Why Toyota and Lexus(Toyota`s luxury Brand) is getting dominate US market.

Running head : TOYOTA AND LEXUS (TOYOTA 'S LUXURY BRAND ) IS

DOMINATING US MARKET

Toyota and Lexus Dominating US Market

University

Name

TOYOTA

INTRODUCTION

Toyota is a Japanese company specializing in the manufacture of various kinds of vehicles . It manufactures cars , buses , trucks etc . At the end of this thesis , the question of whether Toyota 's profitability ranks as one of the highest in the world and the reasons for its success shall have been answered

BACKGROUND INFORMATION

Toyota Company came into existence in 1937 in Japan . The

company is proud of making as much as 9 million vehicles . This was its production in the year 2006 . The turnover of Toyota was about 170 million in the same year , making it one of the top most companies in terms of sales

Over the years the company has been showing progressive results However , they need to make their results consistent . An example is the debtor 's turnover rate that show an improvement in the year 2004 at 3 .8 then started declining again in the year 2005 and 2006 at 3 .7 and 3 .6 respectively . This shows a weakness in the way the company is managing its debtors . There is also variability in the stock turnover ratio which is an indicator on the frequency with which its products are sold

Toyota also prepares its accounts on a consolidation basis showing the results of the parent company , its subsidiaries and associate companies In manufacture and sale of various brands of Toyota vehicles . These include premio , Tundra , Tacoma , RAV 4 , Comfort , Alphard , Liteace , Yaris , Sienta Ractis , Estima , FJ Cruiser , Caldina , Sienna , Kluger , Hilux , Cordla Avanza Brevis , Passo , Reiz ,Rush , Allion , Town Ace , Wish , Pregre 's , Mark X , Aygo , Isis to name just but a few

This probably explains why Toyota has dominated , the US market . The production of a wide range of vehicles offers the customers an opportunity to choose which model / brands to use / buy . These vehicles have got technical and unique specifications which make Toyota vehicles a number one type of cars . The company has a team of experts who work tireless to ensure that the company gains a competitive edge in the manufacturing sector . This explains why rally drivers prefer Toyota vehicles - they offer them the racing which they require

And to ensure that their technology is protected from imitation , their facilities in their European Headquarters , cologne are not accessible to any outsider who may have the agenda of `stealing ' the technology . The success of Toyota is attributed to their being a department whose role is to oversee the operational work of the company , maintenance of technological efficiency and proper auditing techniques as well as acting on management reports

Compared to other automobile manufacturing companies , Toyota Company limited is far much ahead in terms of the number of vehicles sold per annum . Whereas Toyota sells about 9million vehicles on average , every year , Nissan 's sales average only 1 million vehicles . Peugeot on the other hand sells about 2 .5 million...