Headed by Sakichi Toyoda, who sold the patent rights to one of his loom
machines in 1973.
In 1957, Toyota made the first move into the American market, with
introduction of the Toyopet Crown. But it Failed!!
New Technologies
• new technologies satisfy customer’s needs + meet the stringent
environmental legislation of the future
• new technologies provided an opportunity for the manufacturers to
reinvent & revitalize the auto industry with a disruptive technology
win market share & revenues
• new technologies :
fuel-cell technology
pure electric vehicle (EV)
hybrid-electric vehicle (HEV)
• an electrochemical energy
conversion device that
converts H2 and O2 into H2O,
producing electricity & heat
• works like battery
can be re-charged while drawing
power from it
• engine is water
eliminating all pollutants
from the process
Hybrid :
an electric motor + gas or diesel-powered
engine = increased fuel-efficiency & lower
emission
What BEST ?
better gas mileage
NO obstacles with extreme weather
condition
NOT require any infrastructure changes
MIT study found :
hybrid tech is BETTER for the environment !
use less fuel & emit less CO2 than fuel-cell models over the
vehicle lifetime
Toyota’s Competitive Advantage
Toyota’s Hybrid Technology
Focused on
The challenge:
develop a strategy to turn the hybrid technology from a niche market product and
evolve it into mainstream acceptance.
To “move up the bell curve” required creating awareness about the product and
building a strategic advantage over traditional cars and trucks
Toyota plan to give customers what they wanted : a vehicle that had the traditional
styling and performance attributes of today’s cars with environmental, efficiency
benefit of the car of the future
Advertising and Marketing
The Prius had a fully integrated marketing plan with an emphasis on Internet and
Web advertising
The initial strategy targeted “early adopters” by showcasing the intelligence of the
new technology in a Web-based marketing campaign
The initial strategy targeted “early adopters” by showcasing the intelligence of the
new technology in a Web-based marketing campaign