Create a new account

It's simple, and free.

Marketing Strategy of Hyundai

This research analyzes the marketing strategy of Hyundai Auto America. Hyundai Auto America is the marketing subsidiary of Hyundai, Ltd. (Korea) in the United States. Marketing strategy consists of two components target market selection, and marketing mix determination (Murphy, Ellis, & Kinnear, 1985, p. 54). The results of this analysis are presented in separate discussions related to target market and marketing mix.

The first Hyundai automobiles were sold in the United States in 1986 (Rowand, 1988, p. 1). The model initially marketed in the United States, was the Excel, which carried a sticker price of $4,995. This price, in 1986, placed the Excell $742 below the average prices for its lowest priced subcompact competitors, which were (1) the Honda Civic, (2) the Toyota Tercel, (3) the Nissan Stanza, and (4) the Ford Escort.

The target market for the Excel in the United States is comprised of a variety of population segments. First, the Excel targets the automobile consumer who demands a low acquisition price. The reason behind such a demand (conservative in spending habits, low to moderate income levels) is not as significant as is the fact that a low acquisition price is demanded. The second and third characteristics which describe the Excel target market are demands for (1) reliable transportation, and (2) economy of operation. Lastly, the Excel targets the automobile consumer who values economy and reliability over luxury and high performance. In early 1989, Hyundai introduced a new model, the Sonata, to the American market (Gawronski, 1989, p. 4). The Sonata is a compact, where the Excel is a sub compact, and the Sonata offers both more power and more luxury than does the Excel (Kenzie, "Hyundai's," 1988, pp. 2, 65). Therefore, the Sonata targets a different automobile consumer than does the Excel. The Sonata target market is willing to pay more in return for greater luxury, performance, and interio...

Page 1 of 6 Next >

More on Marketing Strategy of Hyundai...

Loading...
APA     MLA     Chicago
Marketing Strategy of Hyundai. (1969, December 31). In LotsofEssays.com. Retrieved 13:51, October 31, 2014, from http://www.lotsofessays.com/viewpaper/1680886.html