Toyota's Business Strategy Research Paper Example | Topics and Well Written Essays - 1750 words

Toyota's Business Strategy - Research Paper Example The company has over 371,605 employees’ worldwide working in different positions (Ireland, Hoskisson, and Hitt 57). Toyota has successfully grown into a multinational corporation since they entered into the market. They have expanded into many countries and were rated as the best automobile company in 2008. Toyota operates brands such as Lexus, Hino and Daihatsu alongside other non-automotive companies. The Toyota Company bases its business strategy on five major principles. The first principle is introducing new and unique ideas into the market so as to outdo their competitors by achieving the dreams of their customers. The second principle is that they are always ready to develop, create and improve ideas and services in their existing markets. The third principle is teamwork since they are aware that cooperation fosters better production and nurtures success. Their fourth principle is fulfilling the market needs by producing what the market wants and adjusting their product ion with the market needs and demands. Their last principle is developing one another which imply that their employees get better by learning from each other and frequent training so as to ensure they have the best employees. Toyota has been in the forefront of innovation and was the proud inventors of the hybrid vehicle. The company invests in innovation and appreciates the opinion of all their employees. They have come up with cheaper production methods whereby they produce high quality and economical vehicles at considerably cheap prices. This enables them to have a price competitive advantage since they can respond to demand by altering their prices and still remain profitable. Producing high-quality vehicles has helped them build an irrefutable image in the market and have also gained customer loyalty in most of their customers. Toyota assures their customers that their low prices are due to better production methods and not