Sample Essay on:
A New Investment for Toyota

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Essay / Research Paper Abstract

This 3 page paper considers a potential investment for Toyota, with the suggestion of investing in an additional testing facility and then looks at the problems that may be encounter gaining the funds and how the investment may be assessed. The bibliography cites 3 sources.

Page Count:

3 pages (~225 words per page)

File: TS14_TEtoyinv.rtf

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Unformatted sample text from the term paper:

in order to carry out ongoing tests on new and existing vehicle models with the aim of preventing the types of problems seen in 2009 and 2010 where there have been several technical problems and the need for large recalls (Maynard, 2010). The testing facility would help the manufacturer to identify potential faults and would be able to give increased levels of data to the existing research and development facilities in order to help prevent further occurrences as well as develop solutions that can be implemented in a cost effective manner. The assessment of the investment may be assessed in terms of the financial benefits, but these are likely to be indirect rather than direct, especially where the testing and assessment had the potential to identify problems with cars already on the road. 2010 has shown how the firm can loose a great deal in sales as a result of negative publicity and bad news, having an indirect cost, as well as the damage that is created to the firms reputation, this can become worse where there are delays and the issue becomes one that is ongoing. This initial investment is likely to be in the region of $2 million, and it will not provide direct revues, but it is expected to save in the region of $500,000 every year in terms of the research and development aid costs that it will reduce for the new car developments, however the real saving will be in the reduction of public relations disasters that occur as a result of problems, which may occur infrequently, but may have associated costs of many millions of dollars in lost revenues as well as potential legal liabilities. The difficulties may be in the way that this department or division will be shown to be cost ...

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