3. Should Urk Kuldar Inc. enter into a Joint
Venture with Toyota Motor Company to
design and manufacture a specialized, all
terrain, armored vehicle?
4. The Situation
In 2012 Urk Kuldar Inc. turned down an
estimated $25 million in contracts because
of their location
Unable to operate in required terrain
Would need specialized vehicles
5. Specialized Vehicles,
Specialized Problems
Expensive
Too specialized
Limitations
Multipurpose option costs $4 million each
Market is limited in options
6. Why Toyota
Urk Kuldar Inc.
Hilux with only a
uses primarily few modifications
Toyota Hilux and went through
Tundra “Impassable”
Highly satisfied terrain to become
with current motor the first automobile
pool driven to the North
Pole
8. Urk Kuldar Inc. History
Started as Urk Kuldar
One of the largest
Securities October private security
2000 companies in the
Started by Mogg world
Bonecutta
Third highest client
Shaun Calvin took satisfaction rating in
ownership May 2006 the world
January 2008 Urk
2012 profits were $6
Kuldar went Public as Million
Urk Kuldar Inc.
Current estimated
worth: $71.2 million
9. Urk Kuldar SWOT Analysis
Strength Weakness
Excellent reputation
Relatively small
Highly trained
Can not effectively
Personnel offer all services in
Experienced all regions and
Management environments.
International
Limited
Recognition
Manufacturing
Capabilities
10. Opportunities Threats
Relatively untapped
Competition from
markets available larger, more well
Rising need for established
private securities companies
world-wide
Competition with
Expansion available higher operations
into other fields capacities
Large quantity of
Surge of new
trained workforce to competition offering
draw from cheaper services
11. Toyota History
Started 1933 by
2006 Surpassed GM
Kiichiro Toyoda as worlds larges
automaker by 128000
Founded in Japan
vehicles
1935 produced A1 car
Current President:
& G1 Truck
Akio Toyoda
Toyota Crown first
In 2012 reported
Japanese vehicle to
283.5 billion in profit
be exported
2003 produced 6.78
million vehicles,
second only to GM
12. Toyota SWOT Analysis
Strength Weakness
Wide range of car variants to
Immense competition
offer
from world class
One of the oldest car
competitors
manufacturers which brings
high brand awareness
Lesser grip in
Highly diversified product European market as
portfolio
compared to other car
World class R&D and
manufacturers
Engineering capabilities
High brand awareness and
market presence in the
international market
Product known for durability
13. Opportunities Threats
Expanding Automobile
Intense competition in the
market and opportunities market leading to
for launching new saturation
products
Competition offering
Concentrated efforts in innovative features at
hybrid segment can help lower price
Toyota become a market
leader
New entrants in the same
segment with better
Augmenting worldwide features and lower price
distribution and servicing
network to increase
Car manufacturers
market penetration catering to high ended
customers
14. Recent Toyota Issues
Recalled 6.5 million vehicles for problems
with the acceleration peddle during late
2009 and early 2010
Recalled 7.4 million vehicles due to fire
hazard caused by electrical issues in
October 2012
In 2011 an earthquake hit Japan,
disrupting the their ability to manufacture
these parts. As a result of this interruption,
production in the US dropped to 30%
capacity
15. Urk Kuldar Inc. Risks
Could lose $4 million after selling related
assets
Damaged Reputation
Loss of future clients
Loss of some current clients
Total losses could be close to $8 million
16. Urk Kuldar Inc. Benefits
Supplied a fleet of the new vehicle for the
cost of manufacturing
Gain ability to accept contracts in
previously regions previously unavailable
worth around $25 million/year
Receive 20% of total profits from sales
estimated at $1.4 billion
Improved reputation
17. Toyota Benefits
New vehicle to sell, nothing else like it
Marketable to government, security and
industrial sector
These sectors will still spend for this
product even when the public has cut back
on buying other models.
Improved reputation for quality
Significant profit
18. Recommendation
We recommend that Urk Kuldar Inc.
participate in this joint venture with Toyota
Motor Company in both designing and
marketing of the new vehicle. In addition we
recommend using our manufacturing facilities
in place of those in Japan to produce
necessary parts for assembly to prevent any
unforeseen break in supply from overseas.
19. Works Cited
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