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Hyundai Edited

Project Report on Hyundai
Represented by-Dandawate Shubham
Darange Ankita
Deokar Vishal
Introduction of Project
As we are the student of MBA- 1st year we are having one subject in 1st semester,
name of that subject is ‘Enterprise Analysis – Desk Research’ (code no 115) . In that subject,
university has design the syllabus in such a way that students should go for research it may be
desk research on various industries. They have clearly mension that each class should go for
groups of 2-3 students for this research, then our guides has decided to make a group of 3
students, then they have gave us the the industries in which we are interested. Then we select
Hyundai industry as our research topic.
Established in 1967, Hyundai Motor Co. has grown into the Hyundai-Kia Automotive Group, which
was ranked as the world's sixth largest automaker in 2005 and includes over two dozen auto related
subsidiaries and affiliates. Employing over 68,000 people worldwide Hyundai Motor posted US$58.1
billion in sales in 2005 (on a consolidated basis). Hyundai vehicles are sold in 193 countries through
some 5000 dealership and showrooms
 Objectives of the Project
1. To get the knowledge of basic aspects of an enterprise.
2. To analyzed an enterprise with respect to set of basic parameters learned in this
subject is called as Enterprise Analysis – Desk Research.
3. To analyze Hyundai Motor Company in detail.
Unit No. : 1
Enterprise History And Background
Introduction to Hyundai
India is an emerging country with huge potential. The domestic economy is now growing at around
7% per annum. India's low cost but highly skilled manufacturing base means that the country is also
taking centre stage as a favorite location for global outsourcing. The automotive industry is at the
centre of India's new global dynamic. The domestic market is expanding rapidly as incomes rise and
consumer credit becomes more widely available. Manufacturers' product lines are being continually
expanded, as is the local automotive manufacturing base.
With the world’s second largest and fastest-growing population, there is no denying India’s potential
in both economic and population terms and the effect it will have on the auto industry in the years
to come. The country is already off to a good start, with a well-developed components industry and
a production level of one million four-wheeled vehicles a year.
Indian market is a booming market for automobiles, as there are more affordable vehicles due to
increased localization, decrease in excise & import duties and lower interest rates.
Market Drivers include:
Rise in disposable income levels
Greater availability of finance schemes
Frequent launches of new models and variants
Rising export opportunities
Expected fall in excise duties to spur demand
The automobile industry comprises of commercial vehicles, multi utility vehicle, passenger cars, two
wheelers, three wheelers, tractors and auto components.
There are 15 manufacturers of cars and multi utility vehicles, 9 of commercial vehicles, 14 of
two/three wheelers and 10 of tractors besides 5 of engines.
It employs 4,50,000 people directly and 100,00,000 people indirectly and is now inhabited by global
majors in keen contention.
India manufactures about 38,00,000 2-wheelers, 5,70,000 passenger cars, 1,25,000 multi utility
vehicles, 1,70,000 commercial vehicles and 2,60,000 tractors annually. India ranks second in the
production of two wheelers and fifth in commercial vehicles.
India is the fourth largest car market in Asia after Japan, South Korea and China. The Indian
automobile industry is undergoing a revolution of sorts.
After the cola war, it’s the vehicle war now.
In such a short span, the vehicle market has displayed an array of models that were hitherto
undreamt of.
 History :
Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company,
South Korea and is the second largest and the fastest growing car manufacturer in India. HMIL
presently markets 34 variants of passenger cars in six segments. The Santro in the B segment,
Getz Prime, i10 in the B+ segment, the Accent and Verna in the C segment, the Elantra in the D
segment, the Sonata Embera in the E segment and the Tucson in the SUV segment.Hyundai
Motor India, continuing its tradition of being the fastest growing passenger car manufacturer,
registered total sale of 299, 513 vehicles in calendar year (CY) 2006, an increase of 18.5 percent
over CY 2005. In the domestic market it clocked a growth of 19.1 percent a compared to 2005,
with 186, 174 units, while overseas sales grew by 17.4 percent, with exports of 113, 339 units.
HMIL's fully integrated state-of-the-art manufacturing plant near Chennai boasts some of the
most advanced production, quality and testing capabilities in the country, In continuation of its
investment in providing the Indian customer global technology, HMIL is setting up its second
plant, which will produce an additional 300,000 units per annum, raising HMIL's total production
capacity to 600,000 units per annum by end of 2007.
HMIL is investing to expand capacity in line with its positioning as HMC's global export hub
for compact cars. Apart from expansion of production capacity, HMIL plans to expand its dealer
network, which will be increased from 183 to 250 this year. In addition, with the company's
greater focus on the quality of its after-sales service, HMIL's service network will be expanded to
around 1,000 in 2007.The year 2006 has been a significant year for Hyundai Motor India. It
achieved a significant milestone by rolling out the fastest 300.000th export car. Hyundai exports
to over 65 countries globally; even as it plans to continue its thrust in existing export markets, it
is gearing up to step up its foray into new markets. The year just ended also saw. Hyundai Motor
India attain other milestones such as the launch of the Verna and yet another path-breaking
record in its young journey by rolling out the fastest 10,00,000th car.
The Hyundai Verna has bagged some of the most prestigious awards starting with the title of "Car of
the Year 2007" by India's leading automotive publication - Overdrive, the "Best Mid-size Car of the
Year" award by the NDTV Profit C&B Awards 2007, the "Best Value for Money Car" by CNBC Autocar
Auto awards and 'Performance Car of the Year 2007' from Business Standard Motoring.Last Year
Sonata Embera won the 'Executive Car of The Year 2006' award from Business Standard Motoring
Magazine and NDTV Profit - Car & Bike declared the Tucson as the 'SUV' of The Year 2006;
Last Year Sonata Embera won the 'Executive Car of The Year 2006' award from Business
Standard Motoring Magazine and NDTV Profit - Car & Bike declared the Tucson as the 'SUV of
the Year'.
HMIL has also been awarded the benchmark ISO 14001 certification for its sustainable
environment management practices.
 Original and cureent promoters :
Hyundai’s original & current promoters :
Chung Mong-koo: Fonder Of Hyundai
 Vision :
The leader in the Indian automobile industry, creating customer delight and
shareholder's wealth; a pride of India.
 Mission :
Hyundai is an automobile manufacturer that was established in India in 1982. Their
mission is to please their customers through creating innovative and good value
 Philosophy :
Our corporate philosophy states that to succeed requires “the highest standards of
corporate behaviour towards everyone we work with, the communities we touch, the
environment on which we have an impact.”
 Values of the Hyundai :
We have chosen a road and that drives us extra miles to achieve every endeavour.
Here is what we at Hyundai believe in:
 Customer Obsession
 Fast, Flexible & First Mover
 Innovation & Creativity
 Networking & Partnership
 Openness & Learning
 Name of the Directors :
Managing Director & CEO
Y. K. Koo
Mong Koo Chung
Eui Sun Chung
Gap Han Yoon
Sung II Nam
 CSR Initiatives :
Hyundai’s social initiatives focus on three primary areas –
Hyundai Motor India Foundation
HMIF was formed in the year 2006 with the purpose of 'giving back' to society and to initiate
Corporate Social Responsibility (CSR) activities in the areas of Community Development,
Health Care, Educational and Vocational Training, Environment, Road Safety, Art, Science,
Technology, etc.
Safe Move:
Hyundai Motor India Ltd, the country's leading premium car manufacturer and the largest passenger car
exporter launched its CSR initiative 'Safe Move-Traffic Safety Campaign' in association with Ministry
of Road Transport and Highways.
Safe Move is one of the key pillars of Hyundai's global CSR campaign on Traffic Safety Campaign. Under
the aegis of "Safe Move", HMIL in association with the Ministry of Road Transport and Highways will
promote the best practices of road and traffic safety habits among children. Mr Shah Rukh Khan to
participate in Hyundai’s CSR initiatives as Hyundai’s Corporate Brand Ambassador. Mr Khan has been
associated with Hyundai since 1998 in India and has been instrumental in strengthening Hyundai brand in
The Safe Move official Traffic Safety Campaign educates the children on the Traffic Safety. Along with
the TV airing, special School Contact and RWA (Residential Welfare Association) programs have been
designed to reach out and spread the Traffic Safety message across the multiple cities in India. A ‘Kids
Hyundai’ website, a specially designed website for children on Traffic Safety is developed. In order to
enjoy all the convenience and joys of driving, we need to ensure a safe environment for drivers and
pedestrians alike.
 Acquisition :
Marketline's Hyundai Motor Company Mergers & Acquisitions (M&A), Partnerships & Alliances and
Investments report includes business description, detailed reports on mergers and acquisitions (M&A),
divestments, capital raisings, venture capital investments, ownership and partnership transactions
undertaken by Hyundai Motor Company since January2007.
Marketline's Company Mergers & Acquisitions (M&A), Partnerships & Alliances and Investments
reports offer a comprehensive breakdown of the organic and inorganic growth activity undertaken by an
organization to sustain its competitive advantage.
Key Highlights
This report includes Hyundai Motor Company's contact information and business summary, tables,
graphs, a list of partners and targets, a breakdown of financial and legal advisors, deal types, top deals
by deal value, detailed deal reports, and descriptions and contact details of the partner, target, investor,
and vendor firms, where disclosed.
The profile also includes detailed deal reports for all M&A, private equity, public offering, venture
financing, partnership and divestment transactions undertaken by Hyundai Motor Company. These deal
reports contain information about target company financials, sources of financing, method of payment,
deal values, and advisors for various parties, where disclosed.
- Provides intelligence on Hyundai Motor Company's M&A, strategic partnerships and alliances, capital
raising and private equity transactions.
- Detailed reports of various financial transactions undertaken by Hyundai Motor Company and its
subsidiaries since 2007.
- Information about key financial and legal advisors for Hyundai Motor Company's financial deals
- Financial deals tables and charts covering deal value and volumes trend, deal types and geographybased deal activity.
Reasons to buy
- Access comprehensive financial deals data along with charts and graph covering M&A, private equity,
and partnerships and alliances.
- Form an independent opinion about Hyundai Motor Company’s growth strategies through the organic
and inorganic activities undertaken since 2007.
- Track your competitors’ business structure and growth strategies.
Unit No. : 2
 Organization structure :
 Geographical footprints :
The Hyundai India plant located in Irungattukottai, 30 kilometers
 Head quarter :
Head Office located in the following address :
South Korea
Email: [email protected]
 Awards & Certifications :
As one of the fastest growing automobile companies in India, Hyundai has many accomplishments
to its credit.
EEPC Award
Hyundai Motor India Received
Engineering Export Promotion Council (EEPC) 'Top exporter
of the year' Award for 2005-06 on June 1. 2007.
Overdrive Magazine
'Car of the Year 2007'
CNBC-TV18 Autocar Auto Awards 2007;
Hyundai Getz the CNBC Autocar Car of the year 2005.
Hyundai Elantra - Best Value for Money Car of the year
Company-Awards-CNBC Autocar India - Hyundai has been
the manufacturer of the years in row.
'Performance Car of the Year' 2007- Hyundai Verna 1.5
Hyundai Getz is BS Motoring. Car of the Year' 2005.
BS Motoring- BS 1000-Company of the year 2005 - Hyundai
Motor India Limited
Hyundai Santro is BS Motoring's 'Car of the Year' for 1999.
Accent Petrol - 'No 1 Entry Midsize Car'
Accent CRDi - 'No 1 Midsize Diesel Car'
NDTV Profit/Car & Bike Tucson-'SUV of the year' by NDTV Profit/Car Arawrds 2006
& Bike Awards 2006.
………………………………………………………………………………Business Standard
PM Presents 'Star
Company' Award to
Hyundai Motor India.
Hyundai Santro has topped the JD Power Asia Pacific Intial
Quality Study (IQS)That measures product quality for three
years in a row (Year 2000, 2001 and 2002.)
Hyundai Santro has topped the JD Power Asia Pacific APEAL
study that measures customer satisfaction for three years in
a row ( years 2000, 2001 and 2002)
Hyundai Accent has topped the JD Power Asia Pacific IQS
for 2002 and APEAL study for 2001 and 2002.
UNIT no. : 3
 Product, product line & major brands :
Hyundai India Limited is a leading manufacturer of passenger vehicles in India.
Lovingly referred to as the people’s car maker, over the past three decades Hyundai
has changed the way people in India commute and travel. Over three decades,
Hyundai has won the hearts of customers through high quality products and services.
Today due to innovative marketing strategies Hyundai India Limited has become the
leading car manufacturers in India.
 The top most brand of Maruti Suzuki :
A commitment rewarded with the satisfaction trust & Goodwill of millions. Hyundai Motor
India Ltd presently markets over 30 variants of passenger cars across six models, the Santro
and Getz in the B segment in the E segment and the Tucson in the SUV segment.
The new Santro Xing is the only compact car
In India to offer the world class Antilock
Breaking System as an option on all variants.
Find out why the globe is going gag a over the
newGetz Prime.
Hyundai Accent has been designed keeping in
mind your expectations from a true luxury sedan.
The clean modern styling of the Verna
Immediately identifies itself as a high quality
An aero dynamical marvel the Elantrahas a
District European exterior styling and body
The refreshingly new car with cutting-edge
contemporary and style is here to make its mark.
Sitting down inside of a Tucson, the driver and
passengers will feel more spacious legroom than
in the competition vehicle.
The product concept proposed that consumers favors product that offer the most quality,
performance or innovative features. Manager in these organization focus on making superior
product and improving them over time. However these manager are sometime caught up in a love
affair with their product. They might commit the “better- mousetrap” fallacy, believing that a better
mousetrap will lead people to beat a path to their door. A new or improved product will not
necessarily be successful unless its priced, distributed, advertised, and sold properly.
SALES PROMOTION:A key of ingredient in marketing campaigns consist of a collection of incentive tools
mostly short term, designed to stimulate quicker or greater purchase of particular product or service
by consumer or the trade.
Whereas advertising offers a reasons to buy, sales promotion offers an incentive to buy. Sales
promotion include tools for consumer promotion.(samples, coupons, cash refund offers, price off,
premium, etc.) trade promotion ( price off, advertising and display allowances and free goods) and
business and sales-force promotion.
Marketing memo:- consumer promotion in the Indian market provide an overview of commonly
used sales promotions in the country.
(write down all sales promotions of Hyundai i10, like samples, coupons, cash refund offers, etc.)
THE BUYING:Webster and wind call the decision making unit of buying organization the buying center. It consist
of all those individual and individual and group who participate in the purchasing decision making
process. Who share some common goals and risk arising from the decision. The buying center
includes all member of the organization who play any of seven roles in the purchasing decision
1) Initiators :-
Users or other in the organization who request that something be
2) Users :- Those who will use the product or service. In many cases the user initiated
the buying proposal and help define the product requirement.
3) Influencers: - people who influence the buying decision, often by helping define
specifics and providing information for evaluating alternative.
4) Decider: - people who decide on product requirement or on supplier.
5) Approvals:- people who authorized the proposed action of decide or buyers.
6) Buyers: - people who have formal authority to select the supplierthe arrange the
purchase term.
7) Gatekeeper: - people who have power to prevent the information from reaching
member of the buying center
Unit No:- 4
Financial Analysis
Profit(Trillion $)
Auditor Name:-
Eun Soo Choi
Traded As:Traded as
KRX: 005380
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