A classic case of flank defense failure: Japanese cars successfully entered the American market. What is the specific situation? See the expert's advice!

Case: "Toyota" enters the American market Part I Case Original: Japan's automobile industry was established as early as World War II, but its product quality is poor, its technology is backward and its development is slow. After the war, due to the introduction of foreign advanced technology, equipment and management methods, and the guidance of modern marketing concepts, Japan, which had no foothold in the world market in the 1950s, surpassed the United States in the early 1980s to become the first country in the world with an annual output of 7 million cars. 198 1 year, the number of cars exported by Japan is the sum of the exports of Germany, France and the United States. Take Toyota as an example. 1965, Toyota * * * exported 288 cars to the United States. 10 years later, it surpassed its main competitor Volkswagen and ranked first among American automobile importers. In the early 1980s, the annual output exceeded 3 million vehicles, making it the second largest automobile manufacturer in the world. From 65438 to 0985, its sales in the American market accounted for 20% of the American auto market. Under the influence of the traditional concept of "what to produce and what to sell", Toyota's first car exported to the United States was a disaster. The car named "Toyota Baby" looks like an old square box, the engine sounds like a truck, the interior is rough and uncomfortable, and the lighting is too dim to pass the driving standard in California, and no one cares. The abortion of "Toyota Baby" forced the company's decision makers to calm down and reconsider the strategy of entering the American market. First of all, Toyota used the information collected by the government, commercial enterprises and American market research companies to understand the needs of American dealers and consumers, and found that the needs were not met or not fully met. They found that Americans' traditional idea that cars are status or gender symbols is weakening. As a means of transportation, cars pay more attention to practicality, comfort, economy and convenience. For example, long-distance driving requires comfortable seats, large legroom, easy control and smooth driving. Lower purchase cost, less fuel consumption, durability and convenient maintenance; The traffic is getting more and more crowded, which requires small cars to park conveniently and turn flexibly. Secondly, Toyota studied the shortcomings and defects of competitors' products. In the market research, Toyota found that Detroit automakers are arrogant and conformist, and even face challenges from competitors, warning signals from the government, consumers' refusal to buy and opportunities for soaring inventory. On the basis of market research, Toyota accurately delineated a target market divided by demographic and psychological factors, and designed American Japanese cars that meet the needs of American customers. Corona has knocked on the door of the American market with its advantages of small appearance, economical purchase, comfort and stability, and convenient maintenance. Case study: More than 20 years ago, when Toyota Motor Corporation of Japan opened up the American market, it only sold 228 Toyota baby carriages, which made it difficult for Toyota to enter the American market in the future. The changes and trends of the marketing environment faced by Toyota Motor Corporation are as follows: 1) Several American automobile companies are famous and powerful, and have incomparable advantages in technology and capital. 2) The business philosophy of American car companies is that cars should be luxurious. They are busy with luxury, so their cars are huge and consume a lot of gas. 3) The growing trade friction between Japan and the United States makes American consumers have an instinctive distrust, rejection and hostility towards Japanese products. 4) Americans' consumption concept is changing, and their traditional concept of car as a symbol of identity and status is gradually weakening and turning to practicality. They like American cars with large legroom, convenient driving and stability, but they want to greatly reduce the cost of the car, such as low price, low fuel consumption, durability and convenient maintenance. 5) Consumers have realized the increasingly serious traffic congestion and environmental pollution, and the number of people riding buses and bicycles has gradually increased. 6) There are a large number of nuclear families in the United States, and the family size is getting smaller and smaller. Any enterprise often faces several threats and market opportunities. However, not all environmental threats are equally serious, and not all market opportunities are equally attractive. Enterprises can use "environmental threat matrix diagram" and "market opportunity matrix diagram" to analyze and evaluate. The analysis of environmental threats and market opportunities needs to be combined with the enterprise's own situation and characteristics. At that time, Toyota Motor Corporation had obvious advantages in the production, management, technology and management experience of small cars. Therefore, the above trends of 1, 3 and 5 pose an environmental threat to Toyota. The trends of 2, 4 and 6 bring market opportunities to Toyota, so that Toyota may enjoy "differentiated benefits" (see the figure below). The horizontal axis of the "environmental threat matrix diagram" represents the possibility of threats, and the vertical axis represents the potential severity. When Toyota entered the United States, there were three environmental threats (1, 3,5 trends) in the "environmental threat matrix", and the enterprise threat 1, 3 was "potential severity" and "threat possibility", so these two environmental threats were the main threats. As for threat 5, although the "potential severity" is great, the "possibility of threat" is also great and it is not the main threat. Because Threat 5 is a threat to the whole automobile industry, one of the reasons why people tend to turn to transportation is that they feel the traffic is heavy. However, after careful analysis, people will not give up cars completely. After all, cars are more convenient than public transport, and they just want to get an "ideal" car, so there is still a great demand for convenient parking and flexible cars. The horizontal axis of "Market Opportunity Matrix" represents the possibility of success, and the vertical axis represents the potential attraction. Toyota has three "market opportunities" (trends 2, 4 and 6) in the "market opportunity matrix", among which the best market opportunities are 2 and 6, which have great "potential attraction" and "possibility of success". Opportunity 4 is not a good market opportunity because its "potential attraction" is low and its "possibility of success" is high. In this way, there may be four different results in bid evaluation by the above method: (1) ideal enterprise, that is, the enterprise is in an ideal operating state, such as high opportunities and low threats; (2) Adventure enterprises, that is, enterprises are in a state of high opportunities and high threats; (3) mature enterprises, enterprises are in a mature state, that is, low opportunities and low threats; (4) Difficult enterprises are in a difficult state, that is, low opportunities and high threats. From the above analysis and evaluation, we can see that Toyota has two main threats (1 3) and two best opportunities (2,6). In other words, Toyota is an adventurous enterprise, that is, it is in a state of high opportunities and high risks. The second part of the original case: Japan's powerful domestic automobile manufacturing base not only provides Toyota with experience, but also lays a material foundation for its overseas expansion. 1965, under the guidance of "offensive strategy", Japan played the combined role of a whole set of strategic systems and pushed Japan to the American market. Product strategy. In the face of strong competitors such as the United States and Western Europe, Toyota's product strategy is to avoid the real and make the virtual, and produce cars with high quality, miniaturization, convenience, reliability and applicability, with the aim of making Japanese cars accepted by American consumers as a means of transportation. Toyota has beautiful appearance, exquisite and elegant interior, comfortable seats, soft glass color, and the power and performance of the engine are twice as high as that of Volkswagen. Even the armrest length and leg space are designed according to the American figure. As it is suitable for American consumers' tastes, the Corolla car quickly established a high-quality reputation as soon as it entered the American market, and the customer dissatisfaction rate dropped from 4.6% in 100 cars sold to10/0.3% in 1969. After Toyota established itself in the United States, they quickly increased their investment, established the most advanced factories, trained first-class engineering and technical personnel and front-line workers, and strengthened scientific management, which laid a material foundation for greatly improving labor productivity and economies of scale. From 65438 to 0969, the average annual output of Toyota was as high as 39 vehicles, which was 3.42 times that of General Motors in the same period. Pricing strategy. The goal of Japanese cars entering the American market is not to get high profits per unit product, but to enter the market as quickly as possible. In order to win potential customers and set a price far lower than that of competitors, Corolla sold for less than $2,000 when it entered the American market, and then it sold for less than $65,438+0,800. In the 1970s, when the automobile technology gap had been eliminated, Toyota was 400 ~ 1000 dollars lower than American cars of the same model and function. The low price, together with stable quality, good performance and low maintenance cost, has established a good image for Toyota. American manufacturers have no strength to fight back, and the market share of large pieces is gradually eroded by Toyota. Distribution channel strategy. On the basis of detailed analysis of competition, Toyota chose an effective distribution strategy. First of all, provide good after-sales service, establish a wide range of service outlets, and provide sufficient spare parts before launching each sales offensive to build a solid support point for sales success. For example, Toyota had 384 agents and spare parts worth $2 million before it put the Corolla into the American market in 1965. Secondly, select key sales markets, concentrate all efforts to attack the target market, and basically penetrate the key markets before attacking the next target market. After Toyota entered the American market, it first chose four cities on the west coast: Los Angeles, San Francisco, Petran and Seattle. After establishing the beachhead, it began to attack the American market in an all-round way. Third, strictly screen agents. Insist that first-class goods must be distributed by first-class companies. Choose local middlemen and retailers with strong funds, high reputation and rich marketing operations. Their customers prefer imported goods. 1969 Although Toyota has only one model, 44% of the car dealers serve Toyota. Fourth, cultivate and encourage profitable dealers. When Toyota entered the American market, the profit per car was $65,438 +08 1, which was equal to the profit of distributing a big car. Promotion strategy. The core of Toyota's promotion strategy is to focus a large number of advertisements directly on the market. In order to establish Toyota's image, advertisements on TV make Toyota a household name. Toyota seized the opportunity that other manufacturers did not advertise in TV media and monopolized the right to broadcast automobile TV advertisements. During this period, Toyota's advertising expenditure greatly exceeded the level of its competitors. Toyota's advertising content is carefully designed by experts to avoid stimulating American competitors, intensifying trade conflicts between Japan and the United States, and trying to cater to American preferences. While vigorously promoting the importance of transportation in the United States, it mentioned various good functions and benefits that Toyota brought to consumers. This advertising war of "advanced car with American spirit" finally made Toyota win a great victory in this commercial war without smoke. Case study: When enterprises are faced with the best market opportunities, they should make good use of them. 1. Take the lead. The equality and timeliness of market opportunities determine that enterprises must take the lead and strive for initiative in the process of utilizing opportunities. In marketing activities, seizing the initiative includes two aspects, one is first, and the other is fast. In the process of seizing the market opportunity, whoever can "get there first" will win the time and space, the initiative and the victory. To take advantage of the same market opportunities, other enterprises often have to pay several times or even dozens of times of efforts. In the above example, Toyota Motor Corporation successfully entered the American market by taking advantage of the large-volume and high-fuel-consumption luxury cars produced by American automobile companies and the market opportunities brought by the shrinking of American families and the actual car purchase by Americans. 2. innovation. The equality of market opportunities determines the equality of enterprises in using opportunities, but others can also perceive these opportunities they are aware of. This requires enterprises to boldly "innovate" when taking advantage of market opportunities. If "seizing the market opportunity" is to strive to achieve "everyone has me", "innovation" means "everyone has me". 3. reply. It is impossible for enterprises to take advantage of the same market opportunity once and for all. In order to take the initiative in the competition, enterprises must take the initiative to consider the equality and variability of market opportunities at the beginning of using them, and put forward contingency measures predictably, including: which competitors will find the same market opportunities and how they will use them. After enterprises and competitors have taken advantage of market opportunities, we should consider what competitors should do when their strength is similar to our company and their products are similar. What if the product is ready? Will this market opportunity become an environmental threat? Continue to use this market opportunity or seek new market opportunities? (2) Resolving the threat 1. Resist. That is, trying to limit or reverse the development of unfavorable factors. For example, Toyota Motor Corporation can directly compete with its competitors, and compare with the big American automobile companies in luxury, grade and strength. This kind of antagonistic competition is fierce and generally not suitable. Toyota did not adopt this method when it entered the American market. 2. reduce. Threats always exist, and those that cannot be confronted can be alleviated and the seriousness of environmental threats can be alleviated. For example, in the process of advertising design and promotion at that time, Toyota tried to conceal the Japanese origin, characteristics and style of the car, emphasizing the American characteristics of the product and its adaptability to American consumers, thus alleviating the resistance of American consumers to Toyota enterprises. 3. transfer. That is to say, "avoid the real and be virtual", avoid environmental threats, and take advantage of the loopholes and weak links of opponents. For example, Toyota introduced a small car with low price, less fuel consumption, durability and convenient maintenance when American car companies were keen on large cars and consumer demand had changed. In the choice of distribution channels, there is no rush to set up their own distribution agencies, but the agency system is adopted to give agents great concessions. 4. improvement. That is to improve their own products and enhance their defense against environmental threats. For example, Toyota has added new functions to its cars to make them fully adapt to the American market, and has made comprehensive improvements in quality, price, models, promotion and distribution. Step 5 use it. Utilization can be understood as taking advantage of opportunities. For example, Toyota Motor Corporation takes advantage of these opportunities, such as "American car companies are busy with luxury", "American consumers' consumption concept of cars is changing and becoming practical" and "nuclear families appear, family size is smaller and total income is reduced", thus forming a demand for small, practical and cheap cars. The launched "Crown" car is not only beautiful in appearance, flexible in operation, fuel-efficient, low in price, convenient and fast. Moreover, the car is equipped with decorations that all Americans are eager for, such as soft and comfortable seats, soft glass, the length of handrails and the size of foot space are all designed according to American body requirements, so it has achieved excellent results.