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1.1.1Mission and Vision StatementsVision: “To be the most respected and successful enterprise, delight customers with a wide range of products and solutions in the automobile industry with the best people and best technology (Toyota).”Mission: “To provide a safe and sound journey by developing various new technologies from theperspective of energy saving and diversifying energy sources. The environment has been the firstand most important issue in priorities of Toyota and working towards creating a prosperous society and clean world (Toyota).”1.1.2Core ValuesEvery person has equal opportunities to improveSet impossible goals with a belief to achieve them A better tomorrow requires proper planning todayRespect for allAlways strive to make a differencePower in working as a unitQuality and good things last longerAlways put an extra -effort
STRATEGIC MANAGEMENT51.1.3Core and Distinctive Competencies of TMCThe core competency of Toyota company is its ability to produce quality products at relatively lower prices. The company relies on its production system to maintain the quality and price leadership hence revolutionizing the automobile industry as other competitors try to cope with the set standards. The core competence of TMC is a result of its production system known as the Toyota Production System or merely the Toyota Way ( Austenfeld, 2010). The basis of this strategy is a lean production model and high innovativeness that other companies cannot successfully copy. Notably, these competencies have made TMC be the market leader in pricing and quality over a long period. 1.2External Analysis (PESTEL)1.2.1Political Factors The knowledge of political factors in various countries will help the company understand the statutory regulations and legal frameworks that govern the operations of multinational corporations. Individual governments and regional blocs have in the recent past developed strict rules that aim to protect the environment and production of cars with high mileage. Notably, TMC will not be affected by these regulations because it produces vehicles with low CO2 emissions and top mileage cars. Besides, the political stability in most countries will enable TMCto conduct its operations without disruptions and uncertainty. 1.2.2Economic FactorsThe prevailing global economic environment and the consumer’s ability and preferences affect the operations of a company ( Mainardes et al., 2014). Toyota company has the opportunity for growth due to the steady growth of its biggest market out of Japan, the US. Besides, the growing
STRATEGIC MANAGEMENT6strength of the US dollar over the Japanese YEN will enable TMC to increase its exports to not the only US but also other countries where the US $ is a stronger denomination. Additionally, therapid growth of other developing countries particularly in Africa and Asia presents an expansion opportunity for TMC to establish business and grow its revenue. Notably, the growing demand