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  1. 1. What Led to The Downfall ofThe Toyota Brand-Name Worldwide? s1170178 Yuya Ito
  2. 2. About Toyota Toyota was founded by Kiichiro Toyoda in 1937, and Akio Toyoda is grandson of the company’s founder is Toyota’s president. Toyota is a multinational automaker headquartered in Toyota, Aichi, Japan. Toyota has about 318,000 employees, and is the world’s largest automobile manufacture by production. Toyota group companies are Lexus, Daihatsu , Hino and so on.
  3. 3. What are The Factors for Toyota Downfall? Lexus crashed because accelerator is stuck in August 2009, and all four people in the vehicles was killed. U.S. Transportation Secretary Ray LaHood warned Americans not to drive recalled cars in February 3, 2010. Many fatal accidents happened after first case, and Toyota’s handling was too slow.
  4. 4. Recall Timeline Toyota recalled 3.8 million U.S. vehicles because floor mat problems cause the accelerator to get stuck in September 2009. Toyota recalled millions of vehicles involving popular to fix a problem that could cause accelerator pedals to stick even without the presence of floor mats in January 21, 2010. Toyota widened the recall of vehicles affected by the floor mat accelerator problem by more than one million vehicles in January 27, 2010. Toyota recalled million of vehicles in Europe in January 29, 2010.
  5. 5. Recall Timeline Toyota recalled about 437,000 Prius and other hybrid vehicles worldwide to fix brake problems in February 9, 2010. Toyota recalled about 8,000 Tacoma to fix a problem with the front propeller shaft that could cause the vehicle to lose control February 12, 2010. Toyota recalled about 3,800 Lexus in U.S. to fix a problem with the steering system in May 21, 2010. Toyota recalled about 270,000 Lexus vehicles worldwide to fix engine stalling problems in July 2, 2010.
  6. 6. Effect of Other Automakers Toyota has an extremely broad product line, so other automakers came from Toyota which sell a similarly broad spectrum of cars. GM (12 percent), Nissan (29 percent), Honda (13 percent) and Hyundai (10 percent) all experienced strong gains over sales in February 2009. Biggest winner Ford sold 142,006 cars and light trucks compared with 99,050 in February 2009.
  7. 7. How is Toyota Trying to Deal with This Problem? Toyota had be reconfiguring the shape of the accelerator system, redesigning the floor mat and installing a break override system in November 2009. Toyota had be temporarily suspending sales of popular vehicles and also halted production at five manufacturing facilities for the week of February 1 in January 26, 2010. Toyota came up with a plan to fix the accelerator pedals and that parts are being shipped to dealers in February 1, 2010.
  8. 8. How is Toyota Trying to Deal with This Problem? Toyota paid a $16.4 million fine to settle allegations by U.S. regulators because Toyota was too slow to recall vehicles in May 18, 2010. Toyota offered 0 percent financing over five years on 80 percent of its lineup to boost lagging sales. Customers who already own Toyota products received two years of free maintenance on a new purchase.
  9. 9. Conclusion Toyota happened problems from some parts of its vehicles, and Toyota recalled vehicles. Customers who want to buy car moved from Toyota to other automakers, and especially Ford increased extremely sales. Toyota worked out various schemes for problems, but restoration of the Toyota’s confidence may be difficult.
  10. 10. References CBSNEWS.COM, Toyota’s Humbling Fall, 0051.shtml The Washington Times, Toyota sales fall; Ford sharply, fall-as-more-fatalities-reported/ Wikipedia, Toyota,, Toyota recall timeline, autos/t/toyota-recall-timeline/#.TxvVN4FGSuI DailyFinance, Ford and Honda May Benefits as Toyota Recall Grows, benefit-as-toyota-recall-grows/