HYUNDAI COMPANY IN AMERICA

Hyundai Company in America

Hyundai Company in America

Introduction

Hyundai Motor America, whose parent corporation is headquartered in South Korea, had currently made important headway in rotating round the insight that its cars were inferior to Japanese brands. It had increased to become the fifth biggest auto manufacturer in the world. Heck, it had even organised to educate a large share of Americans to speak its name (rhymes with "Sunday," as its publicity once said, even though some Christian assemblies took infringement at the usage). But as the North American unit and its creative agency, Goodby, Silverstein & Partners, observed the beginnings of financial catastrophe and the deteriorating fortunes of automotive competitors, they felt an opening.

Now, four months into its ambitious plans, Hyundai is just starting to find out exactly how productive it's all been. Not that promise is the addition total of Hyundai's efforts to burden up the trunk with more market share. At a time when commerce watchers are predicting that General engines (assuming it endures) will have to pare down to a meagre handful of forms, Hyundai will insert three new vehicle forms in 2010 and seven in 2011.

SWOT Analysis

Strengths

Entry Timing

Hyundai entered the U.S. market as a late starter, giving its rivals ranging from 20~50 years of early start in the industry. Although there are downsides to late entry, Hyundai was successfully able to monitor and follow the strategies of the companies that succeeded prior to Hyundai's arrival, such as Toyota and Honda. Hyundai was able to modify and use the strategies that these companies used in each step of their growth to ensure similar growth for itself. Also, Hyundai could also monitor histories of companies that have declined in American market, such as GM/Ford/Chrysler and ensure that it doesn't follow their path, such as unmonitored inefficiencies in production and resource management.

Low Cost for apply Newer Technology

Since other rival firms have invested huge amounts of capital to discover new technology, Hyundai can implement similar technology with less cost. Combined with being flexible mentioned above, Hyundai can quickly manufacture cars equipped with newer technology with less cost, making it more efficient.

Flexibility

Hyundai Motors, compared to BIG 3 or Toyota, is still considered to be small in American market. Given that, Hyundai can be very flexible, financially and strategically, in many different situations. Therefore, whenever Hyundai chooses to implement its strategy, it can be quicker and more efficient than its rivals.

Weakness

Low emblem acknowledgement and emblem Power (Late Entrant)

As mentioned above, brand image is a significant entry barrier in the automobile industry. Many factors, such as target buyers and used car pricing, are dependent mostly upon the firm's brand image. Hyundai Motors still have low brand recognition compared to other larger firms, making it harder for Hyundai to grab a wide range of consumers.

Technological Advancement

Given that Hyundai is smaller in size compared to its rivals, Hyundai's investments are geared toward increasing the market share and larger advertisement schemes, rather than making drastic technological advancement.

Small Pool of preceding Buyers

Most consumers to a lot ...