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CASE

Hyundai Motor Co.

Hyundai Motor Co. is the world’s fourth largest vehicle manufacturer that also owns
a 32.8 percent of Kia Motors. Hyundai operates the largest integrated automobile
manufacturing facility in South Korea and sells more automobiles in South Korea than in any
other country. In South Korea the total automotive sales have increased 8% making South
Korea an attractive market for all vehicle manufacturers.

On August 2015, the five largest auto brands in China are Toyota Motor, Volkswagen,
General Motors, Nissan Motor, and Hyundai Motor with the descending market shares
respectively. Lately in China, the average growth rate for automobile sales has been negative
for most companies, with Toyota being an exception. Only Toyota is on track to meet its full-
year 2015 target. Hyundai recently posted its lowest monthly China sales figure in four years,
selling 54,560 cars in July, 2015, down 32 percent from a year ago.

Question

 Plot the positions of South Korea and China Divisions of Hyundai on BCG Matrix.

South Korea

China

For South Korea, Hyundai has a big share of an growing market which put Hyundai to a "Star" position
as per BCG Matrix.

However, for China,even though Hyundai's share of market gets smaller, it is still big enough (one of the top five).
The market is shrinking as well. Therefore, Hyundai takes the "Milk" position in China.

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