IntroductionExecutive summaryDescription of
businessFinancialsMarket AnalysisExplore political and economic
risksMarketing Strategy and solutions
Toyota
Executive SummarySince Toyotas founding we adhered to the core
principle of contributing to society through the practice of
manufacturing high-quality products and services. Our business
practices and activities based on this core principle created
values, beliefs and business methods that over the years have
become a source of competitive advantage. These are the managerial
values and business methods that are known collectively as the
Toyota Way (The fourteen principles of the Toyota Way, 2003).
Toyota
Description of businessToyota Motor Corporation designs,
manufactures, assembles, and sells passenger cars, minivans,
commercial vehicles, and accessories in Japan, North America,
Europe, Asia, and globally. mini-sized cars, passenger vehicles,
commercial vehicles, and auto parts under the Toyota brand name;
mid-size cars Toyota
FinancialsToyota
Market AnalysisTarget BrazilEconomic infrastructureGDP 2.253
trillionConsistent economic growth, relatively low inflation rates
and improvements in overall living conditionsVast amount of
resourcesRise of the middle classToyota
6
Market AnalysisToyota
Poverty and Regional GrowthToyota
Systematical approachUtilizing a systematical approach by
defining and solving the following:Economical risksPolitical
risksLimits Toyota will face with expansion in BrazilToyota
DefineMarketing vision: To increase sales and productivity
Target Market: BrazilIdeal customer: Middle ClassProduct: Compact
automobiles which exceed 100mpg
Toyota
Political RisksDefinedHigh costs due to labor laws(CLT)16,000
labor unionsWorking hours may not exceed 48 hours a weekEvery
employee is entitled to 30 days PTO every 12 months; If dismissed
must pay back 1/3 of vacation earnedAnnual bonus equal to one
months salary120 days of leave for pregnant womenTransportation and
meals
Toyota
Political Risks
Tax RatesTariffs
Toyota
Economical RisksInflation continues to riseInterest rates on the
riseForeign exchange and capital inflowsFiscal policies
Toyota
Specific LimitationsThreatsCultural differencesValues and
normsSocial structureGroupsReligious and ethical
systemsLanguageEducation
Toyota
Success
BenefitsSize of EconomyEconomy Growth
CostsCorruptionAdvertisingLegal Costs
OverallSuccessRisksPolitical risksEconomic risksCultural
risksToyota
Strategies and SolutionsLocalization strategyIntroducing
affordable fuel economy cars Will stabilize the costsWill create a
demand due to lower fuel costsContinue to reduce labor and material
costs will help fight economic and political risksThis strategy
will help fight continued inflation rates
Toyota
Localized ProductionOpening factories throughout Brazil will
help create:TrustLoyaltyBuild rapportCreate jobs and better cost of
living
Toyota
Strategic AlliancesUnionsPoliticalCompetition
UnionsPoliticsHondaFordChevyToyotaTogetherSuccessToyota
Cultural StrategyHiring managers and executives within the
cultureGiving back to the community byFixing roads and
housingSetting up committees to feed the poorImplementing tuition
reimbursement for employees going to college within the
communityOnly buying products from Brazil for manufacturing
Toyota
ConclusionToyota
References2014 Index of Economic Freedom, Brazil. (2014, July
13). Retrieved from The Heritage Foundation:
http://www.heritage.org/index/country/brazilBrazil. (2014, August
8). Retrieved from The World Bank:
http://data.worldbank.org/country/brazilBrazil's surging auto
industry tries to keep up with demand. (2012, January 27).
Retrieved from Cars Direct:
http://www.carsdirect.com/automotive-news/brazils-surging-auto-industry-tries-to-keep-up-with-demandDe
Sainte Croix, S. (2012, March 23). Middle Class Growth in Brazil:
Daily. Retrieved from The Rio Times:
http://riotimesonline.com/brazil-news/rio-business/middle-class-growth-in-brazil/
Toyota
ReferencesJordan, L. (2012, September 21). Brazil says over 50%
in Middle Class: Daily. Retrieved from The Rio Times:
http://riotimesonline.com/brazil-news/rio-politics/brazil-says-over-50-in-middle-class/#Malinowski,
M. (2009, August 13). Tax Laws discourage firms from outsourcing
abroad. Retrieved from Business insights in Latin America:
http://www.bnamericas.com/news/technology/Tax_laws_discouragMenghani,
J. (2013). Marketing Strategies and Plans of Toyota Motors. Vile
Parle: M.L. Dahanukar College of Commerce.
Toyota
ReferencesMuller, J. (2012, October 22). Why The World's
Automakers Love Brazil. Retrieved from Forbes:
http://www.forbes.com/sites/joannmuller/2012/10/05/why-the-worlds-automakers-are-loving-brazil/Paying
taxes. (2014, August 9). Retrieved from The World Bank:
http://www.doingbusiness.org/data/exploretopics/paying-taxes
Toyota
