Investigating Fuel Factors Affecting Toyota Sales in Australia

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This report investigates the role of fuel factors in influencing Toyota car sales across different geographical areas in Australia. The research examines the current crisis in the Australian transport industry, focusing on the limited fuel resources and their impact on Toyota's profit margins. The study employs a secondary analysis, collecting data from reliable sources to assess the availability of different fuel types (petrol, diesel, etc.) across various regions (NSW, VIC, QLD, etc.) and their correlation with Toyota's sales performance. The project proposal outlines the background of the problem, the aims and objectives of the research, and a literature review that highlights the challenges faced by Toyota due to fuel shortages. The report also includes a project plan with milestones and a schedule for data collection and analysis. The conclusion emphasizes the expected outcomes of the research in providing insights into the impact of fuel factors on Toyota's sales and operations in the Australian market. The study also explores the impact of fuel types and vehicle types on sales.
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Running head: PROFESSIONAL PROJECT
Professional Project
Name of the Student
Name of the University
Author Note
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1PROFESSIONAL PROJECT
Executive Summary
The current research project investigates the factors related to the fuel that affect sales of Toyota.
The research investigates the factors based on the geographical areas in Australia. The current
scenario of Australia transport industry indicates that car manufacturers and users are going
through a state of consistent crisis. The fuel resource in Australia is limited and as the result there
is a negative identified in the profit margin. The following study examines those factors related
to fuel products in regional area of Toyota in Australia. A secondary analysis will be conducted
in the study. The data will be collected from reliable secondary sources. The areas that should be
considered in the research have been presented in the following.
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2PROFESSIONAL PROJECT
Table of Content
1. Introduction-................................................................................................................................3
2. Project Context............................................................................................................................3
3. Project Proposal...........................................................................................................................4
4. Conclusion.................................................................................................................................12
References and Bibliography.........................................................................................................13
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3PROFESSIONAL PROJECT
Topic-Role of the fuel factor responding for selling Toyota cars according to the
geographical areas in Australia
1. Introduction-
The following study is based on the role of fuel factor influencing sales of Toyota cards
in accordance to the geographical areas in Australia. The increased availability and affordability
of cars in Australia inspires Australians to travel further than was possible before. The
organization Toyota has been performing the operation for a long time in Australia. Thus, it
thinks of the sustainability of the environment where it makes the most of its profits. However, in
the recent time, it has been observed that organization face a stiff challenge in its operation and
selling. This is only because of the shortage of fuel or the unavailability of fuels in Australia. The
organization observes a slow growth in sales. The study investigates the factors related to fuel
crisis that have strong impact on Toyota’s sales.
2. Project Context
The research is conducted on the factors associated with fuel availability in Australia that
is largely affecting the sales of Toyota. The research is supposed to investigate the fuels by the
geographical areas of Australia. The purpose of the report is to measure the type of fuels
available regionally across Australia. The fuels are differentiated with the type such as petrol
lead, petrol unleaded, total petrol, diesel and others. The fuel is differentiated based on the
geographical areas like VL, QLD, SA, WA, TAS, NT and ACT. It has been identified that the
use of fuel in these regions has been different. The use of this fuel has been more or less and this
is based on the demand in that market. The demand and supply of fuel does not remain in each
market. As put forward by Valadkhani and Smyth (2016), Australia, in the coming years are
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4PROFESSIONAL PROJECT
going to suffer oil crisis shortage, crippling suppliers of petrol, diesel within the coming years. It
was also studied in the existing report that Australia did not have long-term contracts in place for
the supply of crude oil that is further refined into fuel products.
Therefore, due to the shortage of these fuel products, the car selling company like
Toyota suffers from a significant loss in terms of sales compared to the performance observed in
the previous years. Due to the shortage of fuel products, the growth in petroleum industry is
limited (Fishman, Washington & Haworth, 2014). According to Australia Bureau of Statistics,
petroleum and coal products manufacturing is stopped for long. No location for manufacturing
the fuel items has been implanted. On other side, the sector also did not any growth in the
employment. As the consequence, the exiting car manufacturing company like Toyota suffered a
significant crisis of demand. The study examines the fuel factors on the basis of geographical
areas affecting sales of Toyota in Australia.
3. Project Proposal
Background and problem definition
Many car manufacturing firms like Ford and Holden, Toyota is on the verge of
stopping its operation in Australia. According to the financial report published in 2016, the
overall income of Toyota dropped to 23% to 486.5 billion (toyota.com 2017). In addition, the
scenario indicates that coming scenario is not favorable for the organization. The loss could have
been adjusted by applying new strategies. However, the shortage in fuel products is the major
external challenge faced by the organization in the recent time. The customers are going through
the anxiety of crisis of fuel products and the price of fuel products are also increasing. As the
consequence, the customers do not dare to make investment in new cars.
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Aims and Objectives
The aim of the project is to investigate the role of fuel factors affecting the sales of
Toyota based on the geographical areas in Australia. The project also highlights geographical
fuel challenges affecting the organization.
Objectives
ï‚· To analyze the role fuel factors affecting cars sale of Toyota
ï‚· To evaluate the geographical factors affecting the fuel products in Australia
Literature Review
It has been studied in the existing report that the country Australia has been suffering
from the shortage of fuel products. Like every other car manufacturing organization, Toyota has
also observed a significant loss in its operation. In order to analyze the reason for such
occurrence, each of segment operation of Toyota has been reviewed. The operation is segmented
based on geographical areas, by the types of cars and type of fuels. In order to make the
analysis, the data has been collected from secondary sources such as journals, annual reports,
published blogs, peer-reviewed articles, newsletter and other sources.
Geographical operation of Toyota in Australia
The supply and demand of fuel is based on the type of vehicles available in that market.
According to the Australian Bureau of Statistics, sales of vehicle in New South Wales in 2011
were nearly 675,152, followed by 562,844 in Victoria and 653,400 in Queensland. Likewise, in
2015, the overall sales of vehicles in NSW were around 776, 171 and around 632,496 were
recorded in Victoria (Abs.gov.au. 2017). Queensland and South Australia have also observed a
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significant increase in the sales of vehicles. On the other side, the report also indicates almost
84,401 heavy rigid trucks were recorded in New South Wales in 2011; in Victoria, it was nearly
777, 339 and Queensland recorded 69, 292. This figure was changed in 2015 because the sales of
heavy trucks increased (Abs.gov.au. 2017).
Regions Sale of Vehicles
(2011)
Sales of Vehicle
2015
Sales of Vehicle
2016
New South Wales 675,152 20,622 21,450
Victoria 562,844 26,160 26,779
Queensland. 653,400 21,060 20,784
Table 1: Sales of vehicles geographically
(Source: Abs.gov.au. 2017)
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NSW Victoria Queensland
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
675,152
562,844
653,400
20,622 26,160 21,06021,450 26,779 20,784
2011
2015
2016
Graph 1: Sales of vehicles geographically
(Source: Self-Made)
. However, Sang and Bekhet (2015) mentioned that the among the car manufacturing
companies in Australia, Toyota is well developed and progressed in its transition to sales as well
as distribution organization and will prolong to become a strong force in Australian market.
Differentiating by car types
As Australia is regionally different, the types of vehicles and their availability have also
been different. According to the report provided by Australian Bureau of Statistics, two motors
vehicles on registered were 6 in 2015 in NSW; in Victoria it was 5 only and in Queensland and
South Australia, the numbers were such as 7 and 4. In 2016, the numbers remain the same
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(Abs.gov.au. 2017). This scenario indicates that sales of two motor vehicles have not been
effective in Australia market. On the other side, 3 estimated average age of motors vehicles in
NSW in 2015 were 11. 2; the city Vitoria recorded 11.7 and in Queensland, it was around 10.6
(Abs.gov.au. 2017). This figure has not been very effective in last two years, as the figures
remain the same for three consecutive years.
The plug-in hybrid developed by Toyota gained the popularity because such type of cars
can be charged with external power source like 15 amp electric outlet with the capacity of
recharging time about 100 minutes (Toma & Naruo, 2017). Such hybrid model of cars works as
the substitutes of fuel, which is limited in the existing market in Australia. It has been observed
that Toyota has been selling hybrid vehicles for more than eight years, which has strengthened
the market position. After the global trail, Toyota in the recent time, has been observed to be
continuing its leadership with this technology by manufacturing its hybrid Synergy Drive
system.
Differentiating by fuel types
The sales of vehicles have been observed to be different even if they are differentiated
with the types of vehicles available. According to the Australia Bureau of Statistics, the number
of leaded were around 250,854; like the unleaded were around 11,801,876; petrol were around
12,052,730, diesel were recorded to be 1,464,429 and others were nearly 297,948 (Abs.gov.au.
2017). Likewise, the number of campervans based on leaded petrol were around 8,337; based on
the unleaded 9231; based on the petrol were around 17, 656 and based on the diesel were
around, 30,629 (Abs.gov.au. 2017).
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This strategy certainly helped the organization to burn the fossil fuels and being the
leader in the Australian market in terms of hybrid cars, the company started giving jitters and
throwing its considerable weight behind the hydrogen fuel cells. The hydrogen fuel cell vehicles
of Toyota that are already sold in UK, Denmark, Germany, Norway and Belguim have been
delivered to Australia also as the promotional vehicles (Fishman, Washington & Haworth 2014).
This invention has certainly helped the company to strengthen its internal capability.
Project Plan
Proposed Data collection and analysis approaches
In order to conduct the research, a secondary analysis will be conducted collecting the
data from the secondary sources. The secondary data will be collected from the peer-reviewed
journals, books, articles, published blogs and other secondary source. In addition to this, some
statistical data will be collected from the annual report of Toyota, Australia.
In order to make the analysis, the data finding will be linked to the outcome found in the existing
papers. Based on the objectives formed in the introductory section of the report, the data will be
analyzed considering multiple opinions of the authors in previous studies. To be more specific,
the organizational performance will be compared with the critical discussion provided in the
literature.
Research Gap
The literature used in the discussion lacks the discussion on the factors related to fuel, which
creates differences in the market. The literature have only talked about how the sale of cars can
be categorized based on the geographical areas. The studies have differentiated the fuel by its
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types such as petrol lead, petrol unlead, diesel and others but the studies did not discuss the
factors that influence this division. The studies did not discuss how the factors related to fuel
influence the sales of cars.
Milestone and Schedule
Serial No. Activities Start Date End Date Duration
1. Selection of topic 05/08/2017 07/08/2017 3
2. Formulation of aim and objectives 08/08/2017 09/08/2017 2
3. Literature review 10/08/2017 19/08/2017 10
4. Research methodology 20/05/2017 23/08/2017 4
5. Data collection 24/08/2017 31/08/2017 8
6. Data analysis 01/09/2017 06/09/2017 7
7. Conclusion 07/09/2017 09/09/2017 3
8. Final submission 10/09/2017 ------- 1
Selection of topic
Formulation of aim and objectives
Literature review
Research methodology
Data collection
Data analysis
Conclusion
Final submission
0 1 2 3 4 5 6 7 8 9 10
3
2
10
4
8
7
3
1
Duration
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Table 1: Gantt chart
(Source: As created by the author)
4. Conclusion
In conclusion, it can be mentioned that the proposed research will provide expected
outcome at the end because the research is conducted on the issues that are already identified. In
addition, the objectives have been formed based on the issues found. A brief of literature have
been provided to find out the existing issues that will be considered in the proposed research.
The research objectives make it easy to investigate and analyze the factors related to fuel
affecting the operation. However, the implementation of the research will further reveal the
actual factors with more details.
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