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“My Way or the Highway at Hyundai and Kia” Case Study

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by Thomas Madden on 10 May 2011

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Transcript of “My Way or the Highway at Hyundai and Kia” Case Study

Case Study: "My Way or the Highway at Hyundai and Kia"
By Alexander Birch & Thomas Madden Background The Hyundai Motor Company along with Kia comprises the Hyundai Kia Automotive Group HMC is the world's 4th largest automaker Headquartered in Seoul, South Korea Employs 75,000 people worldwide Active in 193 countries Sold 1.7 million cars in 2010 Hyundai Motor Company along with Kia comprises the Hyundai Kia Automotive Group Hyundai Motor Company along with Kia comprises the Hyundai Kia Automotive Group What is the Issue? Firing of American management

Trying to move their vehicles upscale

Slowing sales

American executives find Hyundai Motor's corporate culture suffocating

Establish sales targets based on what their auto plants can produce

Korean overseers whose job it is to keep an eye on American managers

American executives warnings of moving upscale have been ignored


How it relates to the reading? Motivation:
-U.S. - individualistic culture
-S.K. - collectivistic culture
-Needs theories:
*Hygiene theory
*Achievement motivation theory

Leadership
-Perspectives
*Trait-based
*Behavioural

How the issue has evolved? vs Discussion Question Do you think Hyundai & Kia executives should have taken the advice of the U.S. management team and not moved into the luxury car market ?
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