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Custom Factors Affecting Long-Term Business Success essay paper sample

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This article examines three internet sources of motoring news that discuss the business factors that affect Toyota Motors Corporation’s long-term and future business trends. The articles differ in their analysis of the company; Webster (2009), focuses on the present position of the car manufacture, Wood’s (2011) reveals the company’s future business and marketing plans while Langlois and Pimentel (2010) caution on the newest car manufacturing challenge of faulty technology that has caused massive recalls in the recent past. This paper looks at some of the factors that have worked to the advantage of Toyota Motors Corporation, how they might change in future and recommends what might help the company achieve its targeted  long term goals.   

Factors Affecting Long-Term Business Success at

Toyota Motors Corporation in

Today’s Business Climate

This paper examines the major factors that affect business at Toyota Motors Corporation (TMC) and proposes greater importance be attached to the technological facet of the organization which may stand in the way of the firm achieving its long-term business targets.  

How Market Share and Technology Have Favored Toyota Motors Corporation

According to Wood (2011), Toyota Motors Corporation, the world’s largest carmaker, commands almost 20% of car market share. Toyota’s hybrids are said to account for up to 80% of the North American market for hybrids while the Prius Hybrid accounts for an estimated fifty percent of the same market segment.

Research by Larry Webster (2009) reveals that Toyota has technology used in fuel conservation; voice activated navigation system, Bluetooth connectivity and a Lane Keep to assist to automatically get the car on the road if case it swerves. Furthermore, the TMC technology incorporates use of solar controlled air conditioning to aid energy conservation and a Pre-collision system that can prevent collisions. Battery technology has been greatly changed and improved whereby automobile users can make a selection from efficient fuel technologies aimed at making life easier, comfortable and secure. 

Why These Two Factors Might Change to Toyota’s Detriment

Langlois and Pimentel (2010) urge that premature unveiling of energy and security technology have poses great risks whereby for example in 2010, Toyota recalled half a million Prius Hybrids plus another 8 million cars for defects in the braking systems. These technological hitches threaten the car maker’s share of the competitive car market. Introduction of new crash regulations, which restrict car’s minimum weight (Webster, 2009), to some extent negate the company’s technological innovation aimed at increasing fuel efficiency.


Recent technology glitches are now getting attention from the IT industry and are beginning to gain credibility (Langlois and Pimentel, 2010). This should be a more welcome move for an industry that has to increasingly create new softwares to run its new car technologies.

Though it is not the only motor manufacturer to recall its cars, the recalls should be avoided at all cost in the future as they may depress consumer confidence which may result in loss of some of its market share to its competitors.

Webster (2009), in his analysis of Prius Hybrid, talks of an eager wait by customers for improved battery performance and that a plug-in version is expected to appear in the market in one year’s time. The car buyers’ preferences are a very clear pointer as to the direction the car manufacturing technology should be heading, especially in a market where fuel prices continue to rise and where people are more cautious of the carbon footprint they will leave on our planet.


To benefit from the factors that will dictate success of future market for Toyota Motors Corporation, greater effort has to be put to the technological arm of the organization to enable it achieve its long-term business targets as recently reported by its engineering Vice President, Takeshi Uchiyamada.

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