Case Study, 3 pages (600 words)

Case study on prius

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– What micro environmental factors affected the introduction and re-launch of the Toyota Prius? How well has Toyota dealt with these factors?
America has been a country, which has over a period being dominated by large sports utility vehicles (SUVs). A shift of customers view and change of preference from SUVs to hybrid was made possible because of a number of factors. In some states, owners of hybrids were allowed to park freely, secondly tax benefits were also available to customer, thirdly petrol prices were increased, and Toyota introduced Prius, which made customers buy it since it was cost effective because it used a combination of both gas engine and electric motors. The additions in luxury and design attracted more customers. In conclusion, Toyota foresaw the expansion of the market, and they were able to understand and satisfy their customers according to their desire. This gave them a competitive advantage and attracted marketing intermediaries such as Toyota dealers and eBay.
– 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?
Technologically a number of improvements were done to the Prius. To start with, the engine was modified and was made to use both electricity and gas. This implies that the vehicle gets power from only the batteries when moving at slow speeds and uses both the gas engine and electric motor at high speeds (Serway and Jewett 230). Apart from that, there was an addition of a single push button that was added for ignition and the inclusion of the large monitor that was used to portray the performance and the start of the vehicle that is fuel consumption, outside temperature and the battery charge level. Technologically, the hybrid was designed to be powerful and reduce the consumption of resources than previous cars. On the political factors, some states including Los Angeles and New haven provided free parking for hybrids vehicle. In addition, the state government gave additional tax breaks on hybrids and organization gave money to employees for purchase of hybrids. In addition, on the natural factors when the car stops, the gas engine closes, saving fuel. Noise generation by the engine in the Prius is also eliminated
– Evaluate Toyota marketing strategy so far. What has Toyota done well? How might it improve its strategy?
Toyotas marketing strategy is aimed at adopting green technology. This is so because all indication shows that Toyota plans to continue developing hybrid cars. It has planned to release a new lineup of hybrids based on next-generation lithium-ion batteries, which are more powerful than the ones currently in use.
– GM’s marketing director for new ventures, Ken Stewart, says, ”if you want to get a lot of hybrids on the road, you put them in vehicles that people are buying now.” This seems to summarize the U. S auto makers ‘ approach to hybrids. Would you agree with Mr. Stewart? Why or why not?
The American people tend to be more inclined in using vehicles such as trucks made by Ford. Mr. Stewart is spot on the way to get more hybrids on the vehicle. Thus, to increase the usage of hybrids there is a need to change the trucks into being more hybrids so that people will appreciate them more easily. When these individuals learn of the fuel efficiency that hybrids have they can easily make the change since the trucks consume a lot of fuel.

Works Cited

Serway, Raymond A., and John W. Jewett. Physics for scientists and engineers. 7th ed. Belmont,
CA: Thomson-Brooks/Cole, 2008. Print.
Prius. Leading a Wave of Hybrids. A Case Study.

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