Operations Strategy : Hyundai Automotive Industry Question 1. The automotive industry is one of the main ingredients of the Korean national growth. In 2004, Hyundai Motor Company had $57.2 billion in sales in South Korea making it the country's second largest corporation. It is also the world's seventh largest car maker. In 1998, Hyundai acquired rival Kia Motors. This acquisition brings the first element of the firm competitive strategy. The Hyundai motor company is today aiming to establish
Another aspect of change was in the structural organization of the company. The successor to Chung Ju-Yung, Mr. Se Yung Chung, redesigned the structure of Hyundai from a functional organization to a divisional organization in an effort to decentralize power, increase motivation, cost reduction and market diversification. These changes forced Hyundai to effectively downsizing because of macro-environmental factors. One such factor was the South Korea economic slump of the 90’s whereby the sales of the
the competition. Not too long ago Hyundai KIA Automotive Group stated that the Group’s global investment would be total 10.5 trillion; this was reported as the highest investment in the history of the company. The company then decided that the latest company’s investment program would mainly be used in Research & Development, and factory hardware facilities. In this paper, KIA Motors will be our example when analyzing marketing mix. Product In the nineties, KIA never really thought about consumer
1944, Kia Motors Corporation of Seoul, Korea, was founded as a manufacturer of steel and bicycle parts (Kia.com). During the early1950’s, the company changed its name officially to Kia Industries and began production of Korea’s first bicycle (Kia.com). In 1957 Kia began producing Korean’s first motor scooter, the C-100 (Kia.com). Korea’s first truck, the K-130 was introduced in 1962 (Kia.com). In 1971, the Titan, a 4-wheel cargo truck was produced (Kia.com). In 1972, Kia established the Kia Service
blip in the american radar at best. That all changed when Volkswagen admitted wrongdoing to the EPA, and everyone else in the world. After the company acknowledged the charges, they lost a quarter of their stock value, essentially overnight. No automotive faux pas that preceded it (barring the Audi smear campaign, but I will address that another time) had anywhere near the kind of fiscal backlash that Volkswagen is facing. The General Motors ignition switch massacre, ostensibly killed at least 120
Japanese cars in the United States rose, and the rent was captured by the Japanese firms. The United States’ losses were about $3.2 billion in 1984, which were transfers to Japan rather than efficiency losses. The financial crisis in 2008 hurt the automotive industry hard, causing many manufacturing facilities to shut down. GM and Chrysler both entered bankruptcy, and Congress decided to give government aid to the failing companies. They received the aid through the Troubled Asset Relief Program and
Kiichiro Toyoda found Toyota Motor Corporation on August 28th 1937. Kiichiro Toyoda is the father of the giant automotive industry, Toyota. The headquarters of Toyota is located in Toyota, Aichi Prefecture, Japan. Toyota Motor Corporation has manufacturing plants all around the world with a total of 32 countries consisting of Malaysia, Japan, America, China, Australia, Thailand, Singapore, Belgium, Bangladesh, Vietnam, Philippines, Pakistan, Indonesia, India, Taiwan, Egypt, South Africa, Kenya, Kazakhstan
1.0 Introduction The aim of this report is to apply the theoretical and practical ideas of corporate reputation and corporate social responsibility presented in this course to the organizations in the same industry. Global business today not only survives on corporate reputation but as well as social responsibility. Reputation is quite important for the smooth operation of the business especially in today’s internet age where information travels in a few seconds and impact is very fast. Consumers
In the last four decades, the Republic of South Korea has accomplished a high level of economic growth and global integration to develop into a high tech industrialized market. This economic growth has permitted the nation’s rise from the results of the Korean War and into the ranks of the Organization for Cooperation and Development (OECD). In today’s world South Korea is consider the world’s 12th largest economy and the United States 7th largest trading partner. In the next few paragraphs, I’ll
industry consisted of hundreds of firms, each producing a few models. William Durant, who bought and reorganized a failing Buick Motors in 1904, determined that if several automobile makers would unite, it would increase the protection for the group. He formed the General Motors Company in Flint, Michigan, in 1908. Durant had bought 17 companies (including Oldsmobile, Cadillac, and Pontiac) by 1910, the year a bankers' syndicate forced him to step down. In a 1915 stock swap, he regained