Marketing Mix of Yamaha free essay sample

By the late 1960’s Yamaha proved themselves to be superior innovators. Yamaha Motor Corporation now spans in North America, Europe, Asia, Japan and other counties. They are a company that has 41,958 employees as of December 31, 2006. Yamaha Motor Corporation is a part of Yamaha Corporation. They have since expanded the gap between them due to Yamaha Motor Corporation’s expansions. Yamaha Motor Corporation continues to be innovators in motorized vehicles. They are number 2 in the world. Yamaha Motor Corporation is constantly trying to improve both their products and people. To improve their products they are improving their technology. To improve their people they are being socially responsible by volunteering with different organizations to make the world a better place. II. Environmental Analysis Yamaha Motor Corporation was branches off from Yamaha Corporation. The were founded in 1955. The first motorcycle they came out with was the Ya-1, which won 125cc class in the same year. Yamaha started in Japan and spread through out the world. A. The Marketing Environment 1. Competitive Force: Yamaha has many competitors. Most of which are very competitive and a threat. The products are all very similar to each other. Some of Yamaha’s competitors include, but are not limited to: Honda, Suzuki, KTM, Kawasaki and Harley Davidson. To keep up with these companies Yamaha must keep competitive prices along with innovative products. Honda, Suzuki, KTM, and Kawasaki are Yamaha’s top competitors. All 4 are in the same price range. Harley Davidson is a competitor to Yamaha’s Star motorcycles along with the other road vehicles Yamaha has. 2. Economic Forces: The economy has a lot to play in Yamaha’s success. If the economy is good people have more income to buy products that aren’t necessarily a necessity. The economy helps gage what will sell also. Now we have seen a great increase in gas which can make for more motorcycles and scooters on the road to help ease the pain at the pump. The competitors have a big impact on the sales of Yamaha’s motorcycles. For instance if there is someone who has no specific brand that they want and another competitor has a better deal odds are they might go with the competitor instead of driving a Yamaha. 3. Legal and regulatory forces: Legal issues that affect Yamaha. Yamaha has to make sure that everything goes along with standards to be a responsible company. They have to keep up with emissions rules. Perhaps an even bigger legal issue is the safety of the products they sell. If Yamaha fails to recognize a problem it can lead to a lawsuit, which could hurt the company. 4. Technological forces: Technology is a big issue in any industry. Yamaha has to keep up with their competitors and be the latest and greatest company. Yamaha must constantly figure out ways to make the fastest and safest machines on the road because there are many other companies. Yamaha was the first to come up with the 4-stroke engine. Before that everyone had 2-stroke engines. Yamaha is now working on technologies to make their products better for the environment. Yamaha is coming up with new technologies to help the environment and making old technologies better. Yamaha has also made a hybrid bike. Their ultimate goal is to be the only brand that people want. Not only are they the ones who came up with the 4-stroke engine and also ways to make the machines better for the environment, but also they are trying to make their products more compact. This is amazing because if a machine is lighter it will go faster. Making things more compact is helps with fuel economy and mileage. B. Target Market(s): Yamaha has many different target markets to fit their extensive product lines. They really try to make a product for men and women alike. Also they get the kids involved by making dirt bikes and ATVS that they can ride too. This is great because Yamaha can pull in the family aspect because everyone to be apart of the riding. C. Current Marketing Objectives and Performance: The current marketing objectives include branching off further from Yamaha Corporation to become more independent and defined. Yamaha Motor Corporation is also trying to find new ways to improve performance and safety. III. SWOT Analysis A. Strengths 1. Yamaha is an innovator of new ideas and products. 2. They were the first to come up with the 4-stroke engine. 3. Yamaha has competitive pricing. 4. Yamaha is constantly trying to bring technology into their motorcycles. 5. Yamaha is socially responsible so a lot of people want to buy their products because they do more then try to make money they try to make a difference. In return they make good profits. B. Weaknesses 1. Yamaha has a lot of competition. 2. The competition s trying to figure out the next best thing also. 3. The economy is a big weakness because people may not have as much money to spend on Yamaha products. C. Opportunities 1. Motorcycles are becoming a means of transportation because of gas prices. 2. The capital for Yamaha as of September 30, 2007 was 48,290 million yen. 3. Yamaha has 107 consolidated subsidiary companies. 4. They also have 11 non-consolidated subsidiaries. 5. Growth due to taking on more shares of stock. D. Threats 1. The economy is a big threat to increasing sales. 2. Technology costs a lot of money and consumers want technology without paying for it. 3. Price of new regulations to keep motorcycles legal. 4. Technology costing more money. E. Matching Strengths to Opportunities/ Converting Weaknesses and Threats 1. Because of gas prices are so high Yamaha can make a special involving buying a motorcycle and getting some free gas. 2. Yamaha Motor Corporation has many different outlets to raise their capital. 3. Yamaha Motor Corporation is starting to own more of their stock 7% more to be exact. Hopefully they can obtain more. 4. A way Yamaha Motor Corporation increase sales is to keep an eye on the economy to help make it easier to own a Yamaha. 5. Yamaha could start to charge more money to put better technology in their vehicles, but a downfall to that is it will be hard to squeeze people for more money even if they want the technology. IV. Marketing Objectives Yamaha Motor Corporation is in the business of making dirt bikes and other fun toys better and safer for all who enjoy them. It is their goal to continue to grow in their market. Yamaha Motor is a company that has worked since its founding to build products of high-quality and high performance. They also strive to be light weight and have a compact frame. Yamaha is a people orientated company. This is a fundamental element in their product creation and other corporate activities. They try to make products to make consumer more fulfilling by offering greater speed, greater mobility and greater potential. The overall marketing objectives really are to make the customer happy. They do this by providing the best possible product that they can. Yamaha strives to make sure that their products remain above the rest. V. Marketing Strategies A. Target Market(s): Yamaha Motor is doing whatever they can to target every market possible. They target adults, teens, and children both male and female. They do everything to make it possible for everyone to get a chance to ride a Yamaha. Yamaha is smart because they have many different options for people. This means they have something not only for all ages, but also for people who like different seasons. The have of course motorcycles, ATVs, sport ATVs, side by side, dirt bikes, boats, waverunners and many other things. Yamaha has vehicles for pleasure, sport, personal commuters, work and life support. Target Market 1: Yamaha has an extended line called Star motorcycles. This target market includes people who want to drive a classy machine for the road. These motorcycles are for a people who want a nice smooth ride. Usually the people riding these bikes are older and appreciate a nice classic motorcycle. To be able to ride a Star motorcycle legally the rider must have a motorcycle endorsement. Target Market 2: Yamaha also has a wide array of outdoor vehicles for the sportsman/woman. These include the utility ATV, side by sides and also generators. The atvs are built to take whatever abuse you can try. They are great for hunters who want to make their lives easier. Side by sides can be used to work by being able to tow things. These are also great for go 4 wheel driving or hunting also. Target Market 3: Yamaha has yet another target market with their sport ATVs. These are for those who love speed and 4 wheels. A lot of these atvs are used in professional events. These atvs are in range from 700 ccs to 50ccs. Which means the target market expands through adults and children. This is great for those children who want to ride the same machine as their parent. Target Market 4: Yamaha’s street motorcycles are different then the Star Motorcycle line. The bikes in this category are usually for the younger adult rider who wants a fast machine. These machines attract both younger adult and those adults who want to be younger. To ride these the rider must have a motorcycle endorsement. Target Market 5: Yamaha has scooter too. These are very versatile because they can be fun for all ages. These are great for those who cannot ride a real motorcycle. They have made these scooters so that they can be used on many roads, but cannot be used on expressways due to the lack of speed. These are perfect for people who want to perhaps save money and gas by traveling to work. These are also great for people in towns with bad traffic. To ride these machines the rider must have a motorcycle endorsement. Target Market 6: Yamaha has lines of snowmobiles. These snowmobiles are for those who like snow and speed. A great target market includes mostly adults, but teenagers can also take part in riding these machines. Target Market 7: Yamaha has awesome dirt bikes and motor cross bikes for all ages. Like the atvs everyone can use these dirt bikes. The only stipulation with dirt bikes is you have to be able to reach the ground. Target Market 8: For those adrenaline junkies who lover the water Yamaha makes many different kinds of water vehicles. These waverunners are used to yip around on the lake for 1 to 3 people. To be able to ride these they have to have a boaters license or adult supervision. B. Marketing Mix 1. Product: As one can see from all the target markets that Yamaha has one can tell that there are many different products. Not only are there over 8 different target markets, but within those target markets are many different extensions of the products. These products are high-quality to exceed customers need for speed and safety. 2. Price: Yamaha has competitive prices for high-quality products. The prices differ based on the vehicle and the amount of power in the vehicle. The price of a Star motorcycle is also very competitive with Harley Davidson. 3. Distribution: To distribute the products of Yamaha there are networks of dealerships that sell and market Yamaha’s products. Yamaha sends their products to the dealerships. The great thing about dealerships is that only certain competitors are in those dealers with Yamaha’s. There are even many dealerships that strictly sell Yamaha products, which of course is the best option. 4. Promotion: To promote Yamaha products they offer different specials during the different seasons. These include special financing options that make people want to go out and buy. Yamaha also has specials off of accessories when certain products are purchased. VI. Marketing Implementation Marketing Organization: Because Yamaha’s products span across the world they must have great organization skills. In each country there are different standards and different products. Yamaha has different divisions that take care of products of the other countries. This allows divisions to be able to focus on their country and what products are needed. Yamaha works hard to keep products organized, and people. Part of their marketing organization is to hire people that will best meet their needs to have a great product. VII. Evaluation and Control A. Performance Standards and Financial Controls: Yamaha has high performance standards to make sure that their product is the best product possible. According to their website they want to increase sales by 10% by December 31, 2007. This will help them increase their profits by 22 yen. Yamaha plans to do this by having great performance standards. B. Monitoring Procedures: They monitor their sales by using their actual sales vs. their planned sales.