Essay About Toyota Prius And Main Customer Focus Of The Company

Toyota Prius – Major Macro-Environmental Factors
Essay Preview: Toyota Prius – Major Macro-Environmental Factors
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Q2) Outline the major macro-environmental factors-
demographic, economic, natural, technological, political, and
cultural-that affected the introduction and re-launch of the
Toyota Prius. How well has Toyota dealt with each of these
factors?
A2) The main customer focus of the company was those people who were youngsters i.e. belonging to generation Y. so the main focus of the entire
promotional activities were the techies due to which a major portion of their
profits was contributed by them.
With respect to the economic factors, the case shows that the customers had
enough income to spend on this luxury. This is shown by the fact that the
company was able to sell 1800 cars in immediately and also had to raise the
monthly production level by 33% and then even by 100% to meet the
demand.
Toyota is an “environmentally concerned” company since it had greater fuel
efficiency and lower emissions. It also took advantage from the
environmental appeal by sending out green seed cars shaped like Toyotas
logo to prospective buyers on Earth Day.
The technological factor is explained by the many factors including adding
cruise control by some wiring, dashboard display screen, playing video
games, installing sniffer, 7-inch energy monitor, a CD player holding 6 discs
at a time and many more. Since the customers favored technological
products and had enough knowledge Toyota was able to maintain customer
loyalty.
Politically, the company received support form the government in the form of
tax deductions which helped efficient production but on the same note the
speed limit factor acted as a hindrance but was covered by extensive
marketing campaigns.
2. Major macro environmental factors
A. Demographic – Study of human population in terms of size, density, location, age, gender, race, occupation and other statistics. The U.S. worships scientific and technological advances and wants the latest gizmos.