I respectfully disagree.
Toyota did not become what it is because of the Prius. Prius is just a tiny fraction of its sales and if you look at their numbers, they probably don't even make back what the technology and production costs on the Prius. Toyota became the great auto maker becasue it followed basic business principles, the same principles forgotten by our beset MBA schools whose focus is teaching business leaders how to fast scam stockholders and playing with the books. Toyota's business remained focused on the basics. How to make a quality car at a good price. It learned how American auto buyers wanted, and slowly developed the products for the American buyer, never forgetting that quality has to be the top goal. David Halberstam's book "The Reckoning" is a great piece of automotive histroy as it examined the development of the Japanese auto maker mentality and US auto maker mentality. WHile US auto makers focused on a few flashy models hoping that bling bling would drive up sales, Toyota makes only 29 models, compared to 89 in GM's line. They focused on building a great automobile, one that did not have to go in for warranty work--lowering warranty costs significantly. They build cars tha lasted and fired up every morning. Long lasting relaible cars hold their value, creating more buyer demand. While US makers and UAW fought each other, creating exhobitant wages and benefits, Japanese auto unions are merely the creation of auto makers's facade and strikes are stage shows and results are alreayd known. See Karel Van Wolferen's "Enigma of Japanese Power" and William Ouchi's "Theroy Z". The vaunted Toyota Way is nothing more than sticking to basic busness ideals: make a good product and sell it at a good price. Toyota delegates authority to every perosn to stop the line to fix a problem. They don't employ "speed ups" on the line to rush production. They spend time to make sure a power door lock sounds and works just right. They make sure a door fits just right. They demand loyalty and pride from their workers, and workers in turn feel like they are contributing to a production of a fine product and not just pushing garbage. Simple management principals that originated in the US in the 1940-1960s, such as tjhe famous Westignhouse lighting expereiment. It is not about the prius, it is not about any one car or one failure in the US auto industry, but a complete domination of whole process, the zeitgeist of auto making that US makers have long forgotten.
