Why is Toyota going to be the worlds leading auto maker?

Question

I want to know the root cause please no glib answers.

Answer 1

They listen to their employees ideas on production and quality issues.

Answer 2

We bought our first Toyota out of a whim...we wanted an SUV, and ended up getting a mini-SUV (RAV 4).

We have since discovered that it has better gas mileage, and it has proven to be a far more reliable vehicle than others we've had in the past (both American and foreign). We've had it in the repair shop once since we purchased it 10 years ago (and the repair was for something that happened before we purchased it as a used vehicle), and it still drives like a beauty. My only beef is that I'll have to take it to the shop to put a DVD player in it.

So, needless to say, our next purchase was another Toyota, this time purchased new. We've had it for six years now, and it has never been in the repair shop.

Answer 3

They put out a superior product compared to the GM, Ford, Chrysler big three.

They are steadily adding jobs and expanding while the big three are laying off by the tens of thousands and closing plant after plant.

People tend to knock Toyota because its a "Jap" car or because its an Asian owned company. Or to demand we buy "American".

While that may be true, they have a product thats durable and long lasting, fuel efficent, and the truth of the matter is Toyota is made in the US while most Fords and GM's are made in Canada or Mexico. Toyota is opening plants again this year in the US while GM and Ford are closing.

The bottom line is Toyota is keeping more Americans employed then the big three.

Answer 4

1 st problem Legacy Payments! 50 years of Pensions Medical and other perks for Mangement and Labor.
2nd Failure to follow or create trends. When the gas prices rose they just made tougher trucks.
3rd Paying for failure, When a CEO leaves after 6 months loses millions and gets paid 200 million something is way wrong.
4th Butt ugly products.

Opps sorry that's the American Manufacturing plan.

In defense of the American Auto makers Japan has little Military spending and is able to subsidize Japanese Automakers in a Loan scenario the USA either can not or will not commit to.

Answer 5

Toyota is good at building cars, and uses MM instead of inches like American car makers that common sense there. Toyota cars were a lot better 10 years ago, but American automaker cars gap in quality has pretty much narrowed a lot since then. Dont blame union workers because Toyota has them over in Japan its the managment at GM trying to compete in something that they were never good at really that was building Family cars, or smaller range to mediuim range cars.
Dodge nowdays reminds of Dogde of yesteryears more than the 1990s because of the cars there putting out something unquie and American looking. The big three needs to make thier cars stand out which they are starting to do again, but if there quality problems Toyota, and Nissan will eat them for lunch. All admit toyota cars are build a lot better, but Toyota cars used to be pricey to fix till Toyota decided it was cheaper to build cars in USA, and make parts because of exchange rates. The three blew it in the 70s and 80s by negelcting quality for quick profits for thier vehicles.

Answer 6

The root cause is they are not hampered by over $2000 in union entitlements per car like the American automakers are.

In order for American manufactures to produce a comparable and competitive product they have to do it for two grand less just to cover their overhead. Any time you spot the competition a $2000 lead they are going to beat you.

Answer 7

Because blue states like Michigan make cars that no one wants.

Red states like Alabama, SC, TX, TN make great cars that lots of people want. BMW, Mercedes, Honda, Toyota

If want to gloss over this answer, think twice and try to figure out why these are the facts.

Answer 8

Because they make reliable, quality products at affordable prices, unlike US car makers, and that's done in spite of the disadvantages they have, transporting finished goods for export and the high cost of manufacturing in Japan.

US corporations are too busy skimming profits for CEO salaries and shareholder payouts to bother practicing capitalism.


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Answer 9

It is amazing really when you look at them and drive them as well.

I was stunned when I drove an Avensis at what a load of junk it was. It was really badly made and felt awful to drive - like a blamonge on wheels.

It might well be reliable but sorry I normally enjoy driving.

Answer 10

Dr. Deming