Toyota plans $1 billion marketing blitz in U.S.

Not only GM and Chrysler, Japanese auto companies has also been suffering and TOYOTA made its first-ever loss in the fiscal year of 2008 and probably in 2009 as well. The automaker has responded to the market with more fuel-efficient cars such as the Prius hybrid and Corolla. Also, Toyota rolls out new blitz in November and they are going to spend $1 billion in the US. However, the competition between US auto industry and growing Chinese auto industry suggests that car market has already matured. The auto industry is very close to the perfect competition, therefore it is very difficult for firms to make more than normal profits.