Hyundai Motors: An Evaluation

Hyundai locomotes An EvaluationAround the world, there were near 806 one thousand thousand elevator cars and dim trucks on the road in 2007. The tallys were increase rapidly, especially in China. In 2008, with rapidly rise oil prices, however, industries such as the self-propelling industry are experiencing a combination of pricing closet from raw material costs and changes in consumer buying habits. The industry is in any case facing increasing international competition from the public transport sector, as consumers re-evaluate their private vehicle usage. We have discussed how Hyundai labor would expand line of work in planetary automotive environment which has been changed and exceeded begs.Company overviewHyundai ram Company, a division of the Hyundai Kia Automotive root, is the worlds largest auto maker by clams, the worlds fourth largest auto manufacturer by units sold and the worlds fastest growing automaker. Headquartered in Seoul, second Korea, Hyundai op erates the worlds largest compound auto manufacturing facility in Ulsan, which is capable of producing 1.6 million units annually.Chung Ju-Yung founded the Hyundai Engineering and Construction Company in 1947. Hyundai repulse Company was of later established in 1967. The smart sets first model, the Cortina, was released in cooperation with fording beat back Company in 1968. In 1975, the Pony, the first Korean car, was released, with styling by Giorgio Giugiaro of ItalDesign and agencytrain technology provided by Japans Mitsubishi Motors. Exports began in the following year to Ecuador and in short there aft(prenominal) to the Benelux countries. In 1991, the company succeeded in developing its first proprietary gasoline engine, the four-cylinder Alpha, and transmission, thus pave the way for technological independence. In 1983, Hyundai exported the Pony to Canada, but not to the linked States because the Pony didnt pass emissions standards there. Canadian sales greatly exce eded expectations, and it was at one point the outperform- interchange car on the Canadian commercialize. The Pony afforded a much higher degree of quality and refinement in the lowest price auto component than the Eastern-bloc imports of the period then available. In 1986, Hyundai began to sell cars in the United States, and the Excel was nominated as exceed Product 10 by Fortune magazine, largely because of its affordability. The company began to aim models with its own technology in 1988, beginning with the midsize Sonata. In 1996, Hyundai Motors India Limited was established with a achievement plant in Irrungattukotai near Chennai, India. In 1998, Hyundai began to overhaul its image in an attempt to establish itself as a world-class imperfection. Chung Ju Yung transferred leadership of Hyundai Motor to his son, Chung Mong Koo, in 1999. Hyundais parent company, Hyundai Motor Group, invested heavily in the quality, design, manufacturing, and long-term research of its vehicl es. It added a 10-year or 100,000-mile (160,000 km) warranty to cars sold in the United States and launched an aggressive food food marketing campaign. In 2004, Hyundai was ranked second in sign quality in a survey/study by J.D. Power and Associates. Hyundai is now one of the jacket 100 around valuable brands worldwide. Since 2002, Hyundai has also been one of the worldwide official sponsors of the FIFA World Cup. In 2006, the South Korean government initiated an investigation of Chung Mong Koos practices as head of Hyundai, suspecting him of corruption. On April 28, 2006, Chung was arrested, and charged for embezzlement of 100 zillion South Korean won (US$106 million). As a result, Hyundai Vice Chairman and CEO, Kim Dong-jin, replaced him as head of the company. afterwards a shake-up in the Korean auto industry caused by overambitious expansion and the Asian financial crisis, Hyundai acquired rival Kia Motors In 1998. In 2000, the company established a strategical alliance with DaimlerChrysler and divide its partnership with the Hyundai Group. In 2001, the Daimler-Hyundai Truck friendship was formed. In 2004, however, DaimlerChrysler divested its interest in the company by selling its 10.5% plump for for $900 million. Hyundai Motor has been expanding planetaryly, starting with its plant in Turkey in 1997, India in 1998, China in 2002, and in 2005, it built a plant in the U.S., the worlds biggest auto market. In 2007, a decade after it began building plants overseas, Hyundai Motor began construction for plants in the Czech Republic and Russia, creating a strategic network of production facilities spanning over hexad countries. With its 12 CKD plants, Hyundai Motor is boosting sales every year and cementing its position as a global automaker. The company plans to raise the ratio of overseas production to 50 percent by 2010, to produce 3 million units outside Korea.Hyundai Motor is present in 196 countries and has 6,000 dealerships all over the worl d. It is maintaining a loyal position in developed regions such as the U.S. and Europe. Furthermore, it has been successfully winning orders for taxis and government vehicles in emerge markets such as Central Latin America, the Middle East and Southeast Asia, boosting sales and the companys brand image. later on r individuallying the 2 million unit sales mark in 2006, Hyundai Motor sold 2.6 million units worldwide in 2009. Through its dodging of topical anaesthetic production and sales, the company is contributing to the local economies.(Exhibit1)Exhibit1 annual Unit Sales20092008200720062005Sales in unit1,611,9911,668,7451,700,2971,611,0621,700,843Domestic701,469570,116624,227580,288569,721Export excluding CDK910,5221,098,6291,076,0701,030,7741,131,122Hyundai Motor Companys brand power continues to rise as it was ranked 72nd in the 2007 better(p) spherical Brands by Interbrand and Business Week survey. brand value estimated at $4.5 billion. Public perception of the Hyundai brand has been transformed as a result of hammy improvements in the quality of Hyundai vehicles.The Company produces and markets passenger cars chthonic the brand names of Equus, Genesis, Genesis Coupe, Azera, Sonata, Elantra, Accent, Getz, i30, i30cw, i20 and i10 recreational vehicles under(a) the brand names of Veracruz, Santa Fe, Tucson, Matrix and H-1, and commercial vehicles, which include medium and heavy duty trucks, and buses.Analysis of global Automobile mart EnvironmentCurrent Automotive industry MarketIn 2007, a union of 79.9 million raw automobiles were sold worldwide 22.9 million in Europe, 21.4 million in Asia-Pacific, 19.4 million in USA and Canada, 4.4 million in Latin America, 2.4 million in the Middle East and 1.4 million in Africa. The markets in North America and Japan were stagnant, while those in South America and different move of Asia grew strongly. Of the major markets, China, Russia, Brazil and India saw the most rapid growth, and China became both the largest automobile producer and market in the world after experiencing massive growth in 2009. In the first 4 months of 2010, the totality sales of automobile were 6.17 millions in China (3.52 millions in US), and the total sales were expected to be rough 17 millions (13.65 millions in 2009) for the year of 2010, nearly twice as much as USA.Exhibit 2 multinational railcar Sales by Global Auto ReportThe automotive industry crisis of 2008-2010 was a part of a global financial downturn. The crisis affected European and Asian automobile manufacturing businesss, but it was primarily felt in the Ameri throne automobile manufacturing industry. The automotive industry was weakened by a real(a) increase in the prices of automotive burns linked to the 2003-2008 energy crisis which discouraged purchases of sport utility vehicles (SUVs) and pickup trucks which have low furnish economy. The popularity and relatively high profit margins of these vehicles had encouraged the American bulky Three automakers, common Motors, crossing, and Chrysler to make them their elemental focus. With fewer fuel-efficient models to offer to consumers, sales began to slide. By 2008, the situation had turned critical as the credit romance placed pressure on the prices of raw materials.Car companies from Asia, Europe, North America, and elsewhere have implemented notional marketing strategies to entice reluctant consumers as most experienced double-digit percentage declines in sales. Major shapers, including the Big Three and Toyota offered substantial discounts across their lineups. The Big Three faced criticism for their lineups, which were seen to be irresponsible in light of rising fuel prices. North American consumers turned to higher-quality and more fuel-efficient product of Japanese and European automakers. However, many of the vehicles perceived to be foreign were actually transplants, foreign cars manufactured or assembled in the United States, at lower cost than tru e imports.Exhibit 3 Major global automotive company analysisCompetitors globalisation StrategyToyotaToyota Motor tummy, commonly known simply as Toyota, is a multinational potbelly headquartered in Japan. At its peak, Toyota employed approximately 320,000 good deal worldwide. It is the worlds largest automobile maker by sales.The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his fathers company Toyota Industries to create automobiles. Three years earlier, in 1934, while still a department of Toyota Industries, it created its first product, the Type A engine, and, in 1936, its first passenger car, the Toyota AA. Toyota also owns and operates Lexus and Scion brands and has a absolute mass shareholding stake in Daihatsu and Hino Motors, and minority shareholdings in Fuji Heavy Industries, Isuzu Motors, Yamaha Motors, and Mitsubishi Aircraft Corporation. The company includes 522 subsidiaries.Toyota is headquartered in Toyota City, Aichi and in Tokyo. In addition to manufacturing automobiles, Toyota provides financial services done its Toyota Financial Services division and also builds zombies. Toyota Motor Corporation (including Toyota Financial Services) and Toyota Industries form the bulk of the Toyota Group, one of the largest conglomerates in the world.Toyotas marketing efforts have focused on accenting the positive experiences of ownership and vehicle quality. The ownership experience has been targeted in slogans such as Oh, what a savour (1978-1985, in the U.S.), Who could ask for anything more (1986-1989), I love what you do for me, Toyota (1990-1997), Everyday (1997-2000), Get the feeling (2001-2004), and paltry Forward (2004-present).Toyota introduced a new worldwide logo in 1989 in conjunction with and to contrastiveiate it from the saucily released luxury Lexus brand. There are three ovals in the new logo that combine to for the letter T, which stands for Toyota. The coincide of the two perpendicular ovals inside the larger oval form the mutually beneficial relationship and depone that is placed between the customer and the company while the larger oval that surrounds both of these inner ovals represent the global expansion of Toyotas technology and unlimited potential for the future.30Toyota has factories in most parts of the world, manufacturing or join vehicles for local markets. Toyota has manufacturing or assembly plants in Japan, Australia, India, Sri Lanka, Canada, Indonesia, Poland, South Africa, Turkey, Colombia, the United Kingdom, the United States, UAE, France, Brazil, Portugal, and more recently, Argentina, Czech Republic, Mexico, Malaysia, Thailand, Pakistan, Egypt, China, Vietnam, Venezuela, the Philippines, and Russia.Recently, Toyota announce it was recalling up to 1.8 million cars across Europe, including to the highest degree 220,000 in the UK, following problems with defective accelerator pedals. Many Toyota models were involved, fall into placeing the 2007-2010 model years. Toyota subsequently recalled the Prius model for reprogramming of its ABS system. The U.S. Sales Chief, James Lentz, was questioned by the United States Congress committees on heedlessness and Investigations on February 23, 2010, as a result of recent recalls. On 26 March Toyota tell it would period production in France and Britain for 12 days because of poor sales following the recalls. On 6 April 2010, The US government sought a record penalty of US$16.375 million from Toyota for its delayed response in notifying the National Highway Traffic Safety Administration regarding the defective accelerator pedals, and on 19 April Toyota said that it would pay the fine. The company said the recalls could cost the company up to US$2 billion (GB1.25 billion) in lost output and sales.General MotorsGeneral Motors Company, also known as GM, is a United States- base automaker with headquarters in Detroit, Michigan. GM manufactures cars and a truck in 34 countries, recently employed 244,500 p eople around the world, and sells and services vehicles in some 140 countries. By sales, GM ranked as the largest US automaker and the worlds second largest for 2008, having the third highest 2008 global revenues among automakers on the Fortune Global 500.On June 1, 2009, General Motors filed for Chapter 11 bankruptcy proceedings, which were completed on July 10 of the same year, and it was thereafter reorganized once a new entity acquired the most valuable assets. GM is now temporarily majority owned by the United States exchequer and, to a smaller extent, the Canada Development Investment Corporation a Canadian Crown corporation and the Ontario government, with the US government investing a total of US$57.6 billion under the Troubled Asset rilievo Program.On April 21, 2010, GM CEO Ed Whitacre Jr. announced that the company had paid back the constitutional amount of the US and Canadian government loans, with interest, a total of $8.1 billion. The company expects to repurchase a salubrious portion of the remaining equity stake with funds earned via a public stock list offering. eon no GM shares are surely available to the public, the companys plans as of 2009 were to initiate an initial public stock offering (IPO) in 2010.GM plans to focus its business on its four core North American brands Chevrolet, Buick, GMC, and Cadillac. In Europe, following a period of negotiation to sell a majority stake in its Opel and Vauxhall brands, the company decided to retain full ownership of these operations. However, on February 23, 2010, GM sold Saab Automobile to Spyker Cars NV and is winding down its Hummer, Pontiac, and Saturn brands, the latter two remaining under the old GM, now known as Motors closure CompanyIn 2009, General Motors employs approximately 244,500 people around the world. The Renaissance Center locate in Detroit, Michigan, United States, is the global headquarters of General Motors. In 2008, GM sold 8.35 million cars and trucks globally. GM is the majority shareholder in GM Daewoo Auto Technology Co. of South Korea and has collaborations with Shanghai Automotive Industry Corporation of China, AvtoVAZ of Russia, and most recently, UzAvtoSanoat of Uzbekistan. GM has had collaborations with various automakers including Fiat and get across Motor Company.GM retains various stakes in different automakers. General Motors best success internationally has unquestionably been its performance in China, GM sales locomote 66.9% in 2009, selling 1,830,000 vehicles and accounting for 13.4% of the market.Volkswagen GroupVolkswagen is a German automobile manufacturing group and according to figures produce by economic research firm Global Insight in November 2009, is the largest automobile maker in the world by vehicle production.7 Its parent company Volkswagen Aktiengesellschaft, develops vehicles and components for all marques of the whole Group, and also manufactures complete vehicles for the Volkswagen passenger Cars and Volkswag en Commercial Vehicles marques. Volkswagen Group is divided into two primary divisions the Automotive Division, and the Financial Services Division. The Group consists of 342 Group companies, which are involved in either vehicle production or other related automotive services. Although it operates worldwide, Volkswagen Groups core market is primarily Europe. Of its automobile brands, Volkswagen Passenger Cars is its mainstream marque, and the Groups major subsidiaries also include well-known car marques like SEAT, koda, and the prestige marques of Audi, Lamborghini, Bentley, and Bugatti. The Group also has operations in commercial vehicles, owning Volkswagen Commercial Vehicles, along with a controlling stake in Swedish truck and diesel engine maker Scania AB, and a 29.9% stake in MAN SE.Volkswagens second-largest market is China, where its subsidiary, Volkswagen Group China, is the largest joint venture automaker, selling more than one million vehicles in 2008. The Volkswagen Golf is the third bestselling automobile in the world, selling over 26 million units by dint of 2008. In 2009, Volkswagen Group sold 6.31 million vehicles, claiming over 11% of the world passenger car market.Volkswagen AG is heavily involved in sports sponsorship, with investments having included the 2008 Summer Olympics and the 2014 Winter Games, as well as the David Beckham Academy. The company also wholly owns the Bundesliga football side VfL Wolfsburg. The company is also the shirt sponsor of Major federation Soccer club, D.C. United.In August 2009, Porsche SE and Volkswagen Group reached an concord that Volkswagen AG and Porsche AG would merge in 2011.Ford Motor CompanyThe Ford Motor Company is an American multinational corporation found in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and in bodilyd on June 16, 1903. In addition to the Ford, Lincoln, and Mercury brands, Ford also owns Volvo Cars in Sweden, and a small stake in Mazda in Japan a nd Aston Martin in the UK. Fords former UK subsidiaries Jaguar and Land Rover were sold to Tata Motors of India in March 2008. Ford has agree to sell Volvo to Geely Automobile in a deal expected to be completed in the third quarter of 2010.Ford introduced methods for large-scale manufacturing of cars and large-scale commission of an industrial workforce using intricately engineered manufacturing sequences typified by moving assembly lines. Henry Fords methods came to be known around the world as Fordism by 1914.Ford is currently the second largest automaker in the U.S. and the fourth-largest in the world based on number of vehicles sold annually, directly behind Volkswagen. In 2007, Ford fell from second to third in US annual vehicle sales for the first time in 56 years, behind only General Motors and Toyota. However, Ford occasionally outsells Toyota in shorter periods (most recently, during the summer months of 2009). By the end of 2009, Ford was the third largest automaker in Eu rope (behind Volkswagen and PSA). Ford is the seventh-ranked overall American-based company in the 2008 Fortune 500 list, based on global revenues in 2008 of $146.3 billion. In 2008, Ford produced 5.532 million automobiles and employed about 213,000 employees at around 90 plants and facilities worldwide. first in 2007, Ford received more initial quality survey awards from J. D. Power and Associates than any other automaker. Five of Fords vehicles ranked at the top of their categories and fourteen vehicles ranked in the top three.During the mid to late 1990s, Ford sold large numbers of vehicles, in a booming American economy with elevated stock market and low fuel prices. With the dawn of the new century, legacy healthcare costs, higher fuel prices, and a faltering economy led to falling market shares, declining sales, and sliding profit margins. Most of the corporate profits came from financing consumer automobile loans through Ford Motor Credit Company.In the face of demand for h igher fuel efficiency and falling sales of minivans, Ford moved to introduce a appreciation of new vehicles, including Crossover SUVs built on unibody car platforms, rather than more body-on-frame chassis. In developing the interbreeding electric power train technologies for the Ford Escape Hybrid SUV, Ford licensed similar Toyota crossbred technologies to avoid patent infringements. Ford announced that it get out team up with electricity supply company Southern California Edison to examine the future of plug-in hybrids in terms of how home and vehicle energy systems will work with the electrical grid. Under the multi-million-dollar, multi-year project, Ford will convert a demonstration fleet of Ford Escape Hybrids into plug-in hybrids, and SCE will evaluate how the vehicles might interact with the home and the utilitys electrical grid. Some of the vehicles will be evaluated in typical customer settings, according to Ford.In 2006, the company raised its borrowing capacity to abo ut $25 billion, placing substantially all corporate assets as collateral to secure the line of credit. Chairman eyeshade Ford has stated that bankruptcy is not an option. In order to control its skyrocketing labor costs (the most expensive in the world), the company and the United Auto Workers, representing approximately 46,000 hourly workers in North America, agreed to a historic contract settlement in November 2007 giving the company a substantial name in terms of its ongoing retiree health care costs and other economic issues. The agreement includes the establishment of a company-funded, independently-run Voluntary Employee Beneficiary Association (more commonly known as a VEBA) cartel to shift the burden of retiree health care from the companys books, thereby improving its balance sheet. This arrangement took piece on January 1, 2010. As a sign of its currently strong cash position, Ford contributed its entire current liability (estimated at approximately USD$5.5 Billion as of December 31, 2009) to the VEBA in cash, and also pre-paid USD$500 one million million of its future liabilities to the fund. The agreement also gives hourly workers the job security they were seeking by having the company commits to substantial investments in most of its factories.During November 2008, Ford, together with Chrysler and General Motors, sought financial aid at Congressional hearings in Washington D.C. in the face of worsening conditions caused by the automotive industry crisis. The three companies presented action plans for the sustainability of the industry. The Detroit based automakers were unsuccessful at obtaining assistance through Congressional legislation. GM and Chrysler later received assistance through the Executive Branch from the T.A.R.P. funding provisions. On December 19, the cost of credit default swaps to insure the debt of Ford was 68 percent the sum insured for five years in addition to annual payments of 5 percent. That means it costs $6.8 millio n paid upfront to insure $10 million in debt, in addition to payments of $500,000 per year. In January 2009, Ford announced a $14.6 billion loss in the preceding year, do 2008 its worst year in history. Still, the company claimed to have sufficient liquidity to fund its business plans and thus, did not ask for government aid. Through April 2009, Fords strategy of debt for equity exchanges, erased $9.9 B in liabilities (28% of its total), in order to leverage its cash position. These actions yielded Ford a $2.7 billion profit in fiscal year 2009, the companys first full-year profit in four years.HondaHonda Motor Company, Ltd., Honda Technology Research Institute Company, Limiteds a Japanese multinational corporation primarily known as a manufacturer of automobiles and motorcycles. Honda is the worlds largest manufacturer of motorcycles as well as the worlds largest manufacturer of internal combustion engines measured by volume, producing more than 14 million internal combustion engi nes each year. Honda surpassed Nissan in 2001 to become the second-largest Japanese automobile manufacturer. As of August 2008update, Honda surpassed Chrysler as the fourth largest automobile manufacturer in the United States. Honda is the sixth largest automobile manufacturer in the world.Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand, Acura in 1986. Aside from their core automobile and motorcycle businesses, Honda also manufactures garden equipment, marine engines, personal watercraft and power generators, amongst others. Since 1986, Honda has been involved with artificial intelligence/robotics research and released their ASIMO robot in 2000. They have also ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and the Honda HA-420 HondaJet, scheduled to be released in 2011. Honda spends about 5% of its revenues into RD.Nissan MotorNissan Motor Company, Ltd., shortened to Nissan, is a multinational automaker headqu artered in Japan. It was formerly a core member of the Nissan Group, but has become more independent after its restructuring under Carlos Ghosn (CEO).It formerly marketed vehicles under the Datsun brand name and is one of the largest car manufacturers. As of August 2009, the companys global headquarters are located in Nishi-ku, Yokohama. In 1999, Nissan entered a two way alliance with Renault S.A. of France, which owns 44.4% of Nissan while Nissan holds 15% of Renault shares, as of 2008. Nissan is among the top three Asian (also known as the Japanese Big 3 Automakers) rivals of the Big Three in the U.S. Currently it is the third largest Japanese car manufacturer. It also manufactures the Infiniti luxury brand. The Nissan VQ engines, of V6 configuration, have featured among Wards 10 Best Engines for 14 straight years, since the awards inception.III. Analysis of Hyundai MotorsHyundai Motors Globalization StrategyProcess of GrowthSince the companys foundation in 1967, Hyundai Motor Com pany became the first automaker producing manufacture facilities itself. The first model Pony, manufactured and started to export, was very favorable not only into Korean market but also into global market, which elevating Hyundai Motor into one of the global automobile companies.In 1976, Hyundai had started the first export business with Africa, North America and middle Asia and expanded into European market. In overseas market, especially in North America, Hyundai achieved the big success and had an opportunity to become into the global automaker in worldwide. Possessing 10 manufacturing plants, 11 research centers, and more than 6,000 sales networks end-to-end the world, Hyundai Motor also helps to throttle sales growth across the world and maintain to the top leading global company. Furthermore, Now, Hyundai as Global corporate citizen makes every effort to fulfill its economic responsibility, most principal in corporate activities throughout the world. (http//www.hyundai.com) The Hyundai Motors Global Business StrategyIn the process of globalization, the major global strategy for Hyundai Motor can be focusing on exporting in the global market which was very successful. From the inception of the foundation, the Hyundai perplexity team always recognized the importance of exporting to overseas which the key factor to growth global business and manufactured most exports from single Ulsan plants. In other words, Hyundai has been involved in independent management strategy. In addition, striving to face with country specific regulation and rapid market changes, Hyundai has been implemented international strategy like the joint-venture strategy in China, Turkey and Malaysia in order to expand global market share.Hyundai Motor Company further strengthened its presence as a global automaker by promoting sustainable development worldwide, accelerating global management initiatives and creating the second construction of manufacturing plants in China and India, t hereby increasing its production capacity all the more. At the same time, it also achieved qualitative growth by successfully generating sales of its strategic model targeting the European market. In 2007, a decade after it began building plants overseas, Hyundai Motor began construction for plants in the Czech Republic and USA, creating a strategic network of production facilities spanning over six countries. (http//www.hyundai.com)Exhibit 4 Hyundai Motor Companys International Entry Mode(sourced by http//www.hyundai.com)CountryPartnerHyundais ShareStart YrTo produceEntry ModeIndiaHMI10098. 9 self-controlUSAHMMA10005. 5OwnershipCzechHMMC10006. 7OwnershipChinaBHMC5002. 1Joint VentureWuHanQi Che2196. 7Joint VentureTurkeyHAOS8597. 7Joint VentureMalaysiaINOCOM1599. 9Joint VentureThe organizational structure of international business for Hyundai Motor Company is International Division Structure which is like many Korean companies fit well with Korean culture and take to the woods towar d centralization. That is, it has risk of demotivating local manager in host countries. By that, the Hyundai Motor Company has struggled to recruit local manager who can manage, coordinate and control worldwide regional operations underutilized allowing diversity as strategic task. US subsidiaries showExhibit 5 Example of International Division StructureThe Hyundai Motors Global Business EffortsInternational rate SelectionThe Site Selection implies that the company does spell out all possible locations to decide which identify/market to be targeted and determined by content and goal with its limited human resource, technology, and capital. (Sourced by prof Lee, JR, Shin, MS / International Business)Market Size and infrastructure consider for purchasing power and productionMarket attractiveness competitors and market structureImportant to consider potential international market expansion which cover all countries/regions in the world for the furtherThe major variable factor for sit e selection is market attractiveness, competitors, and the strategic goal for a company.The good example for International Site Selection in Hyundai Motor Company can be expanding the global business to Canada region. With the success of exporting Excel, Hyundai Motor Company had do decision to expand the international business into Canada as below factors as detour entrance strategy to USA. Of course, Hyundai Motor Company cannot overlook the competitors such as Toyota, Honda. etc.Market accessibility to avoid slyness barrier by NAFTA, Market proximity , Cost Reduction and Price competiveness by Local correctGovernment Aid tax, financing support by construction of manufacture plantRegional prefer close to locate associated companyPolitical Risk Avoid to avoid lack of exports by Korean labor strike in 1988Likewise, the variable factors to expand the Hyundais global business to other countries can be considered as reduction of transportation cost risk, avoid currency exchange r isk, cost reduction by hiring local resources, government aid and etc,International Entry ModePrior to change into the globalization, the process of growt