Quote:
Originally Posted by switchlanez
Guys, Toyota executes business on a per quarter basis (at least when I used to work for Toyota in '06). Q1, Q2, Q3, and Q4. A rough forecast for the *next* quarter is announced to execs around the start of the current quarter. A solid forecast reaches the whole company (internally) towards the end of the current quarter. Let's use our predicament as an example.
Right now we're at Q1 start (Jan-Mar). Jack Hollis and co. recently saw the Q2 (Spring launch) rough forecast and decided,
"These numbers don't look so hot compared to Japan. We can't announce the price like they did yet. How can we nudge up the demand? Ah yes: the First 86 ploy."
First 86 is timed perfectly so business analysts can get their numbers in by the due date (March, Q1 end). Q2 prices can't be based on Q4 2011. Demand garnered during Q1 will *heavily* factor into the Q2 price. Granted, there might be very little change between Q4 and Q1, but Q1 is what matters (bottom line) for Q2 predictions. Simple logic.
This is the business model I've been exposed to in all companies I've worked for in the corporate world. If someone can refute this system with fact, please do.
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So your speculation requires rebuttal with fact?
You are implying and speculating that Q2 forecasts were seen last week and that directly led to the first 86 marketing exercise announced today?
Typically a marketing campaign conceived over a weekend is in response to something like a surprise M&A or some other unforeseen event that a company feels compelled to respond to, not just some humming and hawing over internal forecasts. This first86 - as I opined earlier looks like nothing more than a simple, low-cost, marketing initiative that I am sure is all part of Toyota's grand master plan for getting folks interested in the car.
Just an IMHO, but it's sure as valid/worthless as your IMHO :-)