Even the mighty are falling (and I'm not talking about the oblivious mighty, like Detroit's Big 3). Toyota, which has been profitable each year since 1950, is turning in its first annual net loss ($3.85 Billion, or 350 Billion Yen) for fiscal 2008, ending in March.
At a broad level, there are two strategies Toyota can adopt to fix 2009-
a) Increase revenues. Very tough, but Toyota is well situated, with its leadership in hybrid/ economical cars, as well as TCO (Total Cost of Ownership) cars. As long as it can hold off challenges from Honda and Ford's eco-friendly cars...
One thing that is obvious is that Toyota's marketing efforts need to take a big leap here. The Scion was a very smartly played game - they need to extend that to their breadwinners.
b) Reduce costs. Yes, Toyota is the guru of Lean, Six Sigma, TWM, and any other buzz-words you know, plus a host of others you don't know. They will probably figure out a way here, again, and hopefully without affecting their full-time employees (sorry contractors)
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