Toyota Motor Corporation Sustainability Analysis

This assignment analyzes the sustainability practices of Toyota Motor Corporation. It examines the company's focus on developing eco-friendly cars, implementing cyber computing systems, and adhering to the triple bottom line. The analysis also includes recommendations for further enhancing Toyota's sustainability efforts, such as adopting advanced technologies, expanding into new markets, and improving customer service through digital platforms.

RUNNING HEAD: Sustainability of the Toyota business 0
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Topic- Sustainability of the Toyota business
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Sustainability of the Toyota business 1
Executive Summary
With the ramified economic changes, sustainability in business organization is gaining
momentum throughout the time. Toyota Motor Corporation is a Japanese multinational
corporation having headquartered in Toyota, Aichi, Japan. The main objective of company is to
provide best quality of goods and services around the globe. This report has shown the key
understanding on the sustainability of Toyota Motor Corporation and its future business
sustainability for the betterment of organization. This research is based on the qualitative data
and reflects how well Toyota Motor Corporation has maintained effective sustainability to
protect environment from all kind of negative impacts. Toyota Motor Corporation should
maintained three key priorities named planet, people, profit of company.

Sustainability of the Toyota business 2
Table of Contents
Executive Summary.........................................................................................................................1
1 Background..............................................................................................................................3
1.1 Aim....................................................................................................................................3
1.2 Methodology.....................................................................................................................3
2 Definition of Sustainability......................................................................................................3
3 Company: Toyota Motor Corporation business functioning...................................................4
3.1 Pros and Cons....................................................................................................................4
3.1.1 The Pros.....................................................................................................................4
3.1.2 The Cons....................................................................................................................5
3.2 Future Sustainability.........................................................................................................5
3.3 Market Share.....................................................................................................................6
3.4 Comparison of Toyota Motor Corporation with competitors...........................................6
3.5 Authentic News.................................................................................................................6
4 Conclusion...............................................................................................................................7
4.1 Recommendations.............................................................................................................7
5 References................................................................................................................................8

Sustainability of the Toyota business 3
1 Background
With the increase in negative impact on the climate and environment, business organizations
have focused on creating effective corporate social responsibilities and business sustainability
activities throughout the time. After evaluating annual report of Toyota Motor Corporation, it is
analysed that company has focused on developing ultimate eco car with aim of achieving
harmony with the global environment. The prior aim of Toyota Motor Corporation is to increase
the integrating sustainability and awareness of environment protection through its sustainability
reporting.
In the vision of Toyota Motor Corporation, after seeing the collapse of Lehman Brothers
Collapse, company has implemented a business plan of implementing ultimate eco car with aim
of achieving harmony with the global environment. This will help company to mitigate all of the
negative impact on the society which arise due to its business functioning. The demand for the
developing ultimate eco car with aim of achieving harmony with the global environment is in
high demand as it will not only increase the sustainability of the environment but also crates eco-
friendly society in determined approach.
1.1 Aim
The main purpose of this report is to highlight the sustainability of Toyota Motor
Corporation business functioning. In addition to this, research paper of this study has focused on
future perspective, advantage and disadvantage of business sustainability activities of business.
1.2 Methodology
The main methodology for preparing the research paper on sustainability of Toyota Motor
Corporation is based on the article and sustainability report of company. In addition to this,
annual report and corporate social activities of company has also been taken into consideration.
2 Definition of Sustainability
Ramified changes in economic environment, business sustainability has gained momentum
throughout the time. The term “sustainability” is often defied as managing the triple bottom line.

Sustainability of the Toyota business 4
It is a process by which company manage its financial, social and environmental risks, obligation
and opportunity. These three impacts on the business referred as profit, people and planet of the
organization. Sustainability of Toyota Motor Corporation business functioning has been prepared
by focusing on the people, integrity of the society welfare and sustained all the natural resources
Bebbington, Unerman and O'Dwyer, 2014).
3 Company: Toyota Motor Corporation business functioning
Toyota Motor Corporation has international brand image. With a view to establish strong
sustainable brand image, company has focused on developing environmental friendly car.
Pros and Cons
This eco-friendly car will allow company to create sustainable brand image. It has been
considered that these developed eco-friendly cars will reduce the carbon emission. It will also
leave the society pollution free in determined approach. However, the cost of the car is
comparatively high as compared to its other cars offered in market. Nonetheless, company has
been working to make it affordable for each and every user by reducing its profit margin and cost
of manufacturing. It will increase the overall sustainability of the society and promote the
environment in positive manner (Ioannou, and Serafeim, 2017).
3.1.1 The Pros
Pros
1) Toyota Motor Corporation has developed eco-Friendly car which will reduce the hazardous
gas emission.
2) Reducing carbon emission on roads
3) Developing Triple Bottom line business functioning
4) Collaborative business functioning and focused on innovative and highly technical cars
5) Provide highly advance efficient cars and other vehicles.
6) Implementing positive corporate social responsibilities to increase the sustainability of
scarcity of resources.

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3.1.2 The Cons
There are several disadvantages and negative impact of business functioning of Toyota Motor
Corporation on the environments which are given as below (Wu, Wee and Lee, 2016)
Cons
1) High rise in price for the customers which becomes hard for them to buy Eco-Friendly cars.
2) These cars are having high chances of consistent breakdown and not sustainable.
3) Fuel availability and licensing problems
4) It requires high security measures and problems in cars.
3.2 Future Sustainability
Toyota Motor Corporation has adopted triple bottom line which will increase the overall
outcomes and integration of its advanced cars with the client’s expectation. Nonetheless, these
developed advanced cars offered by Toyota Motor Corporation in market will surely reduce the
carbon emission and keep the environment safe and secure. There are several sustainable futures
prospective which have been taken into consideration by Toyota Motor Corporation in its value
chain activities (Montabon, Pagell and Wu, 2016).
 Advancement of its eco-friendly cars and mitigating all the possible issues in its offered
cars.
 Installation of its electronic power supply system in its all cars.
 Developing hydrogen station as an essential infrastructure for its customers.
 Focusing on client’s security and installing advance security system in each and every car
segments (Epstein and Buhovac, 2014).
3.3 Market Share
Toyota Motor Corporation has expanded its business on international level. The total average
revenue of company has increased by 22% since last five years. In addition to this, company has
developed core competency in developing eco-friendly advanced cars in market. With the
increase in its brand position in clients mind on international level, it is evaluated that company
has been grasping good market share on domestic and international level. It is evaluated that
company has market share range between 2.61 and 4.61 in UK market share (Simmonds, and
Bhattacherjee, 2014).

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3.4 Comparison of Toyota Motor Corporation with competitors
There are several rivals who have developed core competency in its business functioning either
related to advanced technologies and managing their business sustainable in determined
approach. However, by analysing the annual sales and profit return of these companies, it is
found that company has maintained strong first position with the annual unit sales of 29717.
Rank Carmakers Units sales in years Market share
First Toyota
29717
33.7%
Second Mitsubishi 12217 14.4%
Third Honda 10550 12.00%
Fourth Isuzu 9257 10.5%
Fifth Nissan 9038 10.3%
(Ihlen, and Roper, 2016).
3.5 Authentic News
 “According to a World Health Organization (WHO) survey, Toyota Motor Corporation
has focused on educating people worldwide all the traffic rules and regulations to reduce
the accidents.
 “Another initiative is arranged for the safe mobility society on international level (Otani,
and Yamada, 2017).
4 Conclusion
Toyota Motor Corporation has focused to create value in its business by developing eco-friendly
cars. In addition to this, company has also installed cyber computing system in its business with
a view to manufacture advanced cars and eco-friendly system in business. The sustainability

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report of company has shown that company has focused on triple bottom line in its business and
operate its business for the betterment of the society and environment at large.
4.1 Recommendations
After evaluating the mass information of Toyota Motor Corporation and its annual report, it
could be inferred that company should focus on adding these several things in its business
functioning (Tognetti, Grosse-Ruyken and Wagner, 2015).
Recommendations
1
)
It should focus on installing new cyber computing enterprises resources planning in its
business to increase the overall outcomes of the organization.
2
)
To integrate with the advanced technologies and developing ultimate eco car with aim of
achieving harmony with the global environment
3
)
It should focus on expanding its business in other market to create synergy in its
manufacturing activities.
4
)
Developing customer resolving portal through its cyber system to increase the overall
outcomes.

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5 References
Bebbington, J., Unerman, J. and O'Dwyer, B. eds., 2014. Sustainability accounting and
accountability. Routledg
Ioannou, I. and Serafeim, G., 2017. The consequences of mandatory corporate sustainability
reporting.
Epstein, M.J. and Buhovac, A.R., 2014. Making sustainability work: Best practices in managing
and measuring corporate social, environmental, and economic impacts. Berrett-Koehler
Publishers.
Ihlen, Ø. and Roper, J., 2016. Corporate reports on sustainability and sustainable
development:‘We have arrived’. Sustainable development, 22(1), pp.42-51
Montabon, F., Pagell, M. and Wu, Z., 2016. Making sustainability sustainable. Journal of Supply
Chain Management, 52(2), pp.11-27.
Otani, S. and Yamada, S., 2017. An analysis of automobile companies’ intensity targets for CO2
reduction: implications for managing performance related to carbon dioxide emissions. Total
Quality Management & Business Excellence, pp.1-20.
Simmonds, D. and Bhattacherjee, A., 2014. Green IT adoption and sustainable value creation.
Tognetti, A., Grosse-Ruyken, P.T. and Wagner, S.M., 2015. Green supply chain network
optimization and the trade-off between environmental and economic objectives. International
Journal of Production Economics, 170, pp.385-392.
Wu, S., Wee, H.M. and Lee, S.B., 2016. Technical innovation vs. sustainability–A case study
from the Taiwanese automobile industry. Transportation Research Part D: Transport and
Environment, 48, pp.20-30.