Case #2 Prius: Leading a Wave of Hybrids 1. What micro environmental factors affected both the first generation and second generation models of the Toyota Prius? How well has Toyota dealt with these factors? The micro environmental factors that affected the first and second generation of the Toyota Prius included the customers, competitors and the vendors of the vehicle. Customers were a primary factor in the success in the Toyota Prius.
They took bold moves such as the 10-year, 100,000 mile warranty, quality improvements, product reconfiguration, and “Buy-in” from their dealer, which is a critical customer link (Hawkins, Mothersbaugh, Best, 2010). Hyundai became the first auto manufacturer to offer a 10-year, 100,000 mile warranty. By offering one of the first 100,000 mile warranties, Hyundai was able to differentiate their brand from its competitors (Gunelius, 2011). Many of those competitors attempted to copy Hyundai warranty, but most couldn’t part with their lucrative extended warranty products. It was the perfect way for the company to prove it means what it says (Gunelius, 2011).
Ford Pinto Case Study MGT/216 March 9, 2011 Pinto In May of 1968, Ford Motor Company decided to introduce a subcompact car based upon a recommendation by vice-president Lee Iacocca. The decision to produce a subcompact car called the Pinto was an effort for Ford to battle foreign competition in the small car market. To accomplish their goal and have the new automobile in showrooms by the 1971 model introductions, the Pinto was designed and developed on an accelerated schedule (Legett, 1999). During the first few years sales of the Pinto were excellent, what ensues over the next decade will prove catastrophic for the auto giant. Decisions Made Fundamentally, the issues surrounding the Ford Pinto case were that various workers advanced through the company’s management very quickly because they shared similar views with top-level decision makers of the time.
Therefore the Prius had been consolidating its status as the dominant green car in the world, even the other green car with the different brand nameplates as BMW could not exceed it. Intermediaries: The second-generation Prius sold in United States in 2004 and gained a runaway success. During the period, many Toyota dealers got price premiums of up to 5,000 dollars over sticker price for the Prius, which was also a good way to promote and advertise the Prius. Q2. Outline the major macro-environmental factors – demographic, economic, natural, technological, political and cultural - that have affected the Prius sales.
Team Assignment (W10TA): Planning Production for Toyota North America Lexus RX 350, Successor in 2007 to the RX 330 Photo courtesy of Toyota Motor Company Assignment Taskings Address the following four exercises: Exercise 1: Making a Critical Assessment of the Toyota Production System (TPS) Today a. Demonstrate your team's basic understanding of the TPS by 1)defining in your team's own words any eight of the terms found athttp://www.toyotageorgetown.com/terms.asp, and 2) applying them to one or more of your team's own companies or other organizations. For example, Pokayoke can be defined as an approach to create mistake proofing through use of devices that detect or prevent production errors. At a software development firm, pokayoke might be applied through use of a modular development process that includes extensive software module testing before proceeding to module integration and total system testing. b.
Business Economics Vol. 46, No. 3 r National Association for Business Economics Ford Motor Company’s Global Electrification Strategy ELLEN HUGHES-CROMWICKn Ford Motor Company has developed global platforms for its vehicles, including hybrid electric vehicles and forthcoming battery-electric and plug-in hybrids. Providing electrification technologies is a key element of Ford’s broader strategy of producing vehicles that have improved fuel economy and reduced greenhouse emissions. The breadth of this effort—across a range of vehicle types—is unique in the automotive industry.
The speaker is the artwork and the words on the advertisement. Persons looking for a full size truck with better fuel economy, someone who wants to help the environment, and persons, who are looking to save money, by spending less on gas, are the audience of this ad. This ad appeals to ethos. Ford has been making cars for years and is a trademarked and trustworthy company, giving the customer a peace of mind. Adding to their credibility is the motto found on the ad, “Built Ford Tough”, which automatically shows that Fords products are reliable and strong vehicles, so if you ever purchase a vehicle from Ford, you would expect it to be those things.
The principles of monozukuri along with kaizen, meaning a change for the better, have driven Toyota to become one of the leading automobile manufacturers in the industry. Toyota uses these philosophies to operate in its home country of Japan as well as North America, Europe, Asia, Latin America, Oceania, and Africa. Toyota has globalized intensely over the years and continues to create a global business opportunity which means that their corporate responsibility programs must keep up with and exceed the spread of business across the globe. In a recent address the company CEO, Akio Toyoda, made the assertion that he believed that Toyota “should be a company people choose” and that people should be happy to have chosen. Toyota’s global vision is “Rewarded with a smile by exceeding your expectations”.
The case study is an article adapted from Chester Dawson and Yoshio Takahashi, “Toyota Makes New Push to Avoid Recalls,” The wall Street Journal, February 24, 2001. The case study first depicts, explains and justifies some of the reasons for the recalls from an executive management standpoint. Then, the article emphasizes on the new initiatives taken in order to better track quality products. Keywords: product quality, management, QUALITY MANAGEMENT – TOYOTA 3 Quality Management – Toyota The 2010 Toyota recalls of several major models has left the world perplexed. The series of problems started in October 2009 when the first recalls occurred.
The Model 3 is priced at an affordable $35,000 and has received much public excitement and received rave reviews. This vehicle has the possibility of jumping Tesla from a vehicle that produces 70,000 to 80,000 cars to ten times that in a few years. Cost-Reduction Initiatives: Tesla is currently in the process of building a Gigafactory to reduce costs. It’s possible this factory will allow for up to 30% lower costs for batteries. The Gigafactory will lower costs and increase outputs resulting in improving the bottom line.