Compariso

n between

Toyota and

HondaPresented By:

Group No. 2

Group Members

Aqsa Awan MBKM-13-

54

Nighat Naeem

MBKM-13-52

Misbah Fatima

MBKM-13-27

Mamoona Ashraf

MBKM-13-13

ContentHistory of Toyota

History of Honda

SWOT Analysis & 4 P’s

Conclusion

Toyota Production System (TPS)

Comparison

Slogan of Honda

Introduction Of ToyotaPresented by

Nighat Naeem

MBKM-13-52

The Land of the Rising Sun!

Japan

Founders of Toyota

• Sakichi Toyoda(1867-1930) Automatic Loom• Kiichiro Toyoda (1894- 1952) Used chain conveyor into the Assembly line• Eiji Toyoda (1913)• Implementation of Jidoka and JIT.

History From the Very Beginning ......

Began as a textile company in 1926

(Toyoda Automatic Loom Works)

In 1933 an automobile department was

established within Toyoda Automatic Loom Works.

In 1937 Toyota Motor Co. was established

as an independent company.

The Golden period

Becomes a major supplier of trucks to TheImperial Army during WWII.

Plants were scheduled to be destroyed byallies, but the war ended first.

Launching First Car!

Launched first car in 1947

Toyota Production System formed in 1950 based on

Just-In-Time principle.

Innovations

In 2002, entry in the Formula 1 circuit.

In addition to manufacturing automobiles, Toyota provides financial

services through its division Toyota Financial Services and also creates robots.

Toyota headquarters…

Toyota headquarters in Toyota -Shi (Toyota City) , Japan.

In 1982, the Toyota Motor Company and Toyota Motor Sales merged into one company, the Toyota Motor Corporation.

SLOGANTOYOTA official slogan is

This tagline embodies the spirit of constant innovation on the part of Toyota. It lends the associations of quality and technological capability to the brand.

“MOVING FORWARD”

The production system developed by Toyota Motor Corporation to provide best quality,

lowest cost, and shortest lead time through the elimination of waste.

Toyota Production System(TPS)

• Also called The Toyota way

QUALITY POLICY

• “We will strive to meet customer’s expectations by providing world-class products and services through total employee commitment and continuous improvement.”

TOYOTA’S APPROACH TO QUALITY

Toyota’s approach to quality

• Toyota has achieved a• reputation for the • production of very high• quality vehicles in all • countries around the world.• This has been achieved by an

approach to quality control and quality assurance.

Toyota After Sales Services•If TGS vehicle prove defective in the first 12 months or 20,000km of ownership - whichever comes first - it will be fully covered by Toyota's worldwide warranty.•It has over 10,500 service locations in 160 countries.•24-Hour Roadside Assistance Covers:• Battery jump starts• Tire service• Emergency fuel delivery• Lockout protection• Towing• Winching

Innovations• The new Hybrid of Toyota Camry

• 2011 TOYOTA ALTIS 1.6 G MANUAL TRANSMISSION PHP 858,000.00

• FREE INSURANCE W/ACTS OF GOD• TOTAL CASH OUT 151,600.00

AMAZING PROMO FOR 2012

• 2012 TOYOTA ALTIS 1.6 E M/T PHP 803,000.00

• FREE INSURANCE W/ ACTS OF GOD• TOTAL CASH OUT ALL IN 140,800.00

Where is Toyota Today?

Second Largest automaker, but most profitable 51 manufacturing companies in 26 countries Produce a vehicle every 6 seconds Brands: Toyota, Lexus, Scion Business partners with Daihatsu and Hino automotive business accounted for 90% of revenues Other 10%: housing, marine, GAZOO, telecommunications, ITS, Biotechnology and A forestation Success attributed to Toyota Production

System

Introduction Of HondaPresented by

Mamoona Ashraf

MBKM-13-13

Who is Honda?Honda Motor Company, Ltd is a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles.

• Japanese public

multinational

corporation

• Headquartered in

Tokyo, Minato, Japan

• Honda has been the

world's largest

motorcycle

manufacturer since

1959

• Founded by Soichiro

Honda.

• 5th largest automobile

manufacturers in world

and 2nd in Japan

• Company was

established on

September 24, 1948.

• Takeo Fukui is the CEO

of a company.

AT A GLANCE

Honda was founded on October 1946 in Japan and incorporated on September 24, 1948.

•Honda's founder, Soichiro Honda  had an interest in automobiles.

•The first complete motorcycle, with both the frame and engine made by Honda, was the 1949 Model D, the first Honda to go by the name Dream.

•The first production automobile from Honda was the T360 mini pick-up truck, which went on sale in August 1963

•Honda is headquartered in Minato, Tokyo, Japan.

•Their shares trade on the Tokyo Stock Exchange and the New York Stock Exchange, as well as exchanges in Osaka, Nagoya, Sapporo, Kyoto, Fukuoka, London, Paris and Switzerland.

HEADQUATER OF HONDA

HONDA IN PAKISTAN•Honda Atlas Cars Pakistan Limited is a joint venture between Honda Motor Company Limited Japan, and the Atlas Group of Companies, Pakistan.

•The company was incorporated on November 04, 1992 and joint venture agreement was signed on August 05, 1993.

•Since the commencement of production in 1994, the company has produced and sold more than 200,000 cars till July 12, 2012.

SLOGANHONDA official slogan is

HONDA has never used its slogan to sell its products but it was Mr. HONDA’s belief that it will built products sell themselves.

“THE POWER OF DREAMS”

After Sales Services of HondaThe warranty of the vehicle is valid for 3 Years or 70,000 kilometres whichever comes first from the date vehicle is sold and is transferable.

To facilitate the customers for any assistance they require, have a separate department, called Customer Relations, at the head office.

HACPL is a customer service conscious company, for which it is always looking for avenues to develop further relations with the customers who have already purchased the cars.

HACPL is providing regular trainings to the dealers' technicians. The trainings cover all aspects of the cars including the periodic maintenance, diagnostics, trouble shooting and repairs according to HONDA standards.

Honda Genuine Spare Parts are available for all Honda Vehicles.

InnovationsInnovative technology has always been a Honda trademark, showcasing pioneering engine and chassis design that has set the standard for excellence for more than 60 years.

Peak PerformanceThe Honda Motor Company had arrived, with nearly 600 international and U.S. race wins to follow

Man Before MachineEvery technological and design advance is made with you the rider in mind, the ultimate goal being to ensure the most rewarding and enjoyable riding (and ownership) experience possible

Engineering for Safety’s SakeFor all the performance-enhancing breakthroughs Honda’s engineers have made over the years, several have also provided improvements in perhaps an even more important area: rider safety.

What Lies Ahead?

Comparison between Honda & Toyota

Presented by

Misbah Fatima

MBKM-13-27

4 P’s of ToyotaPRODUCTS:

CamryCorolla4RunnerLand CruiserSiennaLexusYaris

Varies Car by Car Too

In Pakistan:CARS:

Minimum 10 lacs to 20 lacsSUVs:

Minimum 50 lacs to 2 Crore

Corolla 1.3L GLi Rs. 1,621,300 Corolla 1.3L XLi Rs. 1,491,300 Corolla 1.6 GLi A/T Rs.1,786,300 Altis 1.6 M/T Rs. 1,859,500 Altis 1.6L M/T SR Rs.1,949,500Camry (Auto)Rs.7,999,000Camry(Manual) Rs. 7,799,000Land Cruiser PradoRs.16,899,000

Price

PLACE

International Presence: Over 170

countries worldwide

In Pakistan: Many Large

showrooms in big cities i.e.Peshawar, Karachi,

Lahore ,Islamabad, Quetta,Multan, Faisalabad

etc.

PROMOTIONTOYOTA promotes its products

through;Ads, billboards, tv,Sponsoring sports eventsCustomer serviceThrough their websites

PARTS AND SERVICE PROMOTION: EARLY BIRD SERVICE 60MINS SERVICE

SALES PROMOTION:Toyota have excelled in public demand and mainly in price issues.

4 P’s of HondaPRODUCTS:•Fit•Civic•Accord•Insight•CR-V•Ridgeline•Pilot and Odyssey

• Varies Car by Car

• In Pakistan:The new models of Honda automobiles in Pakistan range in minimum of 15 lakhs.

Price ACCORD: 4600000 RsCR-V : 4200000 RsCIVIC(AUTO): 1900000 RsCIVIC: 1820000 RsCITY: 1200000 Rs

PLACE

• In Pakistan:

• Head Office is in Lahore• Many Large showrooms in big cities

i.e. Peshawar, Karachi, Islamabad, Multan

HONDA promotes its products through;Ads, billboards, tv,Sponsoring sports eventsCustomer serviceEnvironment friendly automobilesThrough Websites

New Price Promotions:• Honda Graduate Program

Parts/ Service Promotions:• Longer Life Tires

PROMOTION

STRENGHTS A Motivated and extremely

productive work force.

Low cost, high quality factory operations guided by just in time.

Long-term partnerships with suppliers.

Careful market research and short design to show room cycles so as to keep models closely aligned with market demand.

Having outstanding labor relations.

Strong employment relationship.

Long-term relationship with supplier.

WEAKNESSES Customers not segmented

Production operation not very good as the product needs to be reworked

Limited Research and Development done as compare to competitors

High level of responsibility on employees shoulders

Lack of flexibility in the company

Continuous stress on employees due to Continuous improvement.

OPPORTUNITIES Toyota now have a reputation

for manufacturing environmentally friendly vehicles.

Producing high quality, small and fuel efficient cars that can attract the consumers.

The company has launched its new Aygo, which is targeted at the streetwise youth market and captures (or attempts to) the nature of dance and DJ culture in a very competitive segment. The vehicle itself is a unique convertible, with models extending at their rear! The narrow segment is notorious for it narrow margins and difficulties for branding.

THREATS Rising gasoline prices

triggered by decisions of the OPEC oil cartel to hike crude oil prices substantially.

Continuing appreciation of the yen.

Expanding demand in the Japanese auto market.

Escalating competition in the low priced car market by the entrance of several newly industrialized countries.

Increasing sales of imports.

SWOT Analysisof

Honda

STRENGTHSBrand name image

Smoother drive as compared to competitors

Efficient performance

Quality – ISO Certification

Highly loyal, committed and motivated employees

Hardworking, experienced and qualified staff

WEAKNESSESHonda in Pakistan has a lower sales

value than Suzuki and Toyota.

Its Distribution Centers are less

People of Lower Class are unwilling to buy it because of its image as high status car

Honda’s are expensive to buy and maintain then its counterpart rivals.

It faces a long road in gaining trust and making ways to remove the image that Honda’s are unreliable cars.

OPPORTUNITIESCustomers realizing quality matters,

as problems are already cropping up in new entrants models

Initiatives and proposals in process for coping with increased demand of bikes

Newer segments introduced with entry of new models, design, which still have huge potential for growth

Karachi, a segment which has tremendous potential for growth and profitability.

THREATS

Crucial economic conditions of Pakistan can lead to the decreased sales .

WTO (World trade Order) opening local markets for global competition

Competitors launching newer models with stress on reduced price for our price-sensitive economy proving serious threat in near future

The biggest threat for HONDA is TOYOTA

Comparison Between Honda & Toyota

Presented by

Aqsa Rasheed

MBKM-13-54

Target Market of Toyota

Young adults

Elite class

Economy class

Upper middle class

Upper class

TARGET MARKET

Honda Always targeted: upper class groups upper middle class middle class

Have been very successful in maintaining its target market and providing with the products of their needs.

Brand Status• Nearly in

comparison with each other

• Honda has a little high brand image as compared to Toyota

• May be due to high prices of Honda vehicles and spare parts

Prices Affordability• Prices of Honda vehicles

are high according to respondents

• Over 90% are satisfied with prices of ToyotaRecommendations• Toyota should maintain this

price range by maintaining quality

• Honda should lower their prices by targeting customers related to lower segments

5%

5%

60%

30%

Disagree

Neutral

Agree

Strongly Agree

Prices Affordability (Toyota)

Prices Affordability (Honda)

19%

31%22%

28% Strongly Disagree

Disagree

Neutral

Agree

Maintenance Affordability(Toyota)

5%

28%

58%

10% Disagree

Neutral

Agree

Strongly Agree

Maintenance Affordability(Honda)

5%

28%

28%

40%Strongly Agree

Disagree

Neutral

Agree

Spare Parts Prices(Toyota)

10%

25%

38%

28%

D N A

SA

Spare Parts Prices(Honda)

15%

30%

30%

20% 5%

SD D

N A

SA

Fuel Efficiency (Toyota)

40%

45%

15%

N A SA

Fuel Efficiency (Honda)

3%28%

30%

38%

3%

SD D

N A

SA

Resale Value(Toyota)

25%

40%

25%

10%

D N A

SA

3%

28%

45%

25%

SD D N

A

Resale Value(Honda)

Target and Segmentation(Toyota)

27%

35%

38%

N A SA

Target and Segmentation(Honda)

30%

20%15%

30%

5%

SD D

N A

SA

ConclusionA/C to price affordability Toyota is best

Toyota covers more market segmentation as it bring product also for lower middle class

Toyota bring more innovation by introducing hybrid cars

Toyota is more commonly available rather then Honda

Honda has more brand name

Honda provide more durability

Honda give more resale price then Toyota

After sale services of both companies are approximately same