Star Analysis of Hyundai

Essay by yan712 January 2010

download word file, 12 pages 5.0

1.0INTRODUCTIONStar Analysis is a global business strategy for global competitive advantages. It contains five parts, which are home country, supplier country, customer country, partner country and competitor country. Through Star Analysis, there are few essential useful strategic recommendations. It overcomes its demand and supply limitations by utilising the strength of company's home country through international transactions. In addition, it appoints appropriate supplier countries that matched with the firm's strategy. In order to maximise net profits from trading, targeting at the right customer countries is important. Besides, complementary of demand-side and supply-side are provided by the right partners. Lastly, it hopes that competitors are well-performed in their home, supplier, customer, and partner country locations.

Hyundai Kia Automotive Group is a parent company of Hyundai Motor Company (HMC). In Korean, Hyundai means modernity. Hyundai is the largest car maker in South Korea after took control of Kia and ranked world fifth largest automaker in terms of sales.

Hyundai's vision is to provide value to the future of customers. In addition, their mission is to provide excellent automotive value for customers by the combination of safety, quality, efficiency, stability and security. On the other hand, Hyundai is concerned about environmental problems which are increasing nowadays.

2.1HOME COUNTRYSouth Korea is the world third automotive exporter at the year of 2004. There are few main automotive producers, namely, Hyundai, Daewoo, Kia, Samsung, and Ssanyong. The companies mainly export their automotive products to U.S. They are using the strategies alliances for the industry. For example, DaimlerChrysler and Hyundai Motor Co have formed an alliance in which DaimlerChrysler will acquire 10 % equity in Hyundai.

South Korea has the competitive advantages in terms of relationship between government and automotive industry, strategic alliance in the industry, political and legal system of the country. In 1962, the governments introduced...