현대자동차 전략경영 (영문)
I. Main Issues
II. Hyundai Motor Company
(i) Leadership & Focus
(ii) Bulldozer Leadership
III. Hyundai Motor in the US
(i) Performance Evolution
(i) Options stated in the case
(ii) New Suggested Option
V. Final Suggestion
(i) Strengthen R&D
(ii) Restructure Management
(iii) Brand Diversification
VI. Problems Solved
1) More strategic autonomy over external
ex) Ford accepted HMC’s decline to transfer
managerial authority to Ford in their strategic
2) More strategic autonomy over own
technological and market development.
ex) HMC chose Mitsubishi over the US Big 3
3) Full financial and personnel support from
HMC’s mother company. Huge leverage for
HMC compared to its competitors.
1) Most projects initiated through leader’s
personal ambition. Thus, often poor
preparation, not enough analysis
of project beforehand.
2) All decision making controlled by the Chung
3) Opinions from others not heard. Lack
innovative strategic thinking. No advantage
of having a large able HR resource pool.
4) No incentive for management or employees
to voice opinions for fear of getting fired.
5) No incentive for employees because they
have no say in the decision making process.
dissatisfaction accumulate (later burst into
angry labor unions causing more
trouble and cost)
Thus, Mong-Koo Chung’s return to the bulldozer leadership may be detrimental because HMC needs to build a strong brand image now, requiring flexibility and a corporation culture that is open to new ideas with people motivated to contribute.
1) Severe quality problems
-Minimum possible quality score
2.0 by J.D. Power and Associates
-‘Cheap price, low quality’ image
2) Cannibalization problems for
differentiation only minimal
ex. Elantra over Excel
3) Management problems
-Unrealistic ideas of HMC’s
capabilities in the US market
-Invest in sale incentives,
not brand image
4) Tension between HMC and HMA
HMA long term image building
v. HMC short term sales
-HMA frustrated because of
autocratic Korean managers
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