General Motors' Asian Alliances

Toyota’s success in business is to a greater extent attributed to its unique management accounting and finance practices. This paper reports on Toyota Inc’s management accounting and finance practices that affect its value in the motor manufacturing industry. Brief Description of Toyota Motors Corporation Toyota Motor Corporation has its headquarters in Aichi, Japan with over three hundred thousand employees worldwide. This company majors in manufacturing and selling automobiles ever since its spinoff in 1937 from Toyota Industries (Hino 130). This company is part of the Toyota Group; one of the biggest conglomerates in the globe, and includes company like the Hino motors, Lexus, and Daihatsu.

Globalization of the industry has made it necessary for automobile manufacturers to adopt international marketing, pricing and promotional strategies in order to effectively compete (Paley, 2006). GM and Toyota are the largest automobile manufacturers in the world thought their promotional strategies could not be any more different. Toyota's strategies have been more effective than GM's over the last decade. This has made Toyota overtake GM as the largest vehicle manufacturer in the world. Promotional Strategies in the Automobile Industries Each industry will usually have an industry standard which is deemed to be the most effective strategy given the circumstances and dynamics.

Part of GM growth strategy is foreign investment and outsourcing jobs in China. After recovering from filing chapter 11 General Motors has gone above and beyond to keep their heads above the water. General Motors’ competitive strategy from the beginning has always been product differentiation. As GM’s former CEO Alfred P. Sloan stated, GM makes “a car for every purse and purpose’. GM engineers are focused on developing advanced technologies that lead to improved fuel economy, less emissions and a reduced dependence on petroleum.

Toyota has additionally been one of the commercial ventures pioneers in creating new and imaginative innovations that exploit the businesses current obstacles. A standout amongst the most noteworthy things about this organization is the scale, and the worldwide foot shaped impression that they as of now oversee. Toyota Motor Corporation is one of the world's illustrative vehicles producers, generating vehicles in 26 nations and areas and showcasing vehicles in more than 170 nations and locales. In financial 2006, on an united premise Toyota gave near eight million vehicles to clients far and wide under the Toyota, Lexus, Daihatsu, and Hino brands. Toyota had more than 280,000 representatives at the end of monetary 2006" (Toyota Motor Corporation, 2006).

General Motors has been for the last 100 years a leader in American Industry. They dominated the automobile industry. General Motors made the middle class in America back in the 50s and 60s and in 1980s GM was the top car manufacturer in the USA until the arrival of the Japanese cars. General boasted the characteristic in the corporate world as being powerful, stubborn, monolithic, and authoritarian and it main concerns was the assembly lines, switch is called the seeds of success. General Motors was build in 1892 by an R. Olds who created the Oldsmobile his vision was to create horseless carriages.

When a company has endured tough competition, it is important to have established steps for accomplishing greater opportunities within an industry. If problems within a company are not handled accordingly, it will result in the termination of a company. According to the article, “Thus, the ability to manage change, while continuing to meet the needs of stakeholders, is a very important skill required by today 's leaders and managers” (McNamara). General Motors is one of the largest Automobile manufactures in the world and they are not excused from competition in the industry. In this paper an overview will be conducted of General Motors, the evaluation of two major competitors in the industry and the Strengths, Weaknesses, Opportunities and

The Toyota Production System A Case Study of Creativity and Innovation in Automotive Engineering INTRODUCTION Automobile Manufacturing Forty years ago, Peter Drucker dubbed it "the industries of industries." Today, automobile manufacturing is still the world's largest manufacturing activity. After First World War, Henry Ford and General Motors' Alfred Sloan moved world manufacture from centuries of craft production(led by European firms(into the age of mass production. Largely as a result, the United States soon dominated the world economy. Toyota Production System After Second World War, Eiji Toyoda and Taiichi Ohno at the Toyota motor company in Japan pioneered the concept of Toyota Production System.

du Pont who owned stock became the President of General Motors and developed his “Organization Study” a document that showed how a highly diversified corporation could give division manager adequate freedom and reward to excel, while top management still would have strategic and financial control. The company’s philosophy and strategy from 1910 to late 1920 was a car for every purse and purpose and as demands for automobiles increased, General Motors set the pace for innovation, production, and design for others to follow. Despite high profits, General Motors suffered from a divided management and the war interfered with the company’s ability to solve the problem. During wartime, General Motors showed its commitment and social responsibility by supplying “12 billion dollars worth of materials, such as trucks, tanks, and airplanes, to support the Allied war effort” (General Motors, 2015). The citizens of America had a profound respect for GM’s positive efforts.

The whole crisis brought three major issues to the forefront. These issues include poor management, political intervention, and internal conflicts (Szczesny, 2009). Fiat had for a long time enjoyed success as a respectable automobile company successfully competing against auto giants such as Renault, Mercedes, VW and Toyota. More liberalization within the European automobile industry saw companies such as Toyota and GM aggressively entering the predominantly market and quickly eroding Fiat’s market share. Faced with competition from companies that had invested billions of euros in advancing their brands in addition to introducing several other models, Fiat put its hopes in a new vehicle model... ... middle of paper ... ...a of Japan.

3.4 Number and Sizes of Competitors The competition in this industry is extremely and the trend is only increasing. Internal competition includes pricing, quality, and product innovation, while external competition includes the other forms of transportation such motorcycles, scooters, public transportation, etc. 3.5 Stage of the Industry Lifecycle The lifecycle of the Global Car & Automotive Manufacturing industry is in a mature stage of its lifecycle. 3.6 Value Chain Model 3.7 Competition Analysis Toyota Motor Corporation Toyota has incorporated a market share of 9.3% in the automotive manufacturing industry. This multinational corporation has generated an estimate of $250 billion in overall revenue.