indus org - "Toyota Motors Corp. has a message for its...

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“Toyota Motors Corp. has a message for its struggling rivals in Detroit: ‘We will bury you” – Wall Street Journal; Sept 26, 2006 NAICS Code: 4411, Automobile Dealers The automotive industry is comprised of the sales of automotive dealers to include that of new and used passenger cars, as well as light commercial vehicles, sold through car dealerships or auction type sales. It does not include in it the sale of motorcycles or vehicles over 3.5 tons. The American automotive market is one of the largest in the world, and although its growth rates are expected to decrease, the sheer size of the market determines its dominance. In 2002, the United States’ auto dealer market reached a value of $568 billion, and accounted for 38.8% of the global market. A majority of sales were accounted for by the sale of used cars, valuing 70.2% of the market’s value. The value of the automotive market increased between the years of 1998 and 2001. However, it decreased in year 2002 to a value of $568 billion, a $10.1 billion loss as compared to the previous year. This was mostly due to the entrance of Japanese manufacturers into the market. At this state, the volume of the market consisted of 42,087,000 vehicles. At the top of the totem pole in the United States automotive industry are The Big Three, or the largest companies of the market. These include General Motors, DaimlerChrysler, and Ford. The competition in the market has been very stiff for the past few years, as Toyota begins making its mark by beating out Ford and DaimlerChrysler for the number 2 spot of vehicle production. With General
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Motors at the forefront of production with a total of 9,040,309 vehicles, it is setting the pace for the others manufacturers to keep up with. Thanks to vertical mergers (which will be discussed more in depth later), General Motors and Ford keep a handle on all aspects of the automotive market, from the entry level type vehicles, trucks and SUVs, to near luxury vehicles. This is done though, with as many as 6 to 14 companies. Toyota, being at the number 2 spot of vehicle production with a total of 7,100,167 vehicles, is nearly 2,000,000 vehicles behind General Motors with only 5 companies under its mergers, covering all fields of the market. In earlier years, the market was dominated by The Big Three; General Motors, Ford, and DaimlerChrysler. It was not until recent years that Toyota began making an impact on the market share, as this graph from The Wall Street Journal from the early 2000’s depicts: As you can see, Toyota is behind DaimlerChrysler by 2.9%, and dominating the other firms in comparison, as the ‘Other’ share is comprised of all the other manufacturing firms in the automotive industry.
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General Motors General Motors is one of the top producers of vehicles in the United States. The other manufacturers under its vertical mergers include Buick, Cadillac, Chevrolet, Daewoo, Geo, GMC, Holden (a company from Australia),
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indus org - "Toyota Motors Corp. has a message for its...

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