Value Chain Analysis of 5 Companies

Submitted to: Dr. Supriti Mishra Prof. C.S.R and B. Ethics IMI Bhubaneswar

Submitted By: Aditya A. Dash Ajeet S. Chauhan Jubin Joseph

Contents 1. Bharti Airtel 2. TCS 3. Mahindra Rise 4. Toyota Corp. 5. Wal-Mart

this programme facilitates the delivery of improved child and maternal healthcare.are provided to more than one million farmers to improve farm productivity. been feted by its global peers and the society at large for the positive impact it has brought to bear on people’s forecasting. Airtel has also partnered with Columbia University’s The Earth Institute to provide connectivity to eight villages in six countries in Africa. but also ensure that this is done at a fraction of the cost stakeholders traditionally incurred. Similarly. IFFCO Kisan Sanchar Limited (IKSL). Not only has this made good economic sense but also minimised environmental impact at the design stage itself. reducing diesel dependence in 60% of the tower network. The globally recognised P7 Green Towers project of Bharti Infratel allows for 24. is a great example of farmer empowerment in India. in Africa. helps children bridge access to education challenges and enables a payment mechanism for solar-powered systems through three targeted individual projects enabled by Airtel’s mobile network. this is expected to be 100% for Airtel Africa. in turn. .Bharti Airtel Bharti Airtel has led from the front and. with an expected reduction in GHG emissions by around 150.000 mtCO2 per year. its services in the areas of banking. it has driven Its green initiatives further by making a determined move towards renewable energy sources like solar and wind to power Its tower networks. Initiatives like eGram in India have introduced revolutionary changes in governance and delivery of citizen services. commodity prices. a slew of hybrid battery banks have been deployed. Known as the Millennium Villages Project. Today. agronomy. agriculture related information services . its joint venture initiative with the world’s largest fertiliser cooperative federation IFFCO. particularly in rural areas. I strongly believe its networks will not only speed up the expansion of these services. Over the last few years. dairy farming and forestry . Its disruptive innovation of partnering with competitors for sharing passive infrastructure is today the industry benchmark globally. Under this programme. A similar project has also been initiated in Kenya. healthcare and education work to help bridge the Digital Divide as well as support national financial inclusion agendas. Mobile technology has also served as an enabler.000 tower sites to run on renewable energy. commerce. Its green initiatives have resulted in a reduction of 11% in GHG emission/terabyte for its operations in India during the year 2011-12. By 2013.

the Foundation has set up 253 schools across six states of India. Through its flagship Satya Bharti School programme. Broadband networks help create a connected’ economy and transform the way it work and live. The fact that broadband also makes a dramatic reduction in the overall carbonintensity of its lives has generally gone unnoticed. society can never progress. This is its dream. its vision. Education is the singular focus of the Bharti Foundation. catering to more than 16. In the deliberations of the UN-sponsored Broadband Commission. trickle down has just so much impact and. At the same time.As it enter the age of data. its journey. broadband delivers a multiplier and inclusive effect on the economy. These schools impart quality education. and Bharti Airtel in make the world a better place. the majority of whom are girls from economically weaker sections of society.000 children. to more than 37. my fellow Commissioners and I recognised the urgent need for governments across the world to expand broadband penetration by adopting long-term National Broadband Plans based on universal affordability and accessibility. Airtel Africa’s ‘Our School’ programme is a school adoption initiative under which 31 primary schools have been adopted across 17 African countries. as it believe that without this fundamental input. has in its own small way. It has sought to present a glimpse of the various ways that telecom in general. free of charge. In the process. I see broadband being the next lever that will impact its sustainability footprint. . often.000 underprivileged children. those not in the economic mainstream are left out. the Group’s philanthropic arm. Similarly. tried to touch the lives of millions of people .

secured. It actively engages with its customers and creates sustainable value for them through provision of innovative services. Rural users commonly depend more on mobile communications to stay connected. internet and SMS packs on an annual basis. It conducts around 5000 Service Camps to help service rural customers who have a need for face-to-face interaction. In a consistent effort to bring the technological revolution to remote areas. it Innovate and deliver a wide range of cost effective. while protecting their interests. Its approach ensures that it meet the diverse expectations of its urban. rural and multinational enterprise customers. ontime and customised services using the best-in-class technology for its customers. its rural Airtel Service Centres (ASC) sell ~248 million mobile. with what they want and when they want is of paramount importance to us.PEST analysis Customers 'Customer First' approach is deeply embedded in its work culture. It . It also ensure that customer service and delight is engraved in every employees' DNA to add value to every moment of the customer’s time. Connecting customers in the way they want. At Airtel. Some innovative approaches to connect to its customers include: • Reaching out to its rural customers: Rural and emerging markets contribute to approximately 60% of its customer base.

including Grahak Sewa. photocopiers and scanners to service rural and distant locations. • Empowering customers through self-care: The nature of customer interactions has changed dramatically in the past few years. web-based applications and SMS.aim to be a part of the lives of all customers thus making them advocates of brand Airtel. and Q4 '10-11 . It currently manage around 550 million transactions every month on self-care channels • Its Facebook interactions doubled and Twitter followers tripled in the past 2 years • Active presence on 114 online websites. secure. handling over 50 million calls per month. Its self-care portal. view performance reports. Recognising this. analyse bills and usage patterns online and view details of all its services.000 villages.000 Airtel Service Centres to service around 83. which enables us to connect with its customers in real time. enables its customers to seamlessly complete all transactions. • “More Smiles per Cubicle” for its Enterprise Customers: Its Global Service Operations Centre (GSOC) is always on a mission to provide reliable. supported by a staff of around 800. which sell. USSD. • Over 1000 vans equipped with cameras. • 14 contact centre partners with a team of over 20000 executives interact in 18 regional languages. online presence. recharge and handle customer service. • 20% of its postpaid payments are through online bill payment • Airtel online recorded approximately 50% increase in visits between July 2011 and March 2012.” • 73% of its postpaid and 32% of its prepaid customers use some form of selfservice. Customers find more value in the online experience in comparison to live interactions. it ventured into unconventional territories like IVR. Enterprise Central. • Nearly 10 million customers are serviced every month from these centres. • Nearly 27. proactive 24x7 monitoring.

validity. ISD and VAS offers through a 360-degree approach via multiple channels. social objects and prepaid self-care integration for enhancing usability and discoverability. thus allowing fleet managers to keep track of all the vehicles. an integrated telecom and IT application enabling enterprises to port Business and CRM applications on mobile devices and extend MAMO: Customer Accessibility on Multiple Channels call centre subscription • TrackMATE . Personalised offers based on the customer’s need and usage • Offering enhanced data experience through superior internet experience for broadband customers by providing speeds up to 8mbps. »For the last two quarters of the financial year 2011-2012. roaming.»For the financial year 2011-2012. The pioneering service provider in India to provide a single platform which empowers customers to access. • Enabling choices for the customer through Value Added Services (VAS). TrackMATE is helping organisations increase productivity with faster delivery of goods and reduce fuel consumption by monitoring vehicle routes. including customised talk-time. Airtel’s mobile internet customer satisfaction scores surged upwards by 57% for postpaid customers and by 40% for prepaid customers. and up gradation of Airtel Live platform with additional features such as federated search. Technology It work hard to provide its enterprise customers with the best technology available at affordable prices through leading innovations such as: • MATE – Mobile Application Tool for Enterprise.Airtel Business was the first telecom operator to launch a GPSbased tracking solution. • Enabling freedom for the customer through My Airtel My Offer (MAMO). The vehicle tracking application is available through mobile phone as well as the computer. . data services. editorial content. even when on the move. consolidation of all Dedicated Accounts (DA) of a single customer into one account. Airtel registered approximately 50% reduction in VAS and data complaints.

Airtel offers both private and public cloud offerings to suit the requirements of its customers. power and server management with guaranteed availability and round the clock support. • International roaming offerings .Its awareness drives on responsible data usage during roaming and continuous reminders during roaming with the usage details to safeguard customers from excessive usage without knowledge.Cost-effective voice and data packages for enterprise customers' employees. space. and remains at the heart of all its business operations. even supporting the growth visions of organisations that do not want to make large capital investments in infrastructure. Special attention is given to efforts that safeguard sensitive information and individual privacy. Airtel has adopted a number of policies and procedures to ensure security and data privacy. Its structured security-training programme encompasses all domains of ISO 27001 across the organisation and is conducted annually. business continuity and compliance. It offer frequent travellers a suite of valueadded services that redefines their roaming experience across its membernetworks. • Robust process of VAS consent management • State-of-the-art data centres providing a secure environment for customer data. Airtel has a highly trained team of security professionals to take care of information security. There have been several measures undertaken to secure customer interests: • Bill Protection and Bill Shield . .Cost effective solutions for customers which curtail costs on infrastructure. • Responsible data usage on international roaming. people and infrastructure safety.• Cloud offerings . Sustainability at Airtel begins with the protection of interests of its customers and other stakeholders.a default inbuilt feature for all post paid plans with a maximum limit that can be incurred on a customer’s bill to ensure a 'no surprise' data usage.

It have also started an exercise in consolidating its supplychain base to make its engagement more focused and meaningful. forced and child labour which are also periodically monitored for compliance and necessary action. ISO27001. ethical competition. accuracy of financial records. It believe that organisations that follow accepted practices and procedures are more likely to create reliable products in an environmentally and socially responsible manner. Airtel encourages its partners to publicly disclose their performance on environmental. safe working conditions. compliance with environmental laws.Supplier Ecosystem • Ensure that the outsourcing contract motivates the partner to come up with innovative products and/ or services that support its sustainability initiatives • Implement outstanding contract governance and ensure trust. ISO 9001. transparency and involvement of the partner at all stages • Create an ethical and sustainable supply chain. and those seeking certification are assisted in undergoing a certification programme within a defined period. Its Business Standards of Conduct includes (but is not limited to) such areas as compliance with applicable laws. prohibition of child and forced labour. Standard conditions of contract require supplier adherence to laws relating to human rights. Sustainable supply chain One of the important parameters of supplier selection at Airtel is the supplier’s achievement of management certifications such as TL9000. It are also working with its procurement team to embed corporate responsibility clauses in its contracts. . ISO 14001. and governance measures. social. and avoidance of conflicts of interest. Next in line is Airtel’s plan to adopt a framework honoring its commitment to sustainable procurement procedures. Recognising the socioeconomic benefits of local procurement. nondiscrimination against employees. OHSAS18001 and RoHS. it encourage sourcing from within the region’s economy. Suppliers with certifications for high standards in their areas of expertise are preferred. This is aimed at promoting underprivileged groups in society with a special focus on promoting women entrepreneurs and small businesses.

Increased use of telecommunications technology presents a number of opportunities to reduce emissions and waste. This challenge re emphasises the need to increase focus on usage of renewable energy. wind and biomass-based energy in areas with technical feasibility. greenhouse gas (GHG) emissions and waste handling procedures. on resource and energy consumption.15 million units per annum. It encourage its employees to reduce energy consumption and waste. Currently over 70 percent of the mobile towers face grid outages or erratic power quality in excess of 8 hours a day leading to network outages. It are also exploring the possibility of using renewable energy solutions such as solar. The formation of various telecom service providers like Indus. Infratel and others resulted in a reduction of the collective carbon footprint of the entire industry. Some of the planned interventions in this area include: • Powering of switching centres with renewable energy solutions . resulting in a significant reduction in energy consumption of 0. batteries.Planet Its planet has never needed a more focused and enduring effort at preservation as it needs today. and its infrastructure partners. and a variety of power management equipment. Its commitment to the environment. The largest rooftop solar power plant in the Indian telecom industry at Gangaganj. . This helps us in developing innovative solutions that minimise negative environmental effects. is with an aim to save 26. It are planning to replicate this in its other MSCs with 300 KWP solar power plants.000 litres of diesel per annum. Lucknow. To address this demand-supply gap. energy efficiency and concern for the planet goes all the way back when a decade ago when Airtel promoted the concept of telecom passive Infrastructure sharing to the world.Currently it have commissioned one solar plant of 100KWP at one of our main switching centres (MSC). telecom tower operators currently use diesel generators. At Airtel it continuously evaluate the impact of the services offered by us. With this approach it have worked with its partners to successfully transition around 2000 tower sites to solar energy. This has an adverse affect on the climate as well as hits the profitability of the operators.

apart from energy saving. 100 sites to Biomass and 50 sites to Hybrid battery solutions. which would have been difficult to implement due to high load. various energy saving initiatives were undertaken by its infrastructure partners over the years and in 2011 in particular these included. reducing energy consumption by up to 40% • Reduced power consuming BTS: We. • Network deployment with Outdoor BTS: An outdoor base station does not require air-conditioning which typically accounts for 35. have been working to develop BTS with reduced power consumption (1 to 1. power and thermal management systems minimises the running of back-up systems like DG sets. Its concerted efforts. in the last 5 years have enabled us to reduce power consumption per BTS by 60%. • Green shelter: This unique shelter with optimal cooling. by approximately 25 million KWH • Conducting trials to tap wind energy at various sites. .2 kW from 2 to 3 kW) which. These initiatives upon implementation are expected to save energy consumption.• Conversion of over 5000 additional sites to solar power. enables the usage of renewable energy such as solar energy. grid or diesel. In addition to this. along with its telecom equipment manufacturers.

to engaging with our supply chain partners in green procurement and disposal activities. water. health environment and affirmative action using volunteering. TCS conducts a diverse range of CSR initiatives in the areas of education & skill building. methods and practices built on and around the business model. waste and carbon footprint. security management and people processes. Integrating sustainability into business strategies and unlocking environmental efficiencies in the entire value chain is a significant value add. Planet and Profit as the central pillars of corporate sustainability. TCS offices as well as IT infrastructure are sustainably designed and built for maximum resource efficiency. running efficient operations. Externally. The TCS Quality Management System (TQMS) is a complete set of documents. with a focus on service & solution delivery. Towards this. sponsorships and pro bono leveraging of our IT capabilities as the modes of engagement. Profit: Sustainable Marketplace – In addition to ensuring sustainability of the Company’s business performance. Planet: Environmental Sustainability – From designing sustainable infrastructure. a dedicated eco-sustainability team works across industry verticals with an aim to provide next-generation sustainability services to customers. In addition initiatives focused at promoting supply promoting supply chain and procurement sustainability ensure the alignment of that our vendors and suppliers to the sustainability objectives. TCS takes a holistic approach towards reducing its energy. TCS has adopted the 'triple bottom-line' approach and recognizes that People.TATA CONSULTANCY SERVICES TCS embodies the Tata group’s philosophy of building sustainable businesses that are firmly rooted in the community and demonstrate care for the environment. material. It also includes suitable measurement . customer management. People: Sustainable Internal and External Communities More than 250.000 employees are the backbone of TCS. who are actively engaged with to drive sustainability initiatives. tools.

CBCP etc. attacks and failures so as to enable all our stakeholders experience certainty. customer management. product and service delivery. Legal and Compliance. accidents. These are professionals from various backgrounds and with a variety of experience. network privacy. CISM. covering network controls. Infrastructure services.protocols to continuously monitor the effectiveness of the quality system. career development and competency management. . knowledge management. Project audits are performed by an external quality controller (representative of TCS’ Quality Assurance Group or a senior team member from another project) to verify compliance with customer-specific processes and TCS Integrated Quality Management System (iQMS). TCS has implemented a comprehensive Information Security Management System (ISMS) framework based on the globally recognized ISO 27001:2005 ISMS standard. security management. The Company’s Security Vision statement is: “To make TCS reliable. business continuity. Networking.” In pursuit of this vision. internet security. patch management system and controls against malicious software. technology management. CISSP. TQMS focuses on all aspects of project management. resilient and immune to the existing and evolving volatile environment of constant changes. ensuring that customers experience a level of certainty that no other organization can match. associates and other parameters of diversity. including those from application development. Project Management Reviews (PMR) are conducted every quarter by senior managers to check the overall health of the project and identify potential risks. thus. Information Security and Data privacy Information Information security and data privacy is critical to the business. The Information Security is managed by a team of security professionals having industry-recognized credentials such as the CISA. Forensics. CEH.

Awards and People Practices Apart from bringing big benefits to customers. and increasing investor interest. created over a hundred product patents and its innovative products have won several awards from industry. TCS R&D continues to attract top research talent from India and across the world. of which 81 have been granted. internships and PhD sponsorships in research areas relevant to the Company as well as in premier academic institutions. sets benchmarks. (COIN)™ • Culture of Innovation: Knowledge Portals. rapidly changing country and industry regulations. boardrooms and chief executives recognize that sustainability is important for the future success of their businesses. transformation in the competitive landscape. in the following three areas: 1) Managing sustainability-based risk to brand and reputation – corporations are moving towards streamlining their compliance management processes and systems. in the last couple of years. TCS filed 425 patent applications and got 9 patent grants. In addition. TCS has. In FY 2013. and extending this into their supply chain and sourcing decisions.Innovation TCS has established a strong organizational locus for innovation . guides creation of Intellectual Property and facilitates Innovation diffusion. Details of the Company’s focus areas for R&D are provided on Page 25 of the Annual Report. Research based competencies have been introduced in the Company’s learning portal. The Company continues to support sabbaticals. TCS has been innovating in its service and product offerings as described on Page 28 of the Annual Report.280 patent applications. This is resulting in sustainability practices moving towards the core of the business. Innovation is delivered through: • Structured Innovation Engine: TCS Innovation Labs • Innovation Ecosystem: Co-Innovation Network. TCS has filed 1.the Corporate Technology Organization (CTO) – which governs innovation processes. Corporations are also enhancing and customizing sustainability . Sustainability as a mainstream business metric Driven by the cost and scarcity of resources. Cumulatively.

3) Driving sustainability-led business growth and innovation . while actively engaging their supply chain to ensure a sustainable value chain. and waste management. energy efficiency implementation. metering and monitoring. water. TCS’ Eco-Sustainability Solutions To take advantage of these trends. tracking reporting and verification 4) Supplier Sustainability Management: Designing supplier sustainability strategies and implementing systems to manage supplier sustainability information and to create visibility for driving product stewardship 5) Product Sustainability: Lifecycle assessments and product engineering. TCS provides the following solutions: 1) Sustainability Performance Management: Defining processes and systems to optimally manage sustainability performance of companies 2) EHS Compliance Management: Defining processes and systems to optimally manage compliance requirements of companies 3) Energy Management: Integrated energy management across the entire energy management lifecycle – diagnostics. based on Design for Environment (DfE) principles . identifying new markets and creating differentiation strategies. TCS has set up a dedicated EcoSustainability Unit with a primary objective of identifying and developing solutions which would help our clients drive their sustainability agenda effectively and efficiently.communications to their various stakeholders to better manage their reputation and mitigate any risks 2) Increasing business profitability through sustainability practices – organizations are employing sustainability practices.significant R&D budgets are being invested in creating sustainable products and services. such as energy.

It operates in nine segments: Automotive. Mahindra is the only Indian company among the top tractor brands in the world. Financial Services. tourism. Farm Equipment. which consists of services rendered for information technology (IT) and telecom. leasing and hire purchase of automobiles and tractors. which consists of trading and processing of steel. The Mahindra Group expanded its IT portfolio when Tech Mahindra acquired the leading global business and information technology services company. which consists of operating of commercial complexes. two wheelers and investment. after-market. Sys-tech. The Mahindra Group today is an embodiment of global excellence and enjoys a strong corporate brand image. spare parts and related services. project management and development. infrastructure development. which consists of automotive components and other related products and services. infrastructure development.Mahindra & Mahindra Introduction Mahindra & Mahindra Limited (M&M) is engaged in financial services. which consists of sale of timeshare. It employs over 1. from two. . which consists of sales of automobiles. IT Services. Hospitality. UVs.000 people across the globe and enjoys a leadership position in utility vehicles.range player with a presence in almost every segment of the automobile industry. It is today a full. Mahindra embarked on its journey in 1945 by assembling the Willy’s Jeep in India and is now a US $7. tractors and information technology. trade and logistics. which consists of logistics. Infrastructure. SUVs and sedan. trade and logistics. with a significant and growing presence in financial services. strengthening its position in the Electric Vehicles domain.wheelers to CVs. Steel Trading & Processing. The company is now known as Mahindra Satyam. Mahindra recently acquired a majority stake in REVA Electric Car Co Ltd. which consists of services relating to financing. spare parts and related services. tourism.00.1 billion Indian multinational. and Others. (now called Mahindra REVA). which consists of sales of tractors. Satyam Computer Services.

Even though subsidized lending rate have been provided to farmers by the Indian government.Mahindra is also one of the few Indian companies to receive an A+ GRI checked rating for its first Sustainability Report for the year 2007-08 and has also received the A+ GRI rating for the year 2008. There has been a reduction in availability of cheap farm labour. Technological NATRIP (national automotive testing and R&D infrastructure project) has been setup. There has been increased application of electronics on agricultural .09. Socio-cultural The size of irrigated land holdings in India has come down due to division of land among younger generations. In the recent Taxation policy introduced by the government the Custom duty in import of tractor has been reduced from 67 to 62. This has also caused the entry of private banks in the rural market quite difficult. The government of India offers incentives on R&D expenditures and promotes and encourages exports in the segment. Pestle analysis Political The agriculture and farm equipment sector has been recently liberalized fully.8 percent which has progressively reducing fiscal burden. The levels of education of farmers have comparatively increased in the past 5 to 10 years especially because of the education programs introduced by the Indian government. Economic The Pricing of tractors is done from the Indian farmer’s perspective who are usually poor and very price sensitive. This has also caused the buying capacity of the farmers to decrease. In the current business cycle of recession the availability of credit has gone down. The foreign trade regulation by the World Trade Organization (WTO) calls for a policy of 100% foreign direct investment. The Disposable income of farmers is quite less in the majority of India.

There has been Increase usage of haulage and non-agricultural applications. There has been increased movement towards secondary mechanization leading to use of attachments like reaper. M&M does Testing and certification as per OECD. New regulations noise/safety-NVH centre of excellence have come up.tractors like GPS and auto cruise systems. Legal There has been tightening safety and performance regulations in the recent years. combine or seed drills. Sustainability in Value Chain In year 2012-13 Mahindra has emphasised on water conservation in its sustainability report. There has been increased focus on production of fuel oil and bio mass power. The Engine performance has increased because of power train research and development. Environmental There has been increased focus on Agri based energy policy in near future. People. The drive is termed as changing the water equation “H2O to H2Infinity. The High yielding seed varieties and fertilizers facilitates farm mechanization. Planet. Profit       Green Buildings Risk Analysis Green Paint Technology Xeriscaping and Drip Irrigation System at MWC Micro-irrigation services 40% reduction in water consumption . The company has increased Implementation of scientific farming practices such as irrigation.time to help industry to introduce new models in shorter periods. M&M has to confirm to emission norms in near future-Bharat TREM IV/EURO3/US TIER 3. Profit. Rapid prototyping also helps in accelerated development. The irrigation water stock has reduced in the past years. The cumulative average monsoon in India has increases 5%. Accelerated testing techniques have reduced the development lead. They have categorised their drive in three parts i.e.

the Toyota AA. while still a department of Toyota Industries. the company reported the production of its 200-millionth vehicle. the Type A engine. Construction of a Check Dam Rainwater Harvesting Plants Planet        343 acre green belt Comprehensive Water Strategy Regular monitoring of wastewater Groundwater Recharge Centralised control instead of individual plant control a reduction of 75% in specific water consumption Grey water for Gardening Toyota Motor Corporation Introduction Toyota Motor Corporation is a Japanese automaker headquartered in Toyota. Aichi. it created its first product. its first passenger car. Lexus. Japan. and in July of that year. As of November 2013. Daihatsu.498 employees worldwide and. Maharashtra. in 1936. Mahindra First Choice automated the Underbody Washing Process which cuts water consumption by 50% It is cost competitive. Three years earlier. Toyota Motor Corporation group companies are Toyota (including the Scion brand). safe & fast People     40 parched villages Refurbishment of a water reservoir at Wagholi. and Hino Motors along with several "nonautomotive" . in 1934. The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his father's company Toyota Industries to create automobiles. and. In 2013 the multinational corporation consisted of 333. as of March 2013. Toyota was the largest automobile manufacturer in 2012 (by production). is the thirteenth-largest company in the world by revenue. it is also the largest listed company in Japan by market capitalization.

Still there are opportunities to be explored in emerging markets such as in South Asia and in Africa due to rate of inflation fuel efficient cars are high in demand but lack of service bases and marketing is keeping those markets off road. There are many hybrid drive vehicles are available in market but still opportunity is there to produce Hydrogen fuelled and Compressed Natural Gas powered vehicles although they are ultra-fuel efficient vehicles but not produced on mass scale around the world.companies. TMC is part of the Toyota Group. SWOT Analysis Strength Toyota has many strategies which behave as its strength such as its strong Production system which is constantly being simplified and improved. Toyota’s innovation of Hybrid technology has made it market leader and it is also its main strength. Perhaps this is why company has to shit its attentions to emerging markets such as china and Asia. Being market leader with largest sales of 9. Weakness Being largest automobile company has its own weaknesses. Further movement in exchange rates has already left narrow margins in car market. which results in successful product development. Further Toyota needs to keep producing cars in order to retain its efficiency. one of the largest conglomerates in the world.97million vehicles has made Toyota a strong brand. as well as high cost of training and retaining labour. Opportunity Automobile industry is growing every day so the technology is improving due to change in economic environment international oil prices are soaring and affecting fuel prices so demand for hybrid and electric vehicles is rising due to their fuel efficiency. Threats . Car plants represent huge investments in expensive fixed cost. So in case of downturn in market company will see an overcapacity and vice versa in case of upturn demand. Toyota markets its most of products in Japan and USA and therefore it is exposed to economic and political fluctuations in those regions. Toyota has partnerships around the world to develop new vehicles as well as manufacture existing products gives it strength to compete in the region with its competitors.

Potential Customer demand for Hybrid and fuel efficient vehicles are high in many African and Asia countries but due to absence of proper service and inspection bases companies do not market those products. But in the mean while conventional vehicles are subject to high charges of taxes.. In one way producing environmental friendly cars are advantage in some countries but in others this has not any affect because absence of any such law which privilege them over others.g. Economic Automobile industry survives in any region of world on the bases of economy of native country or region. Recall of products is one of threat which most companies cannot avoid as it cannot be predictable but this could result in losing customer confidence in brands. In UK Eco-friendly vehicles which produce carbon emissions less than100g/Km are exempt from congestion charges in Central London area and subject to low road tax charges. Economic recession around the world in 2009 has deeply impacted automobile industry as sales gone down for few and in meanwhile many have to file bankruptcy. Automobile Industry cannot provide services bases all around the country in some regions due to safety and security of its engineers which is a threat e.Technology used in vehicles is subject to failure which result in massive recalls of products and could cost millions to companies. . In meanwhile in regions where economic condition is not very good therefore government has placed many barriers on new cars such as increased taxes or most importantly high and keep rising fuel prices are biggest threat to automobile industry. Political stability of region also decides fate of automobile industry as instability in governments are threats to previously made contracts and laws which benefits industry. Rising prices of fuel is threating the sales around the world with addition to economic down turn is also a threat to sales. High duties in some countries on vehicles are up to 200% which decrease attractiveness of driving and is one of biggest threat to sales and act as a barrier to reach most potential customers. PEST analysis Political Politics of any region around the world has very extensive impact on any industry as well as automobile industry.

In many countries and region People prefer to use public transport due to its efficiency and fare prices which is threat for automobile industry in that country and countries like china bicycle is one of preferable source of short travel distances. developing new technologies is time taking and long process which is also believed to be a threat to sales for automobile industry Toyota’s Sustainability in Value Chain Toyota’s Approaches to the Creation of a Sustainable Value with Regard to Cars. New technological inventions have plays very positive impact on sale of vehicles around the world such as launch or fuel efficient vehicles and intelligent driving features. Technological failures also mean while become a threat to automobile industry because of public trust on those technologies. Some of their steps to create sustainability are as follows  New collaboration between Tahoka. and local communities  Contributing to sustainable development through initiatives based on three priority themes  Monozukuri  Developing people and region  Contributing to sustainable development through initiatives based on three priority themes o Contribution to a low-carbon society o Contribution to a recycling-based society o Environmental protection and contribution to a harmony with nature society  Contributing to society in collaboration with business partners  Business continuity management at Toyota . and Management. Toyota’s third manufacturing hub in japan. Local Communities.Social Local culture and social life is also very important roles or public preference travel. Many groups who aggressively who opposes automobile industries due to in harmfulness to environment also is a threat to industry. Furthermore. Technological Today technology plays very basic and important role in successfulness of any industry including automobile industry.

o Humanitarian aid o Early recovery of the affected areas o Restoration of company operations and production .

Wal-Mart is an international store that offers working families with the items they require at prices which are quite competitive. they make use of their strengths as a worldwide corporation to meet the regional needs of their consumers. In each of their worldwide markets. under 55 different names.500 stores in 15 countries. as the company is controlled by the Walton family. It operates in Mexico as Walmex. The company operates under the Wal-Mart name in the United States. 2011). It has been increasing its influence in international operations. This competitive . who own over 50 percent of Wal-Mart. It is also one of the world's most valuable companies. South America. and is the largest retailer in the world. SWOT Analysis Strength Wal-Mart is the largest wholesaler in the globe. Wal-Mart has 8. and in India as Best Price. Wal-Mart’s investments outside North America have had mixed results: its operations in the United Kingdom. It has wholly owned operations in Argentina. Wal-Mart’s market dominance leads to advantageous terms on everything ranging from the goods on its shelves to stock leases. and China are highly successful. and Canada. among the largest companies in America (DATAMONITOR. according to the Fortune Global 500 list in 2013. It was ranked number one in 2011 by Fortune 500. in Japan as Seiyu. is an American multinational retail corporation that runs chains of large discount department stores and warehouse stores. in the United Kingdom as Asda. it is capable of replicating its best strategies regularly on an unrivaled scale across the globe. and offer assistance to communities through their corporate social responsibility drives. the biggest private employer in the world with over two million employees. Inc. including the 50 states and Puerto Rico. The company is the world's second largest public corporation. whereas ventures in Germany and South Korea were unsuccessful.Wal-Mart Retail Chains Wal-Mart Stores. By it being a market leader. WalMart remains a family. Brazil. The wide spread of its operations is exceptional and there is no comparable competitor of such size.

These economies have been described as some of the fasting growing economies in the globe. The labor expenses for corporations in the . its dominant position and the variety of products that it offers permit it to quickly vary its products.advantage has generated its positive economic proceeds and market share advantages. Wal-Mart can gain from low-income customers’ growing wish for 3 consumable staples as an alternative of discretionary items. Opportunities Wal-Mart has been increasing its existence in a number of developing economies like Mexico. This limits its expansion in urban places where the space available is limited. Threats There has been a high increase of employees which indicates a possibility of increase in payroll expense and health care benefit expenses. By establishing in these places. This sort of flexibility and influence enables it to maintain its marketplace position. Wal-Mart is guarantee on increased volume of sales as time progresses. Thus. home wares and apparel. if they manage to be successful then Wal-Mart will have a competitive disadvantage. grocery. it has become more crucial for Wal-Mart to come up with a new set up that accommodates its limitations and which is more apt to the urban areas. which comprise of entertainment. Wal-Mart stores provide a large variety of generally known products. On the other hand. For instance. Weaknesses Wal-Mart is a big box vendor and runs supercenters which necessitate large area for every new stock. by shifting floor space share. Therefore. thus. it provides personal label retail across a number of categories. Moreover. Additionally. South Africa and Brazil. Studies show that store sales at Wal-Mart in America have reduced for eight repeated quarters due to its market place space limitations and costs. This is because its competitors like Costco and Tesco are also aiming to come up with new workable setups. This enables it reap the benefits of economies of scale.

and sustainability. the US has its plan to moderate the increase of supercenters in order to leverage capital assets through a plan which is designed to increase returns and sales in U.United States have been increasing as the health care charges and wages rose in the recent times. consumers in US who want one stop service go to Wal-Mart as their first choice. The rise in medical charges continues to outdo inflation and pay rise. Wal-Mart retail uses modern technologies for the core purpose of marketing. Thus. creativity. Currently. technology is among the foremost concerns on the agenda of marketing in Wal-Mart as this leads to productivity. employees are worried about losing their positions and possibly their health cover. reliance on the internet and social media for advertising and selling is vital for the company’s development. For instance. technology. the understanding of continuously changing environment. One of the basic drivers that are likely to cause the rise in medical charges in 2012 is that. health care prices for the US workers are estimated to rise by 8 percent in 2010 and 8. In the economic side of it. This is because in the recent business situations adopting the modern marketing strategies is essential. On the part of social analysis. it has been subjected to the law suit for gender and racial discrimination.5 percent in 2012. According to business estimates. Its strategic plans take the place of long term plans. Wal-Mart has been at times subjected to political actions and law suits. Similarly. For instance. stores. and competition compels Wal-Mart to think strategically and to decide pretty fast. they make use of their health care excessively while they still contain it. PEST Analysis for Wal-Mart PEST analysis presents an evaluation of macroeconomic framework that affects a particular industry or firm. .S.