Honda Case (Chapter 3) – Strategic Management Essay Example

prices down and save the customers money.

One disadvantage is that it would limit the development of new and better technology for the future if they are both focused on the same engine standard. Is Honda’s strategy of producing a different engine standard than Toyota and not collaborating or licensing to other automakers a good one? What would you recommend? There are different perspectives on the strategy Honda chose to produce a different engine standard than Toyota and not collaborate or license to other automakers.

Honda has been successful in the auto industry and perhaps it is a good idea so that they can set themselves apart from their competitors however, Honda remains a small automaker compared to their competitors and if they chose to collaborate and license to other companies, perhaps they could be a bigger more successful company. I would recommend that they collaborate and license to other automakers because I think it would help them to become more successful than they currently are.

Why do you think Honda is simultaneously developing hybrids, diesel, natural gas, and fuel cell cars?

Should Honda pick one upon which to focus its efforts or is it important for Honda to pursue synergies (and preserve its options) by developing and promoting multiple technologies? I think Honda is developing different technologies simultaneously because they want to keep up with their research and become a leader with new technologies and be able to develop vehicles for the future that are considered good for the environment. I think Honda should pick one technology, fuel cell cars, to focus on and put their efforts towards.