NAME
BTEC Business Level 3
Unit 1 – Exploring Business – Assignment 3
Assignment Three –
Report
Toyota
Unit One – Exploring Business
,NAME
BTEC Business Level 3
Unit 1 – Exploring Business – Assignment 3
Contents Page
1. Introduction
2. E.M5 Analyse how successful the use of innovation and enterprise has been
for Toyota
3. E. D4 Justify the use of innovation and enterprise for Toyota in relation to its
changing market and environment
4. Presentation skills audit
5. Self Reflection
,NAME
BTEC Business Level 3
Unit 1 – Exploring Business – Assignment 3
INTRODUCTION
In this report, I will be analysing how successful the use of innovation and enterprise has been for
Toyota. I will also be looking at the use of innovation and enterprise for Toyota in relation to its changing
market and environment
E.M5 ANALYSE HOW SUCCESSFUL THE USE OF
INNOVATION AND ENTERPRISE HAS BEEN FOR
TOYOTA
Toyota is a company that has been using innovation and enterprise successfully for several decades. In
the 1970s, Toyota developed the Toyota Production System (TPS), also known as lean manufacturing,
which transformed the automobile industry. The Toyota Production System helped Toyota improve their
efficiency and quality, reduce waste, and increase profits. This innovation was crucial in making Toyota
one of the most successful car manufacturers globally.
The modernisation and improvements of products has also been a key factor in the success of Toyota. By
improving their products, Toyota provides better quality and more reliable vehicles which leads to
happier customers thus leading to increased customer satisfaction. Not only this but because Toyota
offers superior features and innovation, they have been able to gain a competitive edge over their rivals
like Ford and Tesla in the marketplace therefore giving them a competitive advantage. Continuously
improving products similarly helps boost Toyota's brand reputation as a reliable and innovative
manufacturer, which can attract more customers. This is important because brand reputation can be a
major factor in customer decision making, and attracting customers is essential for business growth.
Moreover, Toyota has been at the forefront of developing and promoting hybrid technology. The first-
generation Toyota Prius was launched in Japan in 1997 and became available worldwide in 2001 which
shows that Toyota was an early adopter of hybrid technology and was ahead of its time in introducing a
hybrid vehicle. The launch of the Prius set the tone for other automakers to follow. The hybrid cars were
well-received, and Toyota became the leading brand in the hybrid car market which meant that they
have been able to capture a large share of the environmentally conscious consumer market. The
company continued to innovate and develop electric and fuel cell vehicles, such as the Mirai,
contributing to a more sustainable future. It also meant that Toyota could appeal to a wider range of
consumers, increasing their market share in the process.
Additionally, by continuously improving services and customer experience Toyota has built a reputation
for delivering high-quality services and exceptional customer experience. This has helped create a
positive perception of the brand, which attracts more customers and creates a loyal following. Also, by
focusing on delivering excellent customer experience, Toyota has been able to retain its existing
customers which means that they can maintain a loyal customer base and increase customer retention
lifetime. Satisfied customers are more likely to return for repeat purchases and recommend the brand to
others, leading to increased sales and profitability. This is important because customer retention and
word-of-mouth referrals can be a cost-effective way to grow the business and increase profitability.
Toyota's focus on customer experience has led to increased innovation in product design and
, NAME
BTEC Business Level 3
Unit 1 – Exploring Business – Assignment 3
development. This allows the company to stay ahead of the competition and continually meet customer
needs and preferences.
Furthermore, Toyota has used enterprise to expand their business globally. The company has established
partnerships with other car manufacturers such as Subaru, Suzuki, and Mazda, enabling Toyota to
expand their product offerings and physical presence. Toyota has also invested heavily in research and
development centres across the world. This can lead to higher profits, which can be reinvested in Toyota
or distributed to shareholders which means that Toyota can continue to innovate and develop new
products, potentially increasing market share and revenue, and rewarding shareholders for their
investment. Business growth can also attract top talent to a company like Toyota, as it offers the
potential for career advancement, job security, and high salaries. This can help Toyota attract and retain
the best employees, who can contribute to innovation and long-term success to ensure that the
company remains competitive and continues to grow over time.
In conclusion, Toyota has been successful in using innovation and enterprise to maintain its position as a
leading automaker. The company's commitment to lean manufacturing, hybrid technology, and global
expansion has allowed Toyota to remain competitive and relevant in an ever-changing market. Toyota
also ensures the success of all its elements through a combination of careful planning, implementation,
and continuous improvement. Toyota carefully plans its strategy, including its product offerings,
marketing efforts, and production processes, to ensure that all elements are aligned with its goals and
objectives. Once a strategy is in place, Toyota implements it rigorously, including processes and systems
to ensure that all elements are working effectively and efficiently. Failure to implement a strategy
effectively could lead to inefficiencies, wasted resources, and poor performance. This could result in
decreased profitability, a loss of market share, and a negative impact on the company’s reputation.
Toyota is committed to continuous improvement and regularly reviews and adjusts its processes to
ensure they remain effective and efficient. It is important for Toyota to ensure that all elements lead to
its success because it helps the company to maintain its competitive advantage and grow its market
share. By ensuring that all elements are working effectively and efficiently, Toyota is able to provide
high-quality vehicles and services to its customers, which is crucial for customer satisfaction and loyalty
as well as maintaining a competitive advantage in the market. This can lead to increased revenue,
profitability, and long-term success for the company.
E. D4 JUSTIFY THE USE OF INNOVATION AND
ENTERPRISE FOR TOYOTA IN RELATION TO ITS
CHANGING MARKET AND ENVIRONMENT
Innovation and enterprise are crucial for Toyota in relation to the changing market and environment.
The automotive industry is rapidly transforming due to technological advancements, environmental
concerns, and changing consumer preferences. These changes have led to intense competition among
automakers, as well as increasing pressure to develop sustainable solutions.
Toyota justifies its significant research and development spending by considering it a crucial investment
in innovation and competitiveness. R&D enables Toyota to develop new technologies, improve existing
products, and stay ahead of the competition. The consequences of not spending on R&D may not be
immediate, as Toyota's current product line-up and reputation could sustain its sales and profitability for
a certain period. However, in the long run, the lack of R&D investment would likely hinder Toyota's
