HYUNDAI

INDIA
MOTORS
LTD.
 Introduction
• The beginning of Hyundai Motor Company
dates to April 1946 when founder, Ju-Yung
Chung  established Hyundai Auto Service in
Seoul, South Korea at the age of 31
years.   The name Hyundai was chosen for
its meaning which in English translates to
“modern.”  The Hyundai logo is symbolic of
the company's desire to expand. The oval
shape represents the company's global
expansion and the stylized "H" is symbolic
of two people (the company and customer)
shaking hands.
• Hyundai Motor Company was founded by Ju-
Yung Chung  and younger brother Se-Yung
Chung  in December 1967.  In 1968 the
company entered into a contract with Ford
motor company to assemble the Ford Cortina
and Granada for the South Korean market
and continued to produce them until 1976. 
Hyundai completed construction of the
Ulsan plant in six months and achieved the
shortest groundbreaking to first
commercial production of any of Ford’s 118
plants.  The eight year journey provided
Hyundai with assembly knowledge,
blueprints, technical specifications,
production manuals, and trained Hyundai
 Hyundai History & Development
• Established in 1967, Hyundai is presently
South Korea’s #1 carmaker, manufacturing
dozens of models of cars, vans, and
minivans
• Throughout the past two decades, Hyundai
introduced various models: Pony, Excel,
Scoupe, Sonata, and Accent.
• In 1990, Hyundai introduced its own engine
design, the Alpha. Two years later, it
introduced its second-generation engine,
the Beta.
• Acquired a 51% stake in Kia Motors in 1998
• In 2001, Hyundai sold a 9% stake to
• In 2003, according to Consumer Reports,
Hyundai’s reliability rankings tied
Honda’s.
• In 2005, Hyundai authorized Ed Voyles'
Hyundai dealership in Smyrna, Georgia to
become the first "deaf friendly"
dealership in the entire world. The staff
in this dealership are able to accommodate
deaf customers with the use of American
Sign Language and video conferencing
phones.
• In 2006, J.D. Power and Associates'
quality ranking, overall the Hyundai brand
ranked 3rd, just behind Porsche and Lexus,
and beating long time rival Toyota
The brand overall is ranked much higher
than the average industry and resale value
continues to improve; a comparable 2003
Hyundai Sonata sedan ranks just $2200
below a similarly equipped Honda Accord,
according to Kelley Blue Book Pricing 2006
 Global Presence
Europe
• Albania
• Armenia
• Austria
• Azerbaijan
• Belarus
• Belgium
• Bosnia
• Bulgaria
• Croatia
• Cyprus
• Czech
• Denmark
• Estonia
• Finland
• France
• Georgia
• Germany
• Gibraltar
• Greece
• Holland
• Hungary
• Iceland
• Ireland
• Italy
• Kazakhstan
• Kyrgyzstan
• Latvia
• Lithuania
• Macedonia
• Malta
• Moldova
• Norway
• Poland
• Portugal
• Romania
• Russia
• Serbia
• Slovenia
• Spain
• Sweden
• Switzerland
• Turkey
• Turkmenistan
• U.K.
• Ukraine
• Uzbekistan
 Middle East

• Afghanistan
• Bahrain
• Iran
• Iraq
• Israel
• Jordan
• Kuwait
• Lebanon
• Oman
• Palestine
• Qatar
• Saudi Arabia
• Syria
• U.A.E.
• Yemen
 Africa

• Algeria
• Angola
• Benin
• Brukina Faso
• Cameroon
• Canary Islands
• Central Africa
• Ceuta
• Congo
• D.R.Congo
• Djibouti
• Egypt
• Ethiopia
• Gabon
• Gambia
• Ghana
• Ivory Coast
• Kenya
• Liberia
• Libya
• Madagascar
• Malawi
• Mali
• Mauritius
• Morocco
• Mozambique
• Nigeria
• Reunion
• Rwanda
• Sao Tome and Principe
• Senegal
• South Africa
• Sudan
• Tanzania
• Togo
 North America
• Canada
• USA

Central & South America

• Antigua
• Argentina
• Aruba
• Bahamas
• Barbados
• Bermuda
• Bolivia
• Brazil
• Cayman
• Chile
• Colombia
• Costa Rica
• Cuba
• Curacao
• Dominica
• Dominican Republic
• Ecuador
• El Salvador
• Fr.Guyana
• Grenada
• Guadeloupe
• Guatemala
• Haiti
• Honduras
• Jamaica
• Martinique
• Mexico
• Nicaragua
• Panama
• Paraguay
• Puerto Rico
• St. Kitts
 Asia & Pacific
• American Samoa
• Australia
• Bangladesh
• Bhutan
• Brunei
• Cambodia
• China
• Fiji
• French Polynesia
• Guam
• Hongkong
• India
• Indonesia
• Japan
• Korea
• Laos
• Macau
• Malaysia
• Mongolia
• Nepal
• New Caledonia
• NewZealand
• P.N..
• Pakistan
• Philippines
• Saipan
• Singapore
• Solomon Islands
• Sri Lanka
• Taiwan
• Thailand
• Vanuatu
• Vietnam
• Western Samoa
HYUNDAI GLOBAL SEGMENT
CARS
Model lineup
• Excel
• Accent
• Atos/Santro
• Azera
• Dynasty
• Elantra
• Equus/Centennial (joint project of Hyundai
and Mitsubishi)
• Genesis
• Genesis Coupe
• Click/Getz
• Grandeur (joint project of Hyundai and
Mitsubishi)
• Grandeur XG/XG300/XG350
• Grandeur/Azera
• Matrix/Lavita
• Santamo(Rebadged Mitsubishi Chariot)
(Originally produced by Hyundai Precision
Industry)
• Sonata/i40
• Tiburon/Coupé/Tuscani
• i30
• i20
• i10
• SUVs and Vans
• Entourage (Similar to the Kia Sedona)
• Galloper (Rebadged Mitsubishi Pajero)
(Originally produced by Hyundai Precision
Industry)
• Grace (1st generation was a rebadged
Mitsubishi Delica)
• H-1/Satellite/Starex/Libero/H-200
• Hyundai H-1/iMax/i800
• Hyundai H-100 Grace / Porter
• HD1000 (Minibus/Porter)
• Porter (1st generation was a rebadged
Mitsubishi Delica)
• Santa Fe
• Commercial vehicles
• Ford D Series
• Ford DK Series
• Ford R Series
• O303 Benz Bus
• HM 1620 urban bus
• HM 1630 suburban bus
• Hyundai 4.5 to 5-ton truck (Rebadged
Mitsubishi Fuso Fighter)
• Hyundai 8 to 25-ton truck (Rebadged
Mitsubishi Fuso Super Great)
• Aero (Rebadged Mitsubishi Fuso Aero Bus)
• Hyundai FB
• HD160
• HD170
• Mega Truck
• New Power Truck
• Mighty (Rebadged Mitsubishi Fuso Canter)
• Mighty II
• Hyundai RB
• Super Truck Medium
• Super Truck
• Trago
• Universe
 Hyundai Car Segment In India
• Santro
• Getz
• i 10
• i 20
• Accent
• Verna
• Elantra
• Sonata
• Tucson
 The Indian Car Market
• For a long time after India became
independent in 1947, the car market had
just two models to offer - the sturdy
'Ambassador' from Hindustan Motors (HM)
and the sleek 'Fiat' from Premier
Automobiles (PA). This was the result of
Government of India's (GOI) decision to
keep the car industry tightly protected.
For HM and PA, the GOI dictated as to what
type of vehicle the two companies should
manufacture. No other domestic or foreign
car manufacturer was allowed to enter the
Indian car industry.
The restriction on foreign collaboration
led to poor technological improvements in
Indian cars. As a result, car prices
remained high while quality was inferior.

This affected the growth of the industry.

The demand for cars in 1960 was 15,714
units and in the next two decades, this
rose to 30,989 units, which meant that the
Compound Annual Growth Rate (AGR) was just
3.5 per cent.
In the 1980s, the GOI felt the need to
introduce an affordable small car,
targeting the Indian middle class. As
manufacturing a small and affordable car
required better technology than was
available indigenously, the government
tied up with the noted Japanese company,
Suzuki. The government formed a joint
venture with Suzuki and founded Maruti
Udyog Limited (MUL). It held 74% and
Suzuki got 26% equity stake in MUL. In
1983, MUL launched the ‘Maruti 800',
priced at Rs 40,000...
 Hyundai's Entry in India
• One of the major players that entered the
Indian car market was HMC through its
subsidiary HMIL. Before making its move,
the company closely studied the industry
for a year. The company's officials talked
to vendors, dealers and customers to get a
thorough knowledge of the industry
• Hyundai is currently the second largest
carmaker and largest auto exporter in
India.It is making India the global
manufacturing base for small cars. Hyundai
sells several models in India as of the
2009 model year, one of the most popular
being the Hyundai i10 and the Hyundai i20.
Other models include Hyundai Santro,
Hyundai Getz, Hyundai Accent, second
generation Hyundai Verna, Hyundai Tucson,
Hyundai Elantra, and the Hyundai Sonata.
 Studying the Indian Consumer
Psyche
• In the late 1990s, car manufacturers like
Ford, General Motors, and Fiat were faring
miserably in the Indian market. Maruti had
a market share of a whopping 79 percent in
the passenger car segment. Daewoo and
Telco were creating hype over the
impending launches of their cars Matiz and
Indica, respectively. In such a scenario,
the top management of Hyundai Motor India
Ltd, which has South Korean origins, had a
tough decision to make. It was a big
gamble to go ahead with the launch of the
small car –Santro.
• The Hyundai management stuck to a simple
strategy– launch a quality product in the
most promising segment with the latest
technology and price it aggressively. In
the pre-launch period in late 1997, the
company commissioned market research
project to understand the Indian consumer
psyche and specify a benchmark for the
pricing policy.
 Marketing Santro
• Santro received an encouraging feedback
from customers who appreciated its unique
design that gave more headroom and
facilitated easy entry and exit...
 MARKETING STRATEGIES
• Hyundai tied up with the advertising
agency Saatchi
• Shah Rukh Khan as Brand ambassador
Three-pronged Strategy was desinged to
attract the consumer:
• Educate Indian Consumers about Hyundai
• Create hype and expectations about the
Santro
• Explain the virtues of the Santro
 The success story
• September 23, 1998 saw the launch of the
Santro. There was an unprecedented rush
for bookings in spite of the fact that
Hyundai was accepting bookings only
against full payment for the car and
booking was opened only for a few days.
Hyundai closed the calendar year 1998 with
sales of 8,447. The next year (October
1998-August 1999) saw Hyundai
consolidating its market share, as these
figures of monthly sales show:
• Thus, the cumulative sales during October
1998-August 1999 were 42,283 units. This
accounted for 30 per cent of the market
share in the small car segment and 10 per
cent of the overall auto industry. Within
a year of its launch, the Santro had
dislodged the Maruti Zen as the no.1 car
in its category and slipped in behind
Maruti Suzuki as the no.2 car manufacturer
in India. The launch of the Daewoo Matiz
and the TATA Indica failed to dampen the
demand for the Santro.
• Ever since the historic launch of the
Santro, Hyundaihas consistently taken the
no.1 spot in all the segments of the
passenger car industry in which it had
 Launch of Accent
• By mid 1999, the major players realized
that the 'B' segment would be the fastest
growing in the car industry. To cash in,
Telco re-launched its 'Indica' by
introducing several new features and
solving the glitches in the original
model...
 Repositioning Santro
• By late 2002, the competition in the B
segment had increased significantly. MUL's
Alto which was launched in October 2000
had received a good response. Although
HMIL's Santro remained the largest selling
car in the B segment, MUL commanded the
largest market share in this segment due
to the combined sale of its three cars
Zen, Wagon R and Alto...
 Status in 2004
• The financial year 2003-04 ended on a
positive note for HMIL. The company
achieved revenues of Rs 50 bn and profit
after tax (PAT) of Rs. 1.90 bn in the
financial year 2003-04 compared to Rs 43
bn revenues and PAT of Rs 1.65 bn in the
fiscal 2002-03...
 The Challenges Ahead
• During the period January to June 2004,
Santro lost its leadership status in the B
segment...
 Recent Happening
• Domestic sales surge by 92.8%
• Cumulative growth up 28.5%
• Hyundai Motor India Ltd, the country’s
second largest car manufacturer and the
largest passenger car exporter registered
record cumulative sales for the month
ending November 30, 2009. The cumulative
sales accounted for 55,265 units which
reflect a 28.5% growth as compared to last
November. The domestic market was the
biggest gainer as it almost doubled its
sales to 28,162 units this month
registering a growth of 92.8% over the
 The exports however showed a slight
decline as it fell by 4.6% as compared to
the same period last year. In September,
2009 HMIL had clocked cumulative sales of
53,802 units which had been the highest
till now.
• HMIL’s total sales for November, 2009
stood at an all time high of 55,265 units
against 43,020 units in November, 2008
registering 28.5% cumulative growth. The
domestic sales grew at a whopping 92.8%
and accounted for 28,162 units as against
14,605 units in November, 2008 while the
exports dipped marginally to 27,103 units
as compared to 28,414 units last November
– a fall of 4.6%
• Commenting on November, 2009 sales Arvind
Saxena, Sr. Vice President - Marketing and
Sales, HMIL said, “The overall economic
scenario has been positive and this has
translated in to more footfalls in the
showroom and higher automobile sales as
indicated by this month’s figures. We hope
the economy will continue on a growth
trajectory as it will help the Indian
automotive industry to maintain a double
digit growth figure.”
• The segment-wise cumulative sales in the
month of November, 2009 are as follows: A2
Segment (Santro, i10, Getz & i20) 50,501
units; A3 Segment (Accent & Verna) 4,748
units; A5 Segment (Sonata Transform) 15