Second phase

Toyota Analysis project

IFE Matrix
By:
Ahmed alhashemi (T.L)
Bader Alnaseem

2111116288

Khalid alasim
Abdulwahab al enezi
Mohammed al khubezi
Abdullah alradwan

#5

List of internal key factors:

Strengths
1. Recalled 6.4 million vehicles
They have risked their profitability to secure their reputation by fixing the
defect or replace the product
2. Strong brand image
Toyota is the oldest car industrial corporation that it has a history and a great
trust from each customer worldwide
3. Toyota has a worldwide engineers capabilities
Since Toyota has been expanded to nearly whole world they have got a large
segment of skilled engineers that they can use them to their advantage
4. Toyota has wide range varied of car categories
It is important for every company to imply *economic of scale* that having a
wide range and various type of cars lets the risk diversified and a large
customer acceptance
5. Toyotas investment in their human resources
Toyota realizes they should invest in their employees and they are known of
that because it is profitable to let them get experienced to benefit them in
the end
6. Technology advance
Toyota is Consistent on improving their technology and focusing on smart
innovation for example Hill-start-assist-control (HSAC)
7. Toyota is reducing their waste as much as possible
It is great to gain societies trust by providing them a clean environment
8. Prices are convenient to nearly every customer
Since Toyota has a large number of various car category their prices are
lowered for an economical use
9. Provide spare parts everywhere
Toyota opened a lot of spare parts store so it looks more like a grocery shop
so customers can find their needs.
10.

The fastest car delivery worldwide

It is very good to perceive competitors by delivering cars in 3 days rather

than 40 days at least like other companies

Weaknesses
1. Recalled 6.4 million vehicles
Toyota lost millions and had a risk of damaging its reputation by selling
vehicles that has a defective in the fuel system and it costed them 1.2$
billion
2. extensive depend on japan and north America markets
Toyota had an issue with their Competitor in the Chinese market because
G.M have tightened their market share in china
3. Toyota depends very much on its suppliers
It is not great to depend so much on certain suppliers because it is good to
have many sources of supplies
4. Toyota does not have a legacy category
Toyota means to sell only economical cars that they dont expand to more
luxury and sport category.
5. Lack of flexibility
Toyota Does not change their models very often that having the same car
model for more than a year is unfavorable
6. Complexity of new technologies
Toyota have a hard time when they obtain new machinery they have to train
their employees more and more
7. Toyota has a problem with their system
While working on a system Toyota deals a great loss rather than using it
because of its
(1)Cost
(2)Routine
(3)Less security
(4)Difficulty to use
3

8. Toyota Trade their time earnings 14 times

Toyota does not rise their stock share because they think it is more profitable
that way to reinvest the money while other thinks that Toyota should pay
more Divined
9. Poor allocation of resources
Toyota does not allocate their resources perfectly because it treats their top
level management with the best treatment against providing more benefits
to the company
10.

Being a Large corporation

Toyota have been dealing with more than just political and economic issues
to deal with while being a worldwide corp.

Internal Factor Matrix(IFE)

Strengths:
Factor

Weight

Rate

Recalled 6.4 million

vehicles
Strong brand image
Toyota has a worldwide
engineers capabilities
Toyota has wide range
varied of car categories
Toyotas investment in their
human resources
Technology advance
Toyota is reducing their
waste as much as possible
Prices are convenient to
nearly every customer
Provide spare parts
everywhere
The fastest car delivery
worldwide

Weighted
Score

Internal Factor Matrix(IFE)

Weaknesses:
Factor

Weigh
t

Rate

Recalled 6.4 million vehicles

extensive depend on japan
and north America markets
Toyota depends very much
on its suppliers
Toyota does not have a
legacy category
Lack of flexibility
Complexity of new
technologies
Toyota has a problem with
their system
Toyota Trade their time
earnings 14 times
Poor allocation of resources
Being a Large corporation

Weighted
Score