A new direction for Toyota 0

Toyota are moving forward with the way they develop their new generation of cars.

At the moment, it can safely be said that the company rely on their reputation for reliability and safety in order to appeal to customers. Toyota wants to add more attributes to their current appeal factors.

Kurt Sanger, an Analyst for Deutsche Securities said “Toyota can’t get by with its quality reputation alone anymore,” He continued to say that Toyota should make more interesting products. “Fairly or unfairly, that’s been tarnished by the recalls. But even before that, the other guys were getting better while introducing more interesting products. For Toyota to just continue to do what it was doing was not an option. It ignored that for a while.”

Toyota seem to be changing a lot of major operations, especially since the strength of the Yen has increased which will result in poorer profits overseas. (As reported by us on the 23rd November with the article titled “Misfortunes force Toyota towards the American dream”). Exports for the company are reportedly operating at a loss.

The company have also received worldwide criticism since their recent high profile recalls of popular vehicles throughout the world. Some even question their main strength, the car’s reliability.

Volkswagen threat

With Volkswagen, Europe’s largest car manufacturer, striving to overtake the Japanese company in 2018 as the world’s largest car markers, Toyota want to further their car’s appeal. The process may have be implemented sooner rather than later as some experts have predicted that Volkswagen could overtake the Japanese automotive giants before the end of the year!

Hyundai threat

It’s not only Hyundai that Toyota have to worry about. Hyundai are said to be making great strides in catching up with the Japanese company and causing somewhat of a threat.

Toyota President Akio Toyoda acknowledged the fact that Hyundai are indeed overtaking Toyota in some respects. He said “I think Hyundai is making great cars, and in some ways I think we’re trailing them,”

Long term goals

Akio Toyoda continued to say how the company is focused on long term goals.

“In the short term, you win some and lose some. But we’re working hard to build Toyota into a company that attracts investors who would look back 15 years and be glad they owned our shares. It’s the difference between thinking of 10 years in the span of 10 years, versus 10 years as a part of 100 years.”