Toyota has been one of the renowned and famous international companies. It was started in 1867 and since then it has participated in automobile sales. It manufactures some of the most splendid brands of vehicles used by many people world worldwide. Toyota brands are regarded as first class hybrids as they are affordable and cheaper to maintain. In order to meet its goals and targets, Toyota Company produces environmentally friendly vehicles. (Toyota: Company, n.d., para. 1). As a company that has its headquarters based in Japan, Toyota Company recognizes and appreciates laws of other countries. In addition, it participates in social and economic development of other countries to sustain development of the nation. Toyota Company has 75 manufacturing companies based in 28 countries across the world (Toyota, n.d., para. 1). Through the 75 manufacturing countries, job opportunities have been established that have accommodated more than 320,000 employees helping them to meet their daily needs and a reasonable living standard.
Historically, Toyota has been operating in countries with free market system. This helps Toyota company to determine specialized prices brought about by forces of demand and supply. It is in a market economy where the producer can produce what he wants without the government interfering. This is only applicable if the producer abides by the rules and regulations of the country. Therefore, Toyota has succeeded in selling most of its brands due to its transparency nature. In addition, the Toyota Company has managed to get ready market through building more companies in different companies, increasing sells and more profits gained.
When exercising political power in a country it means that, either local or international companies are a target of political risks. For example, a change in a local tax law can affect the nature of profit trend in the Toyota Company. This is because Toyota will have to abide by the new tax laws and pay them effectively to avoid being suspended or expelled. Such a risk will determine the nature of expenses it has to incur while maintaining its customers. In addition, a company may be a target of specific political risk (Takeuch, Osono & Shimizu 2008, para. 2). For example, the American government may stipulate rules and codes that are directed specifically to Toyota Company. Such rules may, affect the nature of production and distribution and in the end affect a country sales. Therefore, Toyota makes sure that there is a clear understanding with the country it operates with before a contract is signed to make sure it does not get affected in case some politicians try to discriminate the company.
Stakeholders are important members of a company. Without them, most companies collapse, as they cannot make sales. The most important stakeholders of Toyota Company are consumers, managers, employees and retailers. Toyota always does its best to satisfy the needs of its stakeholders to keep the operations alive. For example, Toyota has to provide good quality products at reasonable rates so that customers of all income backgrounds can afford (Johnston, 2001, para.1). Spares should also be available for the consumers to attain them easily. This will make them trusted by many customers and a good relation built. In addition, communication has been the best mode of gaining useful ideas in the company. For example, Toyota has managed to undertake round table discussions with countries they operate in and involve their employees and community members (Bowen & Steven, 1999, para.5). This helps in getting better ideologies and find means of how to enhance the company and provide services that benefit both the company and the consumers. However, companies that operates internationally. Satisfying the interests of international stakeholders happens to be difficult. This is because some directors of the companies may be corrupt and do not adhere to the codes and conduct of a company. Therefore, some stakeholders may not attain their shares as they expect. Political social and economical natures of different countries may determine the rate of profits made by the company. If communication is not made between the company and the stakeholders then some stakeholders may decide to quite yet they are required for a company to succeed (Spear, 2004, para.5).
Toyota motor corporations works on guiding principles that follows to make the business a success. It involves various actions that are followed by the company when it operates locally or internationally. For example, the company honors the law of countries it operates in. It also considers the culture of other nations where it operates. Toyota motors entertain harmony with other local communities through innovative management and many more. Through this guiding principles Toyota manages to offer the best services to its customers. In addition, the respective countries will allow them to work without discrimination. In the end, it will increase sales, gain more profits and finally, good relations will be built between the company and the consumers.
There are many social programs undertaken by Toyota to achieve sustainable development. For example, Toyota has managed to initiate a five year Environmental Plan that is entitled to address environmental issues in South Africa (Cole, 2011, para. 3). This shows that Toyota motors is not only profit oriented, but also considers the developmental issues of other countries. Through the actions taken by Toyota over many years, it has been determined as one of the most prestigious companies in the world. With such actions described, Toyota monitors it manufacturers and makes sure its supplies reach the consumers efficiently and on time.
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