Economics-Entry 9

Toyota Predicts a Hybrid Majority

http://blogs.wsj.com/japanrealtime/2013/04/18/toyota-predicts-a-hybrid-majority/?mod=WSJBlog&mod=japanblog

WSJ, April 18, 2013

Summary

Since Toyota began producing hybrid vehicles in 1997, the demand of hybrid car has been steadily increasing worldwide. At the time Toyota started hybrid car product, they were not able to confidently predict share of hybrid car among vehicle market; however, significant increase in hybrid car proves that Toyota's prediction was right. Despite several big obstacles to overcome, including low share in the U.S. and Europe, hybrid car is the most appropriate alternative for normal cars since electric and hydrogen vehicles are not fully developed to be produced. For the most part, in this trend, people may buy more hybrid cars.

My thought

It is undeniable that people are buying more hybrid cars than the past. Since 2011, Hyundai and Kia also began producing hybrid cars in order to meet the trend, but it seems not as successful as Toyota did in the world market. I reckon Toyota's early action played significant role in starting hybrid trend in automobile market, making Toyota the best hybrid producer as well as seller. If Toyota had not tried to produce hybrids because of risks and let other corps to produce those for people, Toyota would have been also lagged behind the trend and had hard time as Hyundai does.