Essays on Entering of Honda Company into a Potential US Market Case Study

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The paper "Entering of Honda Company into a Potential US Market" is a perfect example of a marketing case study.   This report is all about Honda a Japanese world-leading motorcycle-manufacturing company. The report focuses on the strategies used by this company to capture the market both at home and Away. This analysis is looked at in two perspectives i. e sociological and psychological perspective. As much as Honda being a young company than other motorcycle manufacturing companies from other parts of the world, it rose to prosperity within no time and captured a large share of the world market.

Therefore, the report analyzes the strategies this company employed for it to reach such a standard. The report is divided into two sections, first, it discusses the strategies that caused this company to thrive in the home country i. e. Japan in its initial stages. The second section discusses how it managed to enter into a potential US market. Each section has also two parts, the part that discusses the sociological perspective and the second part that discusses the psychological perspectives exhibited in this company. The “ Honda effect” - a case study report Introduction This report is all about Honda a famous multinational motorcycles manufacturing company that has its headquarters based in Tokyo Japan.

Honda commenced its business operation humbly in the 1950s after the Second World War, thus, it is not a very old company unlike other motorcycle companies based in the UK and US. However, amusingly, it is the world’ s leading motorcycle manufacturer in the current times. The purpose of this report is to analyze the strategies and decision-making framework, which this company employed for it to rise to the top position despite its young age in business than its competitors.

This report is divided into two parts, the first part will discuss the early stages of Honda Company in its home country i. e. Japan. The second part will focus on the later stage of this company in the foreign markets most especially in the US market. MARKET ENTRY STRATEGIES OF HONDA Co. IN JAPAN The sociological perspective This renowned company started its operations in the 1950s by two partners Sachiro Honda and Takeo Fujisawa. These partners had different unique characters therefore when they collaborated, their uniqueness led to the sustainability of a business.

Honda was an innovative and enthusiastic engineer who pursued the innovation of new technology. While his counterpart Fujisawa was a wealthy businessperson who had a good experience in business operation. Their motorcycle manufacturing company named “ Honda” started at a humble beginning in a competitive business environment in Japan (Pascale, 1996). However, their success depended much on their sociological perspective. This company’ s initial stage of development comprised of only two people this kind of group can be categorized as a primary set where few members establish and maintain norms.

Teale, et al, (2003). Sociological studies show that a small group organization can easily come into consensus and make vital decisions within the shortest time as possible and is more cohesive in their actions. Honda grew steadily because it only composed of two people who had like (cohesive) minds and made a decision as fast as possible according to the demand of the prevailing situation. Teale, et al, (2003). Honda and Fujisawa were friendly, this led to what Harrison (1986) referred to as “ groupthink” .

This is a phenomenon that states that the more friendly and corporative the members of a group, the high the probability that independent critical thinking will be suspended for the sake of the group norms.


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