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Toyota's Globalization Strategies |
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EXCERPTSEarly Globalization EffortsIn June 1995, Toyota announced the 'New Global Business Plan,' aimed at advancing localization (of production) and increasing imports (through collaboration with foreign automobile companies) over a three year period. A major objective of this plan was to increase Toyota's offshore production capacity to 2 million units by 1998. As part of its globalization efforts, the company focused more on increasing the production of automobiles in the areas where they were sold... Domestic Problems & SolutionsAccording to industry observers, the above scenario was due to a host of reasons such as excessive capacity, choosy customers, surplus workforce and intensified competition within Japan. In 1998, Japan sales accounted for a mere 38% of the company's total sales, as compared to 52% in 1990.
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