The Acquisition and Restructuring of Kia Motors by Hyundai Motors Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

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In recent years, diminished gains and greater competition, due to domestic and worldwide oversupplies as well as higher development costs, have led the automobile industry to participate in strategic collaboration and international and national mergers. This case examines one of the biggest mergers and acquisitions (M&As) in the Korean car marketplace in recent years: the acquisition of Kia Motors (Kia) by Hyundai Motors (Hyundai). The case describes the background states of the acquisition, the integration processes after the acquisition, and the requirements for Kia Motors to normalize direction within a brief time.

Hyundai, in acquiring Kia, enhanced its competitive strength in both international and domestic markets, strengthening its global market basis and realizing economies of scale and scope. That said, Hyundai/Kia confronted several pressing challenges, among them the co-operation of Renault and Samsung Motors, the uncertain domestic treatment of Daewoo Motors, and M & As occurring among top motor businesses global. This case study asks students to assess the process of post-acquisition restructuring and the resulting synergy effects, inviting them to think through the strategies by which Hyundai/Kia may boom in the international auto market. Further, it illustrates both the present state of the domestic Korean automobile industry and recent trends in the international automobile market.

The Acquisition and Restructuring of Kia Motors by Hyundai Motors case study solution

PUBLICATION DATE: February 03, 2009 PRODUCT #: 909M15-PDF-ENG

This is just an excerpt. This case is about GLOBAL BUSINESS