Toyota Etios's 'Q' Class Campaign: A Quality Marketing Strategy

            
 
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Case Details:

Case Code : MKTG282
Case Length :14 Pages
Period : 2010-2011
Pub Date : 2011
Teaching Note : Not Available
Organization :Toyota Motors Company; Toyota Kirloskar Motors Limited
Industry : Automotive
Countries : India

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Background Note

The history of Toyota3 can been traced to the 1930s when Kiichiro Toyoda, son of Sakichi Toyoda, the promoter of Toyoda Automatic Loom Works (TALW4), started working on a small engine run on gasoline. This was followed by the setting up of an automobile division at TALW. An independent entity by name Toyota Motor Co. Ltd. (TMCL) was established in 1937. The first plant of TMCL, established at Honsha, Japan, commenced production in 1938. During World War II, TMCL was primarily engaged in the manufacture of trucks for the Japanese army. By 1950, the company was on the verge of financial bankruptcy and faced crippling labor disputes. Under the changed leadership of Taizo Ishida, TMCL successfully weathered the storm and emerged a much improved organization.

Marketing Management Case Studies | Case Study in Management, Operations, Strategies, Marketing Management, Case Studies

In 1957, for the first time, the export of Toyota cars (Crown brand) to the USA began. A new entity, Toyota Motor Sales U.S.A. Inc. (TMS), was formed in the same year to concentrate on the U.S. market. In 1965, TMCL received the coveted Deming Prize5 for the significant breakthroughs it had achieved in quality improvement. In 1966, the Corolla6 brand was launched. In 1967, TMCL entered into a strategic business partnership with Daihatsu Motor Co. Ltd.7 In the year 1982, TMCL and TMS were merged into a single entity, Toyota Motor Corporation (TMC). In 1989, the Lexus8 brand was first introduced in the USA...

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3] Toyota is the word used in common parlance to refer to TMC or any of its car subsidiaries worldwide.
4] TALW was a manufacturer of weaving machinery.
5] The Deming Prize is one of the world’s most prestigious awards given in the field of quality control.
6] By 2009, Corolla had become the largest selling car in the world with over 0.9 million annual unit sales. (Source: www.caradvice.co.au)
7] Daihatsu Motor Co. Ltd. is one of the oldest Japanese car manufacturers.
8] Right from the beginning, Toyota's strategy was to develop Lexus as a premium brand with nominal association with the parent brand. As of 2011, the Lexus range of cars has dedicated design, engineering, and manufacturing facilities. In the year 2010, the Lexus range of cars had total sales of 0.28 million units in the Japanese, European, and the US markets . (Source: Wikipedia)


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