Marketing Essentials Report: Honda and Toyota Marketing Analysis

This report delves into the marketing strategies of two major automobile manufacturers, Honda and Toyota. It begins with an introduction to marketing principles and their significance in the business world. The report then provides a comparative analysis of the marketing mix (product, price, place, promotion, people, process, and physical evidence) of both companies, highlighting their respective approaches and strategies. Furthermore, it presents a basic marketing plan for Honda, including a company overview, SWOT analysis, objectives, strategies (segmentation, targeting, and positioning), budget allocation, and marketing mix elements. The report concludes by emphasizing the importance of marketing activities in achieving business success and positioning products effectively in the market. It underscores the value of customer understanding and the formulation of effective strategies to meet customer needs and demands. The report also discusses the use of benchmarking to measure the success of marketing ventures, specifically in Honda's plans to enter the Jet technology sector.

Marketing Essentials

Table of Contents
INTRODUCTION......................................................................................................................3
TASK 1......................................................................................................................................3
Covered in PPT......................................................................................................................3
TASK 2......................................................................................................................................3
Comparison of marketing mix of two different companies of same sector...........................3
TASK 3......................................................................................................................................5
Basic marketing plan..............................................................................................................5
CONCLUSION..........................................................................................................................8
REFERENCES...........................................................................................................................9

INTRODUCTION
Marketing is the major tool of business which includes understanding needs of
customers and making efficient relationship with them so as to formulate strategy that is
helpful for fulfilling needs of customers and to earn profits for the business. In current
scenario the businesses have understood the value of customer relation and their perception
so in order to maintain good relations with their customer businesses are trying to make
innovative marketing strategy so as to get business growth in short run and high sustainability
(Davcik and Sharma, 2016). With the view to understand these concepts thoroughly this
report is prepared with the background of Honda which is Japanese automobile, motorcycle
manufacturer. The company was founded in 1948 and having headquarter is in Minato,
Tokyo, Japan.
TASK 1
Covered in PPT
TASK 2
Comparison of marketing mix of two different companies of same sector
Marketing mix is the framework through which the business may implement various
methods so that to persuade their customer and to effectively position their product in the
market. This is the framework through which business will have idea about their strategies
and the best stragegy which should be adopted by them in the process of marketing activities.
The study of marketing mix for Honda and Toyota is explained as under:
Basis Honda Toyota
Product Honda is having total three
business sectors which are
named as automobile,
motorcycle and power
equipment. Honda
manufactures passenger cars,
mini vehicles and mini
trucks. Honda Civic, Honda
Accord and Honda CR-V are
the best sellers of Honda and
they are premium products of
the company (Deepak and
Jeyakumar, 2019).
Toyota is having 43 models
of cars in which they have
various segments such as
passenger cars, Toyota
hybrid, Toyota commercials
and many more. The
bestselling car of Toyota is
Toyota Corolla which has
sold 1.2 million cars till the
date.
Price Honda is having cars and
vehicles for all segments and
for that they are having
pricing strategy for all the
segments. Their pricing
The company is having
affordable price strategy so
as to sale their products. The
company is having separate
strategy for each of their

strategy is based on market
competition, market segment
and feature of their products.
In case of Honda dealership
do not have any right to
change prices, so the
fluctuations in prices are due
to taxes and currency
changes. So Honda is having
whole and sole power to fix
prices.
product which is based on
geography and demand. the
company is having high
profits due to feature of their
product and for every
additional feature the
company charges additional
amount.
Place Honda is having their head
office in Tokyo, Japan. The
company is having efficient
sales network which helps
the business to make their
product available to each and
every market segment. The
company is serving in 150
countries across the globe
which makes their selling
channels robust.
The company is having head
office in Toyota city, Japan.
The company is having
robust system of their sales
distribution through which
they are selling their product
and their parts. The company
covers more than 160
countries around worldwide.
Promotion The company is focused on
unique marketing strategy in
which they try to make
innovative slogans so as to
emotionally attach their
customers towards their
products. Further Honda uses
TV commercial on a great
extent and their
advertisements are
transparent and innovative.
The company is highly
focused on their customer so
they invest high money on
research so as to satisfy
needs of their customer. The
company uses personal
selling as promotional
method which helps them to
attract customer towards
buying their product.
People Honda is having 215638
employees in their
organisation and for their
continual development
company is highly focused
on giving training and
development sessions to
them so as to boost their
skills and to take maximum
advantage of their skills
(Feng, Huang and Avgerinos,
2018).
The company is having
370870 employees around
the globe they all are having
numerous skills which assist
the business in attracting
more customer so as to boost
their sales.
Process Honda is having high focus
on their customer
satisfaction. They interact
with their customers with
high hospitality level. On the
Toyota has adopted lean
manufacturing process in
which they are minimising
their waste so as to make
their business cost efficient.

other hand company is
having strict rules for their
dealer as they do not have
any intervention rights,
whole rights are hold by
Honda.
Physical evidence Vehicles of Honda are
designed so as to provide
comfort to their customer and
to take care of their needs by
design of their products. The
logo of Honda represents
their name which means
dream power.
Toyota is having three-
overlapping-ellipses logo
which represents the
commitments of the company
towards technology and
customer satisfaction.
TASK 3
Basic marketing plan
Marketing plan is the major requirement of business and marketing department as this
helps the business to get their marketing plan and process by which the company will
position their product into the market (Fuchs and et. al., 2016). The marketing plan is
prepared when the company is willing to put some new product into the market and this
includes blueprint all areas where the strategy is going to implement in the process of
marketing. The marketing plan of Honda is elaborated as under:
Company overview
Honda is a Japanese public multinational manufacturer of automobiles, motorcycles
and power equipment. Honda is one of the largest manufacture of motorcycles form the year
1959 and the largest manufacturer of internal combustion engine as they are manufacturing
more than 14 million engines per year. Honda has become to be the second largest
automobile company in Japan in the year 2001 and became eighth largest automobile
manufacture company in the yarer 2015. The company is focused on using artificial
intelligence techniques in their business so for this they launched a robot in the year 2000
named ASIMO. Honda has become the first automobile company who is having highest net
exports in United States.
Situational analysis
SWOT ANALYSIS
Strengths
 Honda is one of the largest automobile manufacturers in the world as this is
eighth largest manufacturer of automobile over the globe.

 The company is having efficient team of research and development which is
their backbone as it helps the business to modify their product as per the
global requirements (Hofacker and Belanche, 2016).
 Honda is the largest motorcycle manufacturer in the world which adds more
value to their business.
 The company is having high talent pool in their organisation, as they are
having more than 210000 employees which make the business growth oriented
(Wood and Jobber, 2016).
Weaknesses
 The company is having high cost structure which make their product little
costly so it is not possible for them to compete with their rivals as
manufacturing cost is high in UK.
 The most selling car of Honda, Honda Civic was having so many technical
problems such as sun-visor problems, premature tire wear and many more
which degraded the overall goodwill of Honda.
 The spare parts of Honda are comparatively expensive which gives second
thoughts to buyer about their buying decision of Honda cars.
 The company is highly dependent on North America for their profit
generation.
Opportunities
 Honda is focused to enter into Jet technology which will help them to
capture one more market segment.
 The global presence of Honda is increasing day by day which is the
greatest opportunity for them to grow in the global market.
 The company is introducing eco-friendly vehicles which is a CSR
movement and helps them to capture more customers from market
segments.
 As in current scenario demands of hatch back cars are high so this is an
opportunity for them to unleash the market by introducing new ranges.
Threats
 The fuel prices are increasing due to the demands of fuel cars are
decreasing.
 In the current time due to COVID-19 pandemic the company had to
stop their production as they are having huge inventory of their cars in
warehouse this may cause them to face heavy losses.
 The company is having so many competitors such as Toyota, Ford etc.
 The company has banned their entry in some market due to huge
carbon emission which has bounded the company to expand in the
market (Jackson and Ahuja, 2016).

Objectives: Honda is having SMART objectives for their new venture of entering
into Jet technology which are elaborated as under:
Specific: The Company has targeted to enhance their market by entering into new
market segment and capturing 7% of total market share in Jet technology.
Measurable: In order to measure their performance the company has decided to use
benchmarking and then compare their performance with others.
Assignable: For this the company has made a separate infrastructure and hired
employees specifically for this new venture (Kucuk, 2016).
Realistic: Honda is willing to enhance their market and their sales by this venture.
Time bound: Honda has estimated that within the time of 2 years they are supposed
to achieve their desired goals.
Strategies
Segmentation: Jet technology is used by the company who are involved in making
aircrafts so the major target of Honda is to focus on aviation companies so as to position
themselves in the marketplace.
Targeting: The Company is giving demo to aviation companies for their jet engines
so as to make them aware about innovative feature of Honda engines.
Positioning: Honda is an automobile manufacturer so they will advertise their
product on their website so as to position their product in aviation industry.
Budget allocation: The Company has passed budget of € 52959500 for this project so
as to get success of this project in the marketplace.
Marketing mix:
Product: The Company is willing to enter into Jet technology sector and for this they
are specifically manufacturing Jet Engines.
Price: As the product is high cost product so the pricing will also be premium pricing
strategy (McDonald and Wilson, 2016).
Place: Honda is planning to sell their product through direct orders by companies
which are involved in aviation industry.
Promotion: Honda is planning to have direct selling for their jet engines as this
product is having a specific market.

Cost allocation
Cost: Cost for the production of new product is discussed below:
Particulars Amount (€)
Marketing 5295950
Workforce 10591900
Equipments 21183800
Raw materials 15887850
Evaluation and control: In order to measure the effectiveness of their new venture
Honda is using benchmarking and by this they are determining their success ratio and growth
by comparing with other companies in the same industry (Shaw, 2016).
CONCLUSION
From the above report it can be conclude that marketing activities are essential for the
business to run effectively and to position their product within marketplace. The major role of
marketing department is to understand the needs of customer and thereon formulate strategies
so as to satisfy their needs and demands. Further interrelationships help the business to get
high efficiency and power to deal with complex business situations. Marketing mix is useful
so as to decide upon appropriate business strategy and at last business plan is prepared so as
to make action plan for the launching of new product into the market (Song and et.al., 2017).

REFERENCES
Books and journals
Davcik, N.S. and Sharma, P., 2016. Marketing resources, performance, and competitive
advantage: A review and future research directions. Journal of Business
Research. 69(12). pp.5547-5552.
Deepak, R.K.A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
Feng, T., Huang, Y. and Avgerinos, E., 2018. When marketing and manufacturing departments
integrate: The influences of market newness and competitive intensity. Industrial
Marketing Management, 75, pp.218-231.
Fuchs and et.al., 2016, April. Challenges in designing very small jet engines-fuel distribution
and atomization.
Hofacker, C.F. and Belanche, D., 2016. Eight social media challenges for marketing
managers. Spanish Journal of Marketing-ESIC. 20(2). pp.73-80.
Jackson, G. and Ahuja, V., 2016. Dawn of the digital age and the evolution of the marketing
mix. Journal of Direct, Data and Digital Marketing Practice. 17(3). pp.170-186.
Kucuk, S. U. (2016). Marketing and Marketing Mix. Visualizing Marketing, 3–7.
http://doi.org/10.1007/978-3-319-48027-5_2
McDonald, M. and Wilson, H., 2016. Marketing Plans: How to prepare them, how to profit
from them. John Wiley & Sons.
Shaw, S., 2016. Airline marketing and management. Routledge.
Song and et.al., 2017. Wetting and spreading of molten volcanic ash in jet engines. The journal
of physical chemistry letters. 8(8). pp.1878-1884.
Wood, M.B. and Jobber, L., 2016. The marketing plan handbook. Pearson.