This thesis will seek to understand the controversial relationship between environmental factors and Toyota. Indeed, motor vehicle exhaust-emissions notably that of carbon monoxide pollution, is caused directly by the automobile industry. However, these negative impacts changed the position of the automobile industry when in the 70's the Japanese government started to react and apply regulations to reduce emissions. Toyota, like the other Japanese automobile manufacturers, began with agreeing to collaborate in protecting the environment, and today it has considerably developed the environmental aspect to a marketing tool, and a competitive advantage in the automobile industry.
It is a fact that today, environmentalists are eager to develop relationships to promote environmental causes, not via governments but with diverse firms. However, we will see in this thesis how Toyota managed to understand environmental problems, analyze them, develop their own strategy towards emission control, and how they applied these fundamental problems in management and competitive marketing strategies. Furthermore, this thesis will not analyze the philanthropic effort of Toyota but rather elaborate different commitments of environmental support under the company's operation systems. This thesis will be based on primary sources collected during the direct interview with the director of Toyota in Venezuela, Mr. Aranguren, and secondary sources based on published items, notably from internet sources and Toyota's 2005 social report. In addition, other sources are personal observations and experience, notably in Caracas. This work will be presented in three stages in order to understand how environmental issues dominate the company's worldwide strategies:
Part I- Presenting the background of Toyota's commitment for environmental support, in addition, to understanding to what extent the company has incorporated environmental issues into their management operation systems.
Part II- To explore Toyota's hybrid- vehicle product positioning, and target group consumers. Part III- We will present suggestions to the company, on how to promote hybrid models in Venezuela, an example of a country where environmental protectionism is undeveloped and hybrid cars cannot be found on the market.
The fundamental problem of this thesis will be to analyze how the environmental issue plays a symbolic part at TOYOTA, and how it affects the company in different domains, notably in management and marketing.
[...] On the other hand, the concept of luxury” incorporates consumer experience and perception into the luxury branding equation. Lexus cars can be defined as these two concepts of luxury since they offer top qualities, features and attributes but at the same time change the consumer's lifestyles and experience as they are able to possess and drive an environmentally friendly car. The price range of Lexus hybrid cars varies depending on the model, for example a RX model cost about US$ but a GS model can be worth US$ Lexus will probably stay as the premium brand for the company. [...]
[...] III- We will present suggestions to the company, on how to promote hybrid models in Venezuela, an example of a country where environmental protectionism is undeveloped and hybrid cars cannot be found on the market. The fundamental problem of this thesis will be to analyze how the environmental issue plays a symbolic part at TOYOTA, and how it affects the company in different domains, notably in management and marketing. Introduction Environmental protectionism issues are indispensable factors for the automobile industry in order to build strong support with consumers and governments. [...]
[...] On the other hand, environmental issues are also communicated on the supplier's side, and there are 50 suppliers who follow the “Green Purchasing Guidelines”. Furthermore, the new version of these guidelines includes the elimination of toxic substances and social responsibility. Also, an environmental report is available to public consumers. Market Target and Brand Positioning Toyota may first analyze and study consumer market segmentation, targeting those who are likely to be interested in buying hybrid cars by subdividing the market in terms of income range and also frequent visitors to the United States where hybrid cars are popular. [...]
[...] In fact, this type of method can have a strong impact on the consumer's image of the product, since it is in the form of contest, and it can motivate people to develop the desire to win a prize. Moreover, techniques of coupons can associate feelings of motivation on the consumer's mind and this is an aspect which cannot be found in other types of promotional techniques. Since Prius cars are new products, if Toyota participates in this type of promotional event, it should also consider offering pamphlets which explain hybrid engines and their benefit to the environment. [...]
[...] Introduction to Hybrid Vehicles The impact of green taxation and the pressure of the government led the company to present one of the most innovative products: Hybrid automobiles. In addition, Toyota's Hybrid cars are not only a simple success in terms of modern technology in the car industry but an emphatic support to the company's image and profit. Hybrid cars from Toyota can be considered a phenomenon which surprised the public, and threatened the car industry. Indeed, Hybrid vehicles are the first green product of the world, and are more innovative than electric cars since this system of cars optimizes a synchronized electric motor and petrol engine. [...]
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