In 2011 Toyota Company suffered, from acute publicity, from an announcement to expand its operations outside Japan. This was a strategic move for increased market. The move incorporated a decision to slacken the company’s quality controls of manufacturing operations. This was criticized by customers and media. The company’s CEO, Akio Toyoda, was dragged before the press and congress and accused of poor workmanship and lack of concern to the manufacturing operations (McIntyre, Allen, Sauter, & Stockdale, 2012). The image resulted to a damage of the company’s most favored brand; hurt the company’s sales and a loss of the key stakeholders. Since last year, the company has lost potential customers, which may affect its growth capacity. The CEO, however, has been quoted severally trying to bring out the positivity of the strategy.
Wiesel and Binder’s marketing strategy involved the use online feedback and use of social media to reach customers. This can be said to be the best marketing strategy considering that their reservation system was online. This move is also modern and reaches over a million people in a day due to its efficiency and speed of information circulation. Currently, over 100,000 people are said to be using social sites in a minute.
The move has also captured the attention of media, and this means that more publicity (Nash, 2000). However, the marketing strategy has a limitation on the group that uses social media. Research confirms that, youths use social interactions more than the elderly and this means that the latter may not be fully informed. This may limit the targeted market, but with the use of other means like magazines, newspaper and TV shows, the concept will reach the target of the company.
Reference.
Nash, E. (2000). Direct Marketing: Strategy, Planning, Execution. McGraw-Hill Professional: New York.
McIntyre, D., Allen, A., Sauter, M. & Stockdale, C. (Sunday, August 19, 2012). The Atlantic: The 10 Companies Burned Worst by Bad Press.
