Escolar Documentos
Profissional Documentos
Cultura Documentos
OF
TOYOTA KIRLOSKAR MOTOR LIMITED
-
MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT
STUDIES
Affiliated to Guru Gobind Singh Indraprastha University, Delhi
PSP Area, Plot No.1, Sector 22, Rohini Delhi 110086
STUDENT UNDERTAKING
This is to certify that I have completed the Project titled “”Customer Satisfaction
of Toyota Kirloskar Motor Limited “” in under the guidance of “Dr. Lokesh Jindal
in partial fulfillment of the requirement for the award of degree of Bachelor of
Business Administration at Maharaja Agrasen Institute of Management Studies,
Delhi. This is an original piece of work & I have not submitted it earlier
elsewhere.
MAYANK CHUGH
III Sem
Enrollment No.: 0996111708
This is to certify that the project titled “Customer Satisfaction of Toyota Kirloskar
Motor Limited” is an academic work done by “MAYANK CHUGH” submitted in the
partial fulfillment of the requirement for the award of the degree of Bachelor Of
Administration from Maharaja Agrasen Institute of Management Studies, Delhi,
under my guidance and direction. To the best of my knowledge and belief the
data and information presented by him/her in the project has not been submitted
earlier.
With the blessings of almighty I was able to undertake and complete my project
work on Customer Satisfaction of Toyota Kirloskar Motor Limited. I would like to
thank all those who were always by my side to make my efforts fruitful.
My sincere thanks to my course coordinator, Dr. Lokesh Jindal who helped me in
completion of the project, without whose help the project would not have been
completed.
I, therefore, acknowledge my indebtness to all who generously helped by
sharing their valuable time and experience with me, without which this project
would have never been completed.
In the outset, I convey my sincere Thanks to all those who spared their precious
time for me. For giving me once again a great opportunity to work on the
project and solving our problems, doubts, queries, which I had during the
making of my project.
TABLE OF CONTENTS
Page No.
Chapter 5 Conclusion
49
Chapter 6 Recommendations
50
ANNEXURE A1-A9
Annexure I Questionnaire
A1-A2
Annexure II Product Mix of Toyota
A3-A8
Annexure III Newspaper Article A9
Bibliography
Introduction
Besides the burgeoning demand of auto components from global majors, the
domestic automobile industry has been showing a sparkling growth caused by
increasing customer base and affordable loans. Based on this, the turnover of
the Indian auto component industry is expected to touch US$ 18.7 billion by
2009 and estimated to reach US$ 40 billion by 2014.
In tractors production, India is one of the two largest manufacturers in the world
along with China. The subcontinent stands as the 4th largest producer of trucks
in the world. Coming to the passenger car segment, the country is positioned
11th in car production in the world. The Indian passenger car market is far from
being saturated leaving ample opportunity for volume growth since the per
capita car penetration per 1000 is only 7 compared to 500 in Germany. The
production of cars in the country has
been growing at a mammoth 27.58% per annum from 2002- 03 onwards. In
general, cars are broadly classified as Mini, Compact, Mid-Size, Executive &
Premium varieties. There has been a steady rise in compact car production from
333,000 in 2002-03 to 715,000 in 2005- 06, mid-size cars from 122,000 to
204,000 nos., executive cars from 2000 to 23,000 nos. and premium variety
cars from 4000 in 2002-03 to 5000 nos. in 2005-06. The mini car segment
production reduced from 150,000 in 2002-03 to 98,000 nos. in 2005-06. These
statistics vividly reveal the increasing capacity of the Indian customer, thus
driving the passenger car demand rapidly up the price ladder. Analysts
speculate car production in the sub-continent to touch 1575,000 in 2009 and
2654,000 by 2014. Cars and MUVs exports rose from 72,000 in 2002-03 to
reach 176,000 nos. in
2005-06 with growth @ 48.155 per annum from 2002-03 onwards.
Kinetic Engineering Ltd., Majestic Auto Ltd., Kinetic Motor Company Ltd. and
Royal Enfield of Eicher Ltd. Out of the aforementioned, Hero Honda accounts for
39.55%, Bajaj Auto about 26.87%, TVS Motors 17.98%, Honda Motors 7.94%,
Yamaha Motors 3.27%, LML 1.41% and the remaining 2.98%
of the total 2 wheelers production in the country. The exports of two wheelers
made a significant growth from a level of 180,000 in 2002-03 to reach 513,000
nos. in 2005-06. The latest estimates put up production of 2 wheelers to 13.6
million by 2009.
The production of Multi Utility Vehicles (MCVs) has been showing sparkling
growth @ 23.84% per annum, Light Commercial Vehicles (LCVs) @ 35.49% and
Medium & Heavy Commercial Vehicles (M & HCVs) @ 27.33% per annum from
2002-03 onwards in India. Industry analysts put up MUVs production to reach
207,000 in 2009 and 277,000 in 2014. Commercial vehicle exports made a
steady growth from a level of 11,000 in 2002- 03 to 41,000 in 2005-06. The
manufacturing units for four wheelers in India constitute of Japanese OEMs
The tractors production in the country has been making a steady growth @
25.80% and three wheelers @ 19% per annum from 2002-03 onwards. The
Indian automobile industry is flooded with huge investments involving green
field and brown field projects.
Hyundai plans to set up a LCV plant at Pune, India. Toyota would be investing
US$ 4.2 billion for starting production of small cars & Suzuki plans to invest US$
1.6 billion in India.
Isuzu Motor & Nissan Motor belonging to Hitachi Ltd. Of Japan would begin
manufacturing cars in India.
Tata Motors is setting up its novel small car production facility near Kolkata.
Hyundai plans to make India an export base for small cars. Telecon is investing
about US$ 54 million for production of earth moving vehicles/components at
Kharagpur in India. Also, Honda Motorcycles & scooters
have ambitious plan for making this sub-continent a hub for two wheelers
exports. All these forward towards further increase in demand for auto
components.
Along with the above, long term availability of raw materials, good recycling
ability, a relatively favorable price and the large experience based knowledge
favor steel as a choice for use in auto
component manufacturing.
The steel requirements in general for engine parts such as fan, pulley, piston
pin & oil fan are met by low carbon steels, medium carbon steels/alloy steels
based on requisite mechanical properties are applied for crankshafts,
connecting rods, rocker arm shafts e t c . W h i l e l o w carbon/low carbon alloy
case hardening steels are u s e d f o r moderately/severely stressed
components. Transmission parts such as input shaft, output shaft, front axle,
rear axle, kick down & reverse bands, pinion shafts,
clutch discs & plates, automatic transmission components etc. are made with
medium carbon/alloy steels while the gears are made of low carbon/low carbon
alloy case hardening steels. Suspension and steering parts such as knuckle ball
studs, arm sector shafts, arm parts, pitman & idler arms, struts, tie rod ends,
ball joint studs, center link etc. are either made of medium carbon steel or alloy
steel depending upon the conferred properties, spring steels for suspension
springs while low carbon case hardening steels are applied for components that
Steels are shaped, formed, heat treated and/or machined into automotive
components fulfilling the specific design criteria requiring critical set of
properties like strength & toughness, fatigue & fracture resistance, wear
resistance, corrosion resistance etc. Technology of machining, fabricating or
forming of engineering components has undergone rapid changes with the
advent of Computer Aided Manufacturing systems and robotics. Consequently,
the auto component manufacturers require the highest degree of consistency in
the quality of the steels both metallurgical and dimensional. Also, the changes
in customer expectations for lighter, more powerful & fuel efficient vehicles with
greater
degrees of reliability & safety will continuously drive the steel industry towards
development and manufacturing of steel with closer band of metallurgical
properties, physical properties, leaner alloy compositions, higher strength to
weight ratio etc. at the most competitive prices.
Today, automobile sector accounts for 7% of the total steel consumed in India.
The sparkling growth of the automotive component industry and the automobile
industry in India translates into a tremendous potential and opportunity for
domestic steel producers to cater to the needs of these industries where steel is
the most vital input.
India Emerging as Hub for Auto Components Indian auto component industry is
fast emerging as an
attractive OEM & Tier 1 supplier. The auto component exports from India rose
from a mere US$ 0.760 billion in 2002-03 to US$ 1.8 billion in 2005-06 showing
growth @ 45.61% per annum from 2002-03 onwards. In 2005-06, about 36% of
the component exports headed for Europe, 26% for America, 16% for Asia, 10%
Based on the sparkling growth in demand for auto components, global auto
majors and domestic giants have been investing heavily in India because of
India's competitive advantage. Accordingly, the total investment in Indian auto
component industry has been showing a tremendous growth @ 22.12% per
annum from 2002-03 onwards. The investment is expected to rise further with
huge strides. Among various investments pumping in India, auto parts maker
Robert Bosch of Germany will investment US$
201.4 million in its Indian subsidiaries over two years with bulk of investment in
Motor Industries Co. Ltd.(MICO). Hitachi Ltd. of Japan is planning to start auto
component manufacturing in India with its
O E M s - I s u z u Motor & Nissan Motor to begin manufacturing cars in India.
GKN Driveline, a wing of UK based auto c o m p o n e n t manufacturer GKN
plans to open a new manufacturing
facility in India. Dubai based auto ancillary Parts International Company plans to
invest about US$ 3.6 million in India over three years which includes setting up
a manufacturing facility to service exports to CIS & SAARC countries. Fiat India
has been taking various measures to become a global sourcing hub for
components by exporting components worth US$ 8.3 million last year to its
operations in South Africa and plans to source components worth US$ 200
million. Toyota already invested US$ 197 million to supply transmission system,
gear boxes, axles, propeller shafts and aluminium pressure die casting products
to global operations. Delphi is planning to source components such as piston
rods, steering system, drive shafts, catalytic converter, stampings in power
train, sheet metal/stampings for chassis
and electrical parts like wiring harnesses & armature motors worth US$ 250
million by 2007. General Motors which presently is sourcing components worth
US$ 6 million from Indian suppliers intends to ship parts worth US$ 1 billion for
Along with this, over 20 OEMs have set up International Purchasing Offices
(IPOs) in India for components and the figure is expected to double by 2010.
Conclusions
The story of Toyota Motor Corporation began in September 1933 when Toyota
Automatic Loom created a new division devoted to the production of
automobiles under the direction of the founder's son, Kiichiro Toyota. Soon
thereafter, the division produced its first Type A Engine in 1934, which was used
in the first Model A1 passenger car in May 1935 and the G1 truck in August
1935. Production of the Model AA passenger car started in 1936.
Although the Toyota Group is most well known today for its cars, it is still in the
textile business and still makes automatic looms (fully computerized, of course),
and electric sewing machines which are available worldwide.
Toyota Motor Co. was established as an independent company in 1937.
Although the founding family name is Toyoda, the company name was changed
to:
Signify the separation of the founders' work life from home life;
Simplify the pronunciation, and
Give the company an auspicious beginning. Toyota is considered luckier than
Toyoda in Japan, where eight is regarded as a lucky number, and eight is the
number of strokes it takes to write Toyota in Katakana.
During the Pacific War the company was dedicated to truck production for the
Imperial Army. Because of severe shortages in Japan, military trucks were kept
as simple as possible. For example, the trucks had only one headlight on the
center of the hood.
Commercial passenger car production started in 1947 with the model SA. In
1950 a separate sales company Toyota Motor Sales Co. was established (which
lasted until July 1982). In April 1956 the Toyota dealer chain was established.
Generic strategies were used initially in the early 1980s, and seem to be even
more popular today. They outline the three main strategic options open to
organization that wish to achieve a sustainable competitive advantage. Each of
the three options are considered within the context of two aspects of the
competitive environment:
1. Cost Leadership
2. Differentiation
Toyota has factories all over the world, manufacturing or assembling vehicles
for local markets, including its most popular model, the Corolla. Toyota has
manufacturing or assembly plants in the United States, Australia, Canada,
Indonesia, Poland, South Africa, Turkey, the United Kingdom, France, Brazil, and
more recently India, Argentina and Czech Republic. Toyota also builds and sells
cars in China in a joint venture with Tianjin Xiali. Toyota New Zealand
assembled vehicles until 1998, when it switched to importing cars from Japan
and Australia. Cars from these plants are often exported to other countries.
GROWTH
Profit at Toyota Motor jumped 29 percent in the quarter just ended as the
company, the world's second-largest automaker, reaped the benefits of an
ambitious global expansion with sales rising in every major overseas market.
Toyota reported net income of 286.6 billion yen ($2.59 billion), or 86.22 yen a
share, for the quarter ended June 30, compared with 222.6 billion yen, or 64.83
yen a share, in the same quarter last year on growing sales of minivans and
sport-utility vehicles in the United States and a big jump in sales in Asia.
Toyota's profit for the quarter was slightly more than the combined profits of
General Motors and Ford Motor for the same period.
Over all, Toyota's revenue for the quarter ended in June increased 10 percent to
4.51 trillion yen ($40.75 billion) from 4.09 trillion yen a year earlier, as its global
vehicle sales volume increased 12 percent to 1.79 million vehicles.
Toyota's vehicle sales in Asia for the quarter jumped by two-thirds to 202,000
vehicles, whiles its sales in Europe rose 6 percent to 247,000. In the crucial
North American market vehicle sales gained 12 percent to 572,000 vehicles.
The fact that Toyota was able to simultaneously increase sales volumes in all
the major overseas markets in the last quarter shows the company has become
adept at developing vehicles for very different customers, analysts said. In the
last few years, Toyota rolled out a series of new minivans and S.U.V.'s for the
United States market, developed new small and inexpensive sedans for Asia
and, in Europe, unveiled sporty cars powered by the kind of diesel engines
popular there.
''The company has been very successful at introducing the right products,'' Mr.
Endo said. ''Toyota seems to be the only volume maker in the world whose
sales are growing almost everywhere.''
For the fiscal year ending in March 2005, Toyota forecast global sales of 7.2
million vehicles, which would be an increase of 7.2 percent from 6.72 million in
its last fiscal year. The company forecast North American sales would increase
5.6 percent, to 2.22 million vehicles.
Toyota said cost-cutting also contributed to its profit growth for the quarter. The
company is aiming to cut costs by 200 billion yen ($1.8 billion) for the year
ending next March, mostly by simplifying the designs of new vehicles so that
more parts can be shared among different models and assembly is easier.
Toyota said such cost-saving measures increased its operating profit by 40
billion yen ($361 million) for the quarter just ended.
The world's most profitable automaker - and soon to be its biggest - now has a
15% market share in the U.S., where it sold 2.5 million cars and trucks last year.
Because Toyota is already bigger than Chrysler in the U.S. and is about to pass
Ford, Automotive News, the industry bible, has retired the "Big Three" moniker;
GM (Charts), Ford (Charts), and Chrysler (Charts) will henceforth be known as
the Detroit Three.
Toyota's presence in the U.S. is now so routine that the 3,322 business leaders
Fortune surveyed named Toyota one of America's Most Admired Companies for
the second year in a row - boosting it to third place overall, behind two
American perennials, General Electric and Starbucks. Toyota has returned the
compliment, making an entrance into that most American of sports - we're
But the most important reason that Toyota became America's most prestigious
automaker is that this quintessentially Japanese company has been better than
Detroit at reading the American car psyche. Toyota has never been a style
leader. It has never created a car as iconic as, say, the Ford Mustang. But it
discerned correctly that many car buyers don't need the next hot thing. They
just want a trouble-free product that looks fine - and they will pay a premium for
it.
One way Toyota reads the public mind is the think tank at Toyota Motor Sales in
Torrance, Calif., where a research department staffed by 116 people monitors
the industry and keeps tabs on demographic and economic developments. Its
mission: to predict consumer trends and create a lineup of cars and trucks to
capitalize on them. Each professional is expected to spend time out in the field
talking to car buyers. The Japanese have a name for it: genchi genbutsu - go to
the scene and confirm the actual happenings.
Most big companies have something like it; what distinguishes Toyota is that its
executives actually listen and have turned those insights into profits. When
researchers found in the mid-1990s that Toyota was losing young buyers to
hipper brands like VW, its marketers dreamed up the hugely successful Scion.
Another case: GM was fooling around with electric cars as far back as the
1980s, but it was Toyota that tapped into the appeal of the green revolution
Toyota has high expectations: more than 200,000 truck sales this year (nearly
twice that of the previous smaller model), 300,000 eventually. It's a direct
challenge to Motown. Full-sized pickups are the highest-volume vehicles sold by
the Detroit Three and make a tidy profit. Buyers are loyal, and imports have had
a tough time breaking in.
Toyota approached the new Tundra cautiously - and characteristically. Planning
started seven years ago, when engineers gathered in 2000 to drive different
trucks and experiment with hauling trailers - a weakness in the old version.
They even stopped at national parks to talk to recreational users. Such nitty-
gritty consumer study, bolstered by other research, told Toyota it should stay
away from cowboy imagery and country music; the competition had covered
that territory. "Buyers said, 'Don't waste our time. Tell me why I should buy the
truck,'" Lentz says. The upshot: Emphasize brute strength and performance.
During the Super Bowl, Toyota did just that. One ad for the Tundra showed it
hauling a 10,000-pound load; another depicted it braking inches before it
hurtled off a precipice (the truck was restrained by a tether). To show that it
was serious, Toyota decided to build a brand-new plant dedicated to this model
in San Antonio. Far from normal transportation routes, the location is difficult
logistically, but it did plop Toyota in the heart of truck country - and in a big,
powerful state.
Toyota's management philosophy has evolved from the company's origins and
has been reflected in the terms "Lean Manufacturing" and Just In Time
Production, which it was instrumental in developing. The Toyota Way has four
components:
And how will Toyota achieve such a dramatic rise in HEV fortunes? Well,
factoring in high consumer demand - the automaker could sell every hybrid it
produces twice over with a waiting list remaining - and a reduction in production
costs since integrating the alternative technology into its traditional assembly
line process - all Toyota hybrids are now built alongside conventionally-powered
models
instead of the dedicated plant that previously built Prius; and then taking in
consideration that increased volumes will reduce component costs and
therefore increase the potential for HEV profitability - prices
will inevitably come down making the technologys value proposition more
attractive to mainstream (read lightweight environmentalists) consumers.
Watanabe is planning to reduce production costs and in the process halve the
$5,000 price premium average HEV buyers get charged over a conventionally
powered model with the same features, or so the Detroit News reports.
But in the case of Toyotas new Highlander and Lexus RX 400h, which along with
Hondas new Accord Hybrid buck HEV convention in order to deliver strong
performance benefits along with fuel savings and significant emissions
reductions, there are no gasoline-only-powered equivalents to compare them
to. Rather, the Lexus, for instance, would need to be tested side-by-side with a
V8-powered luxury SUV to equal its luxurious appointments and acceleration off
the line and during passing. It matches BMWs 4.4-liter X5, for instance, and
prior to this year completely outclassed Mercedes-Benzs ML430 for straight-line
performance at 6.7 seconds to 60 mph.
There has been some talk among HEV insiders that a driver controlled system is
on the way, which would optimize fuel savings when “dialed in” to do so, or
performance if out-accelerating your stoplight neighbor is needed. Such a
system would be flexible enough for one vehicle and engine configuration to
meet the needs of multiple driving styles, and in-turn, reduce production costs
overall.
And if Toyota wants this or any other technology to become popular, it has
ample capitalization to make sure its plans are carried out; which is the real
reason consumers shouldnt be concerned about any negative implications that
may or may not revolve around jumping on the hybrid bandwagon.
Still, there are factors outside of Toyotas direct control that could keep the
automaker from reaching its short and long-term goals, the first being a
shortage of hybrid parts; a problem that has plagued the company throughout
the year. Watanabes predecessor, Fujio Cho, had previously set his sights on
300,000 HEV unit sales globally for 2005, but the automaker is currently only on
target for 240,000 to 250,000 deliveries. According to Jim Press, Toyota Motor
Sales, U.S.A. VP of sales, a lack of batteries and other components are the
cause of the problem.
MARKETING
What is marketing?
Businesses do not create customer needs or the social status in which customer
needs are influenced. It is not McDonalds that makes people hungry. However,
businesses do try to influence demand by designing products and services that
are
• Attractive
• Work well
• Are affordable
• Are available
Businesses also try to communicate the relevant features of their products
through advertising and other marketing promotion.
MARKETING MIX
The marketing mix is generally accepted as the use and specification of the four
Ps describing the strategic position of a product in the marketplace. One version
of the origins of the marketing mix starts in 1948 when James Culliton said that
a marketing decision should be a result of something similar to a recipe. This
version continued in 1953 when Neil Borden, in his American Marketing
Association presidential address, took the recipe idea one step further and
coined the term 'Marketing-Mix'. A prominent marketer, E. Jerome McCarthy,
DEFINITION
Although some marketers have added other Ps, such as personnel and
packaging, the fundamentals of marketing typically identifies the four Ps of the
marketing mix as referring to:
Product -An object or a service that is mass produced or manufactured on a
large scale with a specific volume of units. A typical example of a mass
produced service is the hotel industry. A less obvious but ubiquitous mass
produced service is a computer operating system. Typical examples of a mass
produced objects are the motor car and the disposable razor.
Price – The price is the amount a customer pays for the product. It is
determined by a number of factors including market share, competition,
material costs, product identity and the customer's perceived value of the
product. The business may increase or decrease the price of product if other
stores have the same product.
Making large changes in any of the four Ps can be considered strategic. For
example, a large change in the price, say from $19.00 to $39.00 would be
considered a strategic change in the position of the product. However a change
MARKET RESEARCH
Market research is for discovering what people want, need, or believe. It can
also involve discovering how they act. Once that research is complete it can be
used to determine how to market your specific product. MR-Anywhere is a very
good platform for market research and analysis
For starting up a business there are a few things that are important:
Market information
Market information is making known the prices of the different commodities in
the market, the supply and the demand. Information about the markets can be
obtained in several different varieties and formats.
Examples of market information questions are:
Who are the customers?
Where are they located and how can they be contacted?
What quantity and quality do they want?
When is the best time to sell?
Market segmentation
Market segmentation is the division of the market or population into subgroups
with similar motivations. Widely used bases for segmenting include geographic
differences, personality differences, demographic differences, use of product
differences, and psychographic differences.
Market trends
But besides information about the target market you also need information
about your competitor, your customers, products etc. A few techniques are:
Research Methodology
3.4) Methodology
3.4.1) Population
3.4.2) Sample Design
3.4.3) Sample Frame
3.4.4) Sample Size
3.4.5) Sources of Information
3.4.6) Data Collection Tools
The object of report is not only to focus on competitors but also to get the
competitive position in the national as well as international market through
customer satisfaction. These are as follows:
3.4.1 Population
The main emphasis of the study was on the customers of Toyota in New Delhi.
• Exploratory research
• Descriptive research
• Causal research
There are two basic types of descriptive research: longitudinal studies and cross-
sectional studies. Longitudinal studies are time series analyses that make
repeated measurements of the same individuals, thus allowing one to monitor
behavior such as brand-switching. However, longitudinal studies are not
n = Z2.σ2/E2
where
Z = Z value based on level of confidence
σ = sample standard deviation or estimate of the population standard deviation.
E = acceptable magnitude of error, plus or minus error factor.
1. Primary Sources
2. Secondary Sources
Primary Resources
Secondary Sources
Primary Sources
• Questionnaire – To analyse buying behaviour and in order to gain an
insight into the buyer need-satisfaction level, a questionnaire was
formulated and administered among 70 people.
• Interviews were also conducted with some dealers and retailers to get the
related information.
Secondary Sources
• Books
• Newspaper
• Internet websites
Since the road to improvement is never ending, so this study also suffers from
certain limitations. Some of them are as follows:
24%
YES
NO
76%
INFERENCE:
According to the survey, most of the people like Toyota cars and they trust
Toyota.
17%
SATISFIED
DISSATISFIED
83%
INFERENCE:
83% of the Respondents were satisfied with their cars and the services of
TOYOTA.
NO
40%
YES
60%
INFERENCE:
However 40% of the Respondents were not happy at the same time.
This shows that consumers are happy with the reasonable charges
according to the quality and their delivery on time.
100 78
80
60
40 22
20
0
NO
YES
INFERENCE:
78% of the respondents felt that Toyota has the most fuel efficiency.
According to the survey, most of the people are satisfied with the fuel
efficiency of cars of Toyota.
FEATURES OF TOYOTA
NOT SO GOOD
8%
VERY GOOD
10%
SATISFACTORY
12%
GOOD
70%
70% of the respondents felt that the features of the Toyota are good.
We can analyse that people admire Toyota’s features and are satisfied.
40 38
35
30 29
25
20 18
15
15
10
5
0
HANDLING FUEL EFFICIENCY DESIGN COMFORT
This shows that people buy Toyota because they are attracted by the Designing first and then by
Comfort, Fuel Efficiency and Handling
16%
VERY GOOD
3%
GOOD
7%
SATISFACTORY
74% NOT SO GOOD
16% said it was very good, 7% said it was satisfactory and 3% felt it was
not so good.
According to the survey, most of the Toyota owners like the Interiors of
Toyota because of the quality used in making the Interiors.
MORE
SERVICE
STATION
S
13%
CHEAPE
R SPARE
PARTS MAKE IT
15% AFFORD
ABLE
72%
If Toyota is made more affordable then it would win more customers, a theory
which was backed by 72% of the respondents.
15% and 13% respectively want cheaper spare parts and more service stations.
Till now Toyota has its name in luxury and expensive car segments
but it should be made more affordable so that people who want can
buy it.
BEST CAR?
60
60
50
40
30
20 20
20
10
0
MAKE
Mayank Chugh, IT MORE
0996111708, BBA MAKE IT MORE
(2S), III SEM, B Sec GIVE IT A
Batch: 2008-11FUTURISTIC SPORTY CONCEPT CAR
LOOK
INFERENCE:
PROVIDED BY TOYOTA
10%
YES
15%
NO
Overall 75% of the respondents were happy with the after sales
service provided by Toyota.
15% were unhappy with Toyota due to poor after sales services
provided by them.
This shows that most of the Toyota owners are satisfied with the After
Sales Service even after years of buying.
SWOT ANALYSIS
Strengths:
New investment by Toyota in factories in the US and China saw 2005 profits
rise, against the worldwide motor industry trend. Net profits rose 0.8% to 1.17
trillion yen ($11bn; £5.85bn), while sales were 7.3% higher at 18.55 trillion yen.
Commentators argue that this is because the company has the right mix of
products for the markets that it serves. This is an example of very focused
segmentation, targeting and positioning in a number of countries.
Weaknesses:
Being big has its own problems. The World market for cars is in a condition of
over supply and so car manufacturers need to make sure that it is their models
that consumers want. Toyota markets most of its products in the US and in
Japan. Therefore it is exposed to fluctuating economic and political conditions
those markets. Perhaps that is why the company is beginning to shift its
attentions to the emerging Chinese market. Movements in exchange rates could
see the already narrow margins in the car market being reduced.
The company needs to keep producing cars in order to retain its operational
efficiency. Car plants represent a huge investment in expensive fixed costs, as
well as the high costs of training and retaining labour. So if the car market
experiences a down turn, the company could see over capacity. If on the other
hand the car market experiences an upturn, then the company may miss out on
potential sales due to under capacity i.e. it takes time to accommodate. This is
a typical problem with high volume car manufacturing.
Opportunities:
Lexus and Toyota now have a reputation for manufacturing environmentally
friendly vehicles. Lexus has RX 400h hybrid, and Toyota has it Prius. Both are
Threats:
Product recalls are always a problem for vehicle manufacturers. In 2005 the
company had to recall 880, 00 sports utility vehicles and pick up trucks due to
faulty front suspension systems. Toyota did not g give details of how much the
recall would cost. The majority of affected vehicles were sold in the US, while
the rest were sold in Japan, Europe and Australia.
As with any car manufacturer, Toyota faces tremendous competitive rivalry in
the car market. Competition is increasing almost daily, with new entrants
coming into the market from China, South Korea and new plants in Eastern
Europe. The company is also exposed to any movement in the price of raw
materials such as rubber, steel and fuel. The key economies in the Pacific, the
US and Europe also experience slow downs. These economic factors are
potential threats for Toyota.
Conclusion
During the Pacific War the company was dedicated to truck production for the
Imperial Army. Because of severe shortages in Japan, military trucks were kept
as simple as possible. For example, the trucks had only one headlight on the
center of the hood.
Commercial passenger car production started in 1947 with the model SA. In
1950 a separate sales company Toyota Motor Sales Co. was established (which
lasted until July 1982). In April 1956 the Toyota dealer chain was established.
CHAPTER 6
Recommendations
Toyota must at the moment carry out a feasibility study for launching a
vehicle in the domestic market where it has models like the Innova and
Camry amongst others.
QUESTIONNAIRE
• Name: …………………………………………………………………….
• Address: …………………………………………….............................
............................................................................................................
Yes No
Q3) Are you happy with their charges and timely delivery they
were offering?
(i)Yes (ii) No
other cars?
Toyota?
Q10) Are you happy with the after sales services provided by
Toyota?
(i)Yes (ii) No
INNOVA
1. VX Automatic 4,395,000
Sl.
Grade Transmission Ex-Showroom Price Rs.
No.
VX
1. Automatic 8495000
Premium
VX
2. Automatic 8345000
Standard
1. FA Manual 1845000
Sl.
Grade Transmission Ex-Showroom Price Rs.
No.
1. W1 Manual 2,116,580
2. W2 Automatic 2,278,480
3. W3 Manual 2,166,580
4. W4 Automatic 2,328,480
1. 1.8J 970,000
2. 1.8G 1,100,000
3. 1.8GL 1,225,000
4. 1.8VL 1,318,000
Corolla Altis Sport w.e.f 1st June 2009
5. 1.8Sport 1,135,000
Newspaper Article
BIBLIOGRAPHY
1) Books
2) Newspapers