Hyundai was established on 29th December 1967 by Chung Ju-yung. The company has it’s headquarter in Seoul, South Korea and presence in 200 countries across the world. In year 1968 Hyundai released its first motor in collaboration with Ford. In 1975, the company released its first car “Pony” in Korean market and in 1984 the company started exporting “Pony” car to Canada. In year 1986, Hyundai entered in United States market. In year 1996 the company formed Hyundai Motor India Limited and established a production plant in Chennai, India. After that company never looked back and become 4th largest automobile manufacturer in the world. Currently the company is working under the guidance of Chairman and CEO Chung Mong-koo. Eui Sun Chung is the Vice Chairman of the company. Choong Ho Kim and Gap Han Yoon are the president of the company (Corporate Information).
Hyundai has strong financial position with total assets of 147.23 trillion with current assets of 65.03 trillion. Year on year, company is registering a decrease in net income from 8.5 trillion in year 2013 to 7.3 trillion. Year on year the company is registering slow growth in sales revenue, the sales revenue increased from 87.31trillion to 89.26 trillion. However, the gross profit of the company has decreased from 19.44 trillion in year 2013 to 19.13 trillion in year 2014. The main reason for decrease in gross profit is increase in cost of goods sold.
All businesses can not succeed without customers; hence customers are key stakeholders who play a major role in the success of business. In Hyundai, the company place great emphasize on delivering customer satisfaction by making all its processes excellent. People or employees are other key stakeholders in company who bring innovation excellence in the company. Besides customers and employees, investors, supply chain partners and distributors/ dealers are priority stakeholders in the business.
Hyundai is performing well keeping in mind the economic recession that significantly hit the sales of automobiles in international market. The company offers a wide range of diversified cars to the customers located across 200 countries. The company has 6000+ dealers, and regional sales & production sub-units in international markets. The company has gained competitive advantage by establishing local production units in international locations. Hyundai has built effective research and development centres, and sales & production network to increase its global presence. Due to effective global presence, the company is able to maintain a growth in number of units sold despite of decrease in domestic sales (Hyundai: Management Performance).
Hyundai holds 7th rank in Automotive Interbrand Ranking. The brand image of the company has been shifted from “dependable quality brand” to “the most satisfying brand”. In year 2014, the brand value of Hyundai has increased 16 percent which resulted in securing overall rank of 40 in best global brand (Interbrand Ranking). The level of customer satisfaction and surge in brand value show the performance of the company and quality of products and services that company is delivering (Hyundai: Management Performance).
Works Cited
"Corporate Information." 2015. Hyundai. 26 July 2015.
"Hyundai: Financial Information." 2014. worldwide.hyundai. 26 July 2015.
"Hyundai: Management Performance." 204. worldwide.hyundai. 26 July 2015.
