Saturday, December 23, 2006

Toyota No 1 will face backlash

The NY Times is already setting up Toyota for a protectionist backlash when they become No. 1.
Being at the top could also make Toyota a fatter target for critics, particularly in the U.S. Congress, where its rise could fan a protectionist backlash, analysts said.

"Does being No. 1 matter? It matters for GM, and for America," said Hirofumi Yokoi, an auto analyst at CSM Asia. "It becomes a political issue when America gets passed in a core industry. Toyota will have to be even more sensitive and cautious in the U.S. market."
The only thing that can halt Toyota's rise to the top is Congressional action. Even that will not stop GM and Ford's decline. How did Toyota do it?
Toyota's rise would also prove a victory of sorts for its unique corporate culture, the so-called Toyota Way, which is rooted in an obsession with craftsmanship and constant improvement, or kaizen. Analysts said the Toyota Way would likely become enshrined as the industry's gold standard, and the model to mimic or surpass for new challengers from South Korea and China.
They are the best manufacturer in the world, bar none. The Toyota Way is already the gold standard. I just wish it and the Theory of Constraints would catch on in the chemical industry before it is too late. Regardless, GM and Ford had their chance and passed. Their decline is their own fault, not Toyota. Best make plans in the post-GM and Ford worlds. Their days are numbered.

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