Automobile Manufacture in The US, 2010

( IBISWorld, n.d., retrieved December 3, 2011) E. SWOT analysis and 2011 company crisiss analysis

(DATAMONITOR, 2011, retrieved December 3, 2011)

TOYOTA MOTOR CORP PROFILE SWOT Analysis: 1. Strength: Strong focusing on R& D activities

Toyota Motor strongly concentrates on research and development (R& D) to develop new products and processes and improve the capabilities of the existing products such as: safety technology, personal mobility and environmental technology. In 2010, it invested $7.8 billion on R&D which accounted for 3.8% of the total sales. The strong R& D helped the company in bringing out latest technologies. For example, Toyota produced Toyota FCHV, a fuel cell hybrid vehicle which can start and operate in cold region at temperatures as low as 30 degrees Celsius. (DATAMONITOR, 2011, retrieved December 3, 2011) 2. Weaknesses: Lapse in product quality had a negative impact on its image In July 2010, it recalled about 480.000 Avalon sedan and Land Cruiser sport-utility due to the errors in steering parts. Furthermore, In August 2010, Toyota recalled 1.1 million Corolla and Matrix car because of a flaw which caused the stalling of the car at any speech without warning. Recently, due to detect in fuel pipes, pumps and spare tire carriers, Toyota further recalled approximately 1.7 million vehicles around the world in January 2011, The recalls may cause an impact on the confidence of the consumers in Toyotas image. ( DATAMONITOR, 2011, retrieved December 3, 2011) 3-Opportunity: The increasing demand for hybrid electric vehicles The increasing cost of energy and the emission which causes many environmental problems lead to grow the demand of hybrid electric vehicles (HEV). It is forecast that the demand for HEV and battery electric vehicles (BEV) will reach 5.2 million units by 2020.

TOYOTA MOTOR CORP PROFILE Take advantage from this trend, Toyota has spent large amount money for the development of hybrid vehicles such as Prius, which is one of the first mass-produced hybrid cars. ( DATAMONITOR, 2011, retrieved December 3, 2011) 4-Threat: Appreciating Japanese Yen against US dollar. Recently, Japanese appreciated against the US dollar. For instance: in the first three quarters of FY 2011 (from April 1 to December 31, 2011), the average exchange rate is $ 1= JPY 86.9 whereas this figure stood at $ 1= JPY 93.6 in those of FY 2010. Since most of the company transactions are conducted in the US dollar, the fluctuation of exchange rate can impact on the Toyotas export which accounts for 70% of its sales volume. ( DATAMONITOR, 2011, retrieved December 3, 2011)

TOYOTA MOTOR CORP PROFILE References Toyota Motor Corporation. (1 December). Hoover's Company Records, 41889. Retrieved December 3, 2011, from Hoover's Company Records. (Document ID: 168182711). Mergent Online, 2011, Retrieved December 3, 2011 from:

http://www.mergentonline.com.libproxy.sdsu.edu/companydetail.php?compnumber= 8318&pagetype=synopsis Toyota Motor Corp, n.d., retrieved Dec 3, 2011 from Business & Company resources center IBISWorld, 2011. Retrieved December 03, 2011 from: http://clients.ibisworld.com/industryus/Majorcompanies.aspx?indid=816#MP348599 Datamonitor (2011). Toyota Motor Corporation SWOT analysis. Retrieved Dec 3, 2011, from Business Source Premier database