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Essay / Research Paper Abstract
This 5 page paper is an analysis of Toyota, performing a PEST analysis to consider the political, economic, social and technological influences. The paper then uses Porters Five Forces model to examine the company's position in the industry. The bibliography cites 6 sources.
Page Count:
5 pages (~225 words per page)
File: TS14_TEtoyota2.rtf
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Unformatted sample text from the term paper:
can appreciate the way in which the company has developed and may develop in the future. PEST Analysis Political Influences Toyota has benefited form the political influences in recent
years. Increased development of free trade on a global scale has helped Toyota increase sales. For example, the block exemption did give the European manufactures a level of protection but
this has now ended and as a result Europe is more open to competition and the prices of vehicles have fallen lowing profit margins for many companies (IMAP Focus Group
Report, 2002). The political relations between Japan and much of the rest of the world are also good, this aid the development of trade. Economic Influences In many
countries the beginnings of the twenty first century have been hard for automotive manufacturers. The slow down in growth and excess capacity have been hard. This has given consumers more
power, but as they have also had a lower disposable income they have been looking for more value. Toyota have been a company tat have persuaded a value strategy, good
quality but at a price lower than peers in the same market. The ability of Toyota to offer fining at low rates and a global operation which have been
able to achieve large savings in the value chain and educe the time of production for car have also meant the company has a leaner operations and less proportional working
capital compared to other companies. This is giving them a cost advantage, a strong position in economically advise condition. Social Influences In many countries where Toyotas are sold there
are changes in the social demands are also changing. There is an increasing move towards families have two or more cars, increasing the demand for cars (Department for Transport, 2002).
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