Saturday, July 27, 2019
The Success Story of Toyota Comapny in Qatar Essay
The Success Story of Toyota Comapny in Qatar - Essay Example Current paper focuses on the performance of Toyota in Qatar. Toyota is one of the major competitors in the global automobile industry. The success of the firm has been highly related to its supply chain management system. The relatively low prices of the firmÃ¢â¬â¢s products, compared to the products of competitors, is another factor that has highly benefited the performance of Toyota worldwide. In Qatar, Toyota has followed similar goals and strategies. The history of Toyota in Qatar are presented and evaluated. Also, reference is made to the automotive industry of Qatar, at the level that the external environment can highly influence organizational performance. It is revealed that the prospects for Toyota in Qatar are significant. However, it is necessary for the organization to review its strategic framework periodically ensuring that the competitiveness of the firm towards its rivals is kept at high levels. A brief history of Toyota Toyota Motor was established in Japan in 1937 (Toyota Corporation 2012, History). Toyota Motor Corporation has resulted from the merge between Toyota Motor Co and Toyota Motor Sales Co in 1982 (Toyota Corporation 2012, History). Through the decades the firm established production units worldwide; still, the firmÃ¢â¬â¢s critical strategic decisions have been traditionally developed in Japan. Of particular importance have been the organizationÃ¢â¬â¢s production units in USA, established in 1988, in UK, established in 1992 and in China, established in 2000 (Toyota Corporation 2012, History). Toyota Corporation focuses on the Ã¢â¬ËMotor Vehicle Production and SalesÃ¢â¬â¢ (Toyota Corporation 2012, Overview). In 2011, the firmÃ¢â¬â¢s employees worldwide were estimated to 317,716 (Toyota Corporation 2012, Overview). In 2011, the firmÃ¢â¬â¢s profits reached the 18,993.6 (in billion yen), slightly increased from 2010, when the firm managed to achieve a profit of 18,950.0 (in billion yen, Toyota Corporation 2012, Overview). In 2009 the firmÃ¢â¬â¢s profits were estimated to 20,529.5 (in billion yen, Toyota Corporation 2012, Overview). In other words, the firm faces delays in regard to its profitability. This problem is made clear by reviewing the firmÃ¢â¬â¢s performance for the years 2006 to 2010 in US and Europe (Graph 1). Still, the performance of the firm in other markets is quite encouraging. For example, reference can be made to the case of China and Brazil (Graph 2). Graph 1 Ã¢â¬â Toyota Corporation in USA and Europe, for 2006-2010 (Source: Toyota Corporation 2012, Figures) Graph 2 - Toyota Corporation in China and Brazil, for 2006-2010 (Source: Toyota Corporation 2012, Figures) How it all started in Qatar The presence of Toyota in Qatar is closely related to Abdullah Abdulghani & Bros. Co. (AAB), a firm that was established in 1958 (Qatar 40 Years Organization 2012, Attendees).