Hyundai Case

International Business

Hyundai is one of the greatest automobile companies in the world. It is South Korea’s number one car maker and tenth largest in the world. It also sells vehicles over 190 countries. Korea holds various competitive advantages in the car industry due to the new technology development and cost-effective knowledge workers who drive innovations in features, design and product quality. Thereof, Hyundai has competitive advantage compared to its foreign rivals in Korea.

Hyundai gets benefit from a weak Korean’s currency so that Hyundai car prices go down. Thus, customers who are willing to buy Hyundai car in Europe and U.S. are able to buy cars cheaper. In that part, Hyundai takes advantage of international exchange rates. When Hyundai had access to Chine car market, it gains low cost and high quality labor in emerging markets. In addition to that Hyundai’s sales in Europe go up compared to other automobile companies. Hyundai has inexpensive and high quality labor to maintain competitive. It also obtains engines and tires from low-cost suppliers and it has entered different collaborative ventures to work in R&D, design and manufacturing. That was a big deal for Hyundai in terms of accessing foreign partners’ know-how, capital, marketing asset and government-imposed obstacles. Thus, Hyundai is able to understand and react to its’ rivals in automobile sector.

Hyundai is more diversified based on sales compared to Toyota and Honda. It means that Hyundai has much more access and connections and also popularity than Honda and Toyota in the worldwide. One significant point is Hyundai sees crisis as opportunity to seeking to expand. On the contrary many global firms struggle to overcome crisis.