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CITY FACTS
AARP is a non-profit, non-partisan membership organization for people ages 50 and older. It was founded in 1958 by Dr. Ethel Percy Andrus, the first female high school principal in the state of California, who became interested in the poverty of retired teachers struggling to live on small pensions.
AARP evolved from the National Retired Teachers Association (NRTA) established in 1947 when Dr. Andrus joined forces with Leonard Davis, who helped her secure insurance for a group of retired New York teachers, in 1956. Two years later, Davis and Andrus created the American Association of Retired Persons to share the retirement benefits the NRTA had gained with the general retired population.
By 1959, AARP started a mail order pharmacy to help the elderly manage the high costs of filling prescriptions called Retired Persons’ Services, Inc., also a non-profit organization.
In 1963, Davis set up a holding company, the Colonial Penn Group and watched its revenues grow from $46 million to $445 million between 1967 and 1976 largely due to the NRTA /AARP members. During this time, Colonial Penn was the most profitable company in the United States, according to Forbes Magazine.
The NRTA and AARP officially merged in 1982 and the membership age was lowered from 55 years to 50 years of age, allowing for a larger pool of potential members.
An important distinction to be made is that AARP is not an insurer, nor does it pay insurance claims to its members. Instead, AARP allows its name to be used by insurance companies in the sale of insurance products and is paid a commission. In fact, AARP earns more income from commissions than it does from its membership dues.
During the 1990s, AARP began to want to change its marketing strategies to attract the “baby boomer” generation and those younger than 60 years old. Among the changes was an official name change from American Association of Retired Persons to AARP in 1999
In early 2007, AARP launched the “Divided We Fail” initiative designed to address questions about health care and long-term financial security.
Currently, AARP has two affiliated organizations: the AARP Foundation, a non-profit charitable organization that provides security, protection, and empowerment for older persons in need, and AARP Services, Inc. founded in 1999, that is a wholly owned taxable subsidiary of AARP and manages the products and services that are offered as benefits to AARP members that includes health products, travel and leisure products, and life event services.
AARP The Magazine and AARP Bulletin are both published by AARP Foundation, while AARP Services, Inc. founded AARP Financial, Inc. that manages AARP-endorsed financial products including AARP Funds.
At the end of 2009, AARP reported approximately $1.42 billion in revenue and spent upwards of $23 million in lobbying efforts. AARP claims over 40 million members, making it one of the largest membership organizations in the country and has approximately 1,300 employees.
On Local Cable, AARP seems to run hottest in the summer, with a spike in October. The total number of spots run in the last 12 months was 380,377. We included their spots for membership recruitment and the lobbying efforts they do on behalf of seniors. In July they ran 58,115 spots. Even with great older demographics on many stations, AARP doesn’t run much radio. For the last 12 months they only ran 15,884 spots with the biggest output in April with 4,736 ads. On TV, AARP ran 95,250 spots in the last 12 months, with large number of spots ran in July (11,865).POSTED: March 28, 2011
Honda Motor Company, Ltd. (NYSE: HMC) is a Japanese multinational corporation known for the manufacturing of automobiles and motorcycles. In October 1946, Soichiro Honda established the Honda Technical Research Institute in Hamamatsu, Japan, to develop and produce small 2-cycle motorbike engines. Two years later, the company was founded upon the engineering of Honda’s first motorcycle, the Honda Cub.
On June 11, 1959, American Honda Motor Company was established in Los Angeles, California as the first overseas subsidiary. By 1964, Honda Motor Company was the world’s largest manufacturer of motorcycles.
By the late 1960s, Honda began to diversify into making cars and trucks as well as power equipment. In 1969, American Honda began selling its first automobile, the Honda N600, however major success came later in 1973 with the introduction of the Honda Civic. Because of the oil crisis of the late 1970s, Japanese compact cars, especially the Civic, found a worldwide market with sales reaching the 1 million mark in 1976.
Also in 1976, the Honda Accord model was introduced and by 1982, the Accord was manufactured in the U.S and found popularity with middle-class Americans who wanted high-quality, reliable, and affordable cars. With the success of the Accord, Honda developed their luxury brand, Acura, in 1986.
Between the years of 1990-1992, the Honda Accord became the most popular, best-selling car in the United States. By the end of the last century, the Honda Insight was launched as America’s first gasoline electric hybrid automobile with an EPA rating of 70 miles per gallon.
Today, Honda is the sixth largest automobile manufacturer in the world, the fourth largest in the United States, and the second largest Japanese car manufacturer, surpassing Nissan in 2001.
They currently manufacture 12 different car models. In December 2010, American Honda reported annual vehicle sales totaling 1,230,480, an increase of 7.6 percent compared to 2009 results. Honda also reported $92.5 billion in total revenue and has 176,815 employees in 2010.
Toyota Motor Corporation (NYSE: TM) is also a multinational automaker whose headquarters are in Japan. The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his father's loom and weaving company to create automobiles. Three years earlier, in 1934, it created its first product, the Type A engine, and, in 1936, its first passenger car, the Toyota AA.
Following WWII, Toyota began focusing on the small car market to avoid competition with American car manufacturers and their first small car prototype was made in 1947. In 1950, company executives Eiji Yoyoda and Shoichi Saito, visited the United States and the Ford Motor Company factories to learn the latest automobile technology. Following this trip, Toyota introduced the first four-wheel drive Land Cruiser in 1951 as well as the Toyopet Crown, Toyopet Master and Crown in 1955. Two years later, the Crown prototype was exported to the U.S. and Toyota Motor Sales, USA was formed.
In 1966, the Toyota Corolla went on sale in Japan and quickly became Japan’s most popular family car and led the market for compact cars.
By the 1980s, Toyota had surpassed the United States in their combined automobile production and ranked only second to General Motors in total number of cars produced.
In 1984, Toyota entered into a joint manufacturing venture with General Motors called New United Motor Manufacturing, Inc (NUMMI) and by 1988, Toyota Motor Management, USA, Inc. began production of Toyota models. One year later, Toyota’s luxury brand, Lexus, was launched in the U.S.
After gaining success with their compact and mid size cars, Toyota began to branch out to producing larger, more luxury vehicles in the 1990s. In October 1997, Toyota launched their first hybrid car, the Toyota Prius.
By March 1998, demand was already exceeding supply and the Prius is now the top selling hybrid vehicle in America. At decades end, Toyota had produced 100 million vehicles domestically.
By 2000, Toyota’s total world-wide production exceeded 5 million vehicles. In 2002, Toyota began to produce a new brand of cars called Scion that was targeted to Generation Y in the North American Market.
In Toyota’s most recent history, the company was subject to international media scrutiny as well as U.S. Government investigation regarding problems with unintended acceleration and sticking accelerator pedals. The company issued recalls of approximately 9 million vehicles and cost Toyota $16.375 million in penalties.
Today, Toyota has bounced back and remains the world’s largest automobile manufacturer in sales and in production. They currently sell 16 different car, truck, and SUV models, with hybrid options available on the best-selling Camry and Highlander. In 2010, Toyota reported total revenue of more than $228 billion and have 320, 808 employees world-wide.
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