Environmental Analysis Assignment Example | Topics and Well Written Essays - 3000 words

Environmental Analysis - Assignment Example It seems all of these are basic and generic strategies used by Toyota which is found from the theory of competitive advantage by Porter (1980). This only proves that Porter’s theory of competitive advantage still applies until today. Due to this competitive move that Toyota is trying to achieve, the company was able to cut cost while ensuring customers about its cutting-edge technology. With this move, Toyota will be able to cut cost for the price of its offerings but it is still to ensure customers with its standard quality products. Toyota has become the leading car manufacturer and producer in the world because of its quality line of offerings and cutting-edge technology. This remarkably was able to gain social acceptance. This is due to the fact that the society is eager to accept something new and in line with the age of technological revolution. However, the real threat behind this smooth social acceptance for the products manufactured by Toyota is actually on the fact t hat they are assets of the company. Toyota’s products are certainly its assets. However, recent world-wide recalls of products produced by Toyota have triggered social concerns. This particularly includes quality and safety issues. It was noted that in the year 2009, Toyota paid $10 million to four families in the UK who were killed from a runaway Lexus car due to faulty design (BBC News, 2010). Within 12 months up to November 2010, there were reported 229 products recalled in the UK due to health and safety issue, production and design flaw and other related quality issues which part of them were car products (BBC News, 2011). This only shows that the market in the UK is very determined to stand on the quality of offerings which might be difficult for Toyota to get through after it had suffered from issues on quality related matters. Considering that Toyota’s products are its assets in obtaining its target revenue, the incidence of quality problem has substantially tr iggered social concerns among buyers. This is due to the fact that in the UK alone, quality is tantamount to safety and value for the money invested on certain products. This can be clearly observed how the government had responded aggressively to product recalls as initiated by Toyota Motors. The problems affecting Toyota are not only focused on social issues but they also include highly political concerns. With the increasing concern on cutting-edge technology, government has brought forward the necessity to conduct thorough investigations on product quality and implementation of efficient technology. It is therefore clear in here that there is a strong link between political and technological concerns. On the part of Toyota Motors, there is a strong downside of technological exploration. However, on the part of the law, Toyota Corporation still has to face any noted violations as believed by the law to be beyond reasonably doubted. For the law, this is just to ensure social safet y and corporate responsibility. Thus, Toyota was fined particularly in the US for about $16.4 million, the highest so far in history due to legacy issue on car recalls in line with quality issues (BBC News, 2010). Another important aspect that needs to be understood is in line with environmental concerns. The emission of green house gases leads to global concern about the environment. In other countries for instance,