If Lexus is made by Toyota then how come it's not called a Toyota Lexus and it doesn't have the Toyota emble

Because its the best car made in the world. Toyotas best car has its own line.

Because Toyota knows it can slap a few nice, shiny things on a Toyota, call it a Lexus, and engage in price gouging.

That is the same question as asking why Ford, Mercury, and Lincoln does not have the same name plate..

Lexus is set up as a separate company that is wholy owned by Toyota. Two different company, and two different brand names.

What a stupid answer - 1st response. Obviously they're asking because they do not know but WANT TO LEARN.

It is all about branding and marketing. It allows each section to remain somewhat independent from the other and go in separate directions. This strategy let is the company sell to different demographics while sometimes using the same core of their products.

Branding. People would not want to pay as much if it said ''Toyota'' on the badge. Would you pay the same price for a Bently, Porsche or Audi as for a VW? After all, they are also the same company these days. Just like Acura being Honda, Ferrari and Alfa Romeo being FIAT.it is all about the image of that particular brand name. People who want a Bently would not buy one with a VW badge, even if the car was otherwise identical.

there is always a big company that makes alot of different items.
cars are made by same company, tho different make(style) and model (type).
you get and income level of high, middle and low..
Lexus, Land rover, Toyota.
Licoln, Mercury, Ford.
Dodge, Jeep, Eagle..
Cadillac, GMC, Chevy.

the list goes on!

They've intentionally created a separate luxury brand to market to a different customer segment. It happens all the time.

Years ago the US placed a limit on the number of Japanese cars that could be brought into the US. This was done for 2 reasons.
1. To encourage US buyers to consider buying US brand cars.

2. To react to Japan is decision not to buy as many american products. We buy more japanese products than they buy american prducts.

Toyota got around the quota by creating Lexus, Nissan created Infiniti, & Honda created Acura.

You will find that in many other parts of the world, the Acura Integra is called the Honda Integra. The Lexus SC is called the Toyota Soarer.

These changes were originally created to combat the import quota. Now these companies use it as an opportunity to provide the same cars with more luxury options.

The best way I've heard it explained goes like this:

Say you've got the Camry. It has a base price of about 19,000 dollars. But with options, u can bring the total price up to 45,000.

It is really hard to justify paying 45,000 for a Camry. But what if u divided the higher engine & luxury options & the lower engine & other options into two different cars, & arranged the options & pricing such that the two only just barely overlap?

Well, then you've got yourself the Lexus ES, which is a 33,000 base price car.it is much easier to justify spending up to 45,000 on that.

And u can still sell 19-30,000 dollar Camrys to the plebians.

It gets around problems of perceived value (particularly by people who wo not realize that they're essentially the same car if u change the badges & a little bit of sheet metal) & enables u to sell the same car to more segments of the market.

Now, not all Lexuses r sold as Toyotas in the US. But they tend to be Toyota is high-end models. Putting a Lexus badge on those actually HELPS the sales of ur low-end Lexus Camry/ES.

Look under the hood, some things r stamped ''Toyota'' on it . Fender panels, engine parts Toyota would have to raise some prices if they want people to buy more Toyotas marked Lexus . Just like GM does. they a few car/trucks with all the same insides but a different name makes it a little more expensive. Escalade, Avalanche, Silverado, Sierra, toss a sheet over them & u wo not be able to tell them apart.
Corvette & the XLR from Cadillac .Same but the XLR costs way more!!!
Leads u to believe they can get more money out of u for a different name on it..

To sell cars. If you're in the market for a luxury car, do you want to pay $80k and say, '' l have a Toyota''? No. Toyota created Lexus to compete with other luxury companies so you would not be paying $80k for a Toyota, you'd be paying $80k for a Lexus. Most other luxury car companies have ties with your average everyday cars too. For example, Mercedes-Benz and Chrysler are the same company. MIN l and BMW are the same, and Volkswagen and Audi are the same.

The company Toyota makes 3 different cars. They make Toyota's, Lexus, and Scions.
Volkwagens make Volkswagens, Audi's, Bently's, Skoda's, Seat's, and Lamborghini's.
Fiat make Alfa romeao, Ferrari, and Fiats.
GM makes Chevy, Saturn, pontiac, hummer, GMC, Daewoo, Saab, Cadillac, buick, oldmobile.

A little thing called marketing..would u pay $70,000 for a Toyota? Most people wouldn't. So they created Lexus & built up that brand is reputation for reliable, quality luxury cars.
Same reason GM makes Cadillac & Ford makes Lincoln. It helps them broaden the market that they can sell to.
Toyota recently also went in the other direction by creating the Scion brand to capture more of the economy car market (General Motors tried to do this with Geo in the '90s but that ended up failing & Geo no longer exists).

wow u must not now much about cars.well let me explain most car companies have a luxury line with it:
honda-acura
toyota-lexus
nissan-infiniti
ford-lincoln/mercury/jaguar
dogde/chrysler-mercedez
mini and bmw
gm-cadillac
and so on and so on
see look nobody would buy a toyota for the price of a lexus and anyways lexus is a complete luxury line while toyota is more of a basic to mid luxury line

Short answer: To break the Toyota public opinion of only being just everyday people is cars. To crack & enter into the luxury vehicle market & show that Toyota can produce reliable, sturdy yet luxurious & affluent vehicles.

Long answer: Yukiyasu Togo (head of Toyota Motor Sales USA in the early 90s) noticed how his friends & associates (all well-to-do executives) would rarely consider buying a Toyota. They felt that BMW & Mercedes were more their style & this did not sit well with Togo. He saw no reason why Toyota could not do the same as the Europeans & decided that they would crack into this market while shedding the conventional ''workman image'' of Toyota.

To do this, he needed a new sales channel & name. Long story short, Lexus was born through the refinement of existing Toyota platforms (first the Celsior which was upgraded & refined into the LS400). The goals of Lexus were to create a vehicle that was fast yet quiet, powerful yet fuel economical, sturdy yet light.

This yielded in the LS400 whose ads included the car running on rollers (so that the car would not physically move but the engine would run as if the car were) with a pyramid of champagne glasses on the hood. As the car sped up, the glasses would not fall.

Thus was born ''The Pursuit of Perfection''.