Business Management

Running Head: BUSINESS MANAGEMENT
Business Management

BUSINESS MANAGEMENT
Table of Contents
Introduction...........................................................................................................................................2
About Honda.........................................................................................................................................3
Business Model.....................................................................................................................................5
PEST Analysis.......................................................................................................................................7
Key elements for the success of any organization.................................................................................9
Recommendations for the company.....................................................................................................11
Conclusion...........................................................................................................................................12
References...........................................................................................................................................13
1 | P a g e

BUSINESS MANAGEMENT
Introduction
Honda is a Japanese Multinational Conglomerate which is mainly recognized for
automobile production. The company has also aided other companies in programming the
manufacture of military aircraft. Honda has also remained dynamic in motorsports such as
Superbike racing, Grand Prix and others. The report will familiarize the business model,
marketing structure principles and some of the current practices carried out by Honda to
operate successfully in the current business environments. Honda upholds an outstanding
management style in their organization; the report will elucidate the management styles
upheld in Honda. The report will highlight Honda’s way of operating its business in the
current environment by highlighting its business model. Some of the prime steps taken by
Honda in order to achieve success in the global marketplace are deliberated in the report. An
organization has to understand the external factors affecting its business practices; the report
also uses PEST analysis in order to comprehend the impact of Political, Environmental,
Social and Technological factors on Honda. The report also deliberates the importance of key
elements such as market trend, rivalries, demand and supply for the success of any
organization. Furthermore, a strategic recommendation for the continuous growth of Honda
has been elaborated in the report.
2 | P a g e

BUSINESS MANAGEMENT
About Honda
Honda Motor Company is a Japanese Public International Corporation headquartered
in Tokyo which is mostly recognized as a manufacturer of automobiles, motorbikes, power
equipment & airplanes. The company initiated to manufacture motorbikes from the year
1949, and in 1953 the company first announced the Honda C-100 which was a small-engine
motorbike. By 1959, the C-100 was the largest selling motorbike in the world. Apart from the
motorbike and automobile business, the company also produces marine engines, power
generators, garden equipment, personal watercraft and many other products (History, 2019).
A precise management style has been always upheld by Honda; most of their
management style is determined by the numbers, such as Respect for Individuals (3
Fundamental beliefs), 3 Joys and 5 Management policies (Honda Motor Co., 2019).
Three fundamental beliefs
The fundamental belief of Honda is ‘respect for individual’, and the belief is categorized into
three parts, which are mentioned as follows.
o Initiative: One should be creative and act on his own enterprise and decision, rather than
being limited by predetermined ideas.
o Trust: People who are connected with Honda should share mutual trust among themselves.
o Equality: Honda creates equal prospect for each individual irrespective of caste, creed,
educational, economic or color differences (Honda Motor Co., 2019).
Honda’s Management Policies
o Struggle persistently for a pleasant work-flow.
o Always progress with determination & youthfulness.
o Enjoy the work and efforts
o To be aware and attentive to the importance of research
o Cultivate new concepts and uphold an understanding that time is a precision element of life
(Honda Motor Co., 2019).
The Three Joys
3 | P a g e