DESCRIBE WEAKNESS ÒF TOYOTA COMPANY IN 400 WORD?
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Toyota is the biggest manufacturer of cars forecast on selling over 150,000 to 10 million vehicles. As well as being a top seller, Toyota will likely outsell both Volkswagen AG and General Motors and remain the world’s best-selling automaker. Thought many successful events, Toyota has shown resistance to internal weaknesses and threats within the company. The company’s perseverance and strategies also helped them highlight many of their possible strengths and opportunities. Toyota will be able to point out any mistakes, make improvements, and take advantage of opportunities using a SWOT analysis. Toyota conducted a SWOT analysis to audit its company and its environment in order to make marketing decisions to maintain the value of its products.…show more content…
Ever since Toyota had an overwhelming amount of recalls because of faulty airbags, their reputation and brand name has been damaged. Knowing that “Toyota and Nissan Recall 6.5 million more vehicles…” (Document B) can be quite shocking. Toyota suffered from brand damage because people were scared of being seriously hurt while in their cars. Toyota should focus on marketing and be push forward so they can build the brand credibility that was once lost. The brand credibility also could have added to Toyota greatly underperforming in the United States. “Toyota’s fiscal second-quarter profit in North America declined over 3%” (Document E). If Toyota does not take action, their sales profits might decrease exponentially and they may not be able to recuperate. Toyota’s underperforming also contributes to the fact that the company itself has had major financial losses over the years. As shown in Document E, “..., an emerging-markets slowdown and sluggish North American profit”. If the company does not try harder to step out of the shadow of emerging markets, they will never be able to improve their losses. If Toyota does not take action, they will see their profits declining for disregarding their…show more content…
An example of one threat is the government regulations that affect their profits. In Document E, Toyota is aware that “the strong dollar made exporting vehicles and components from its U.S operations are less profitable...,” It is a big challenge that Toyota has to deal with because it can be difficult to make a profit in North America because exporting cars and trucks can be expensive. As a result of these external issues, Toyota should have more factories in North America. To add to the issue, the value of the yen is decreasing which directly challenges the profits they make each year. “Toyotas wariness highlights the uncertainties it faces some of its biggest mark