Toyota

In terms of the international corporate level strategy of Toyota, this essay focuses on its core competencies and value chain to decide what can bring a sustainable competitive advantage to Toyota.

3.1.   Core Competencies
Core competencies are the substance of what makes a corporation different from its competitors and have the ability to provide unique value to customers (Leonard-Barton, et al 1994).   Furthermore, according to Prahalad & Hamel (1990), core competency has four characteristics that it is rare, non-substitutable, costly to simulate, and can create value for clients. The paragraph below will focus on the specific situation of Toyota.

Firstly, Toyota is one of the largest automaker to push hybrid electric vehicles in the world, with high-tech development not only in auto-device making but also in non-automotive activities. This kind of technology is rare and difficult to imitate, as it contains a large amount of science, human intelligence and time value. Unlike choosing fruit to eat, there are no alternatives to substitute the technology such as hybrid electric vehicles as it has unique and rare characteristics.

Secondly, it has an excellent trade mark in Myanmar (Eleven, 2012), which establishes a solid foundation in stepping into the market of Myanmar. The Japanese government gives Myanmar about US$504 million loan (Business Daily News 2013), which also forms a promising base for Toyota to come into Myanmar. In this case, Toyota has received the support not only from the promising customers in Myanmar but also from its government, which generates non-substitutable value and core competencies for itself. More specifically, the company’s prestige in Myanmar is so significant that it can stimulate the buyers’ purchasing power and bring identifiable values to the consumers.   Furthermore, with the help of the government, the company seems to have more tightly relationship with Myanmar, which is a non-duplicated competitive advance....