Hyundai and Kia Motors reportedly changed their China executives after sales in China significantly reduced. The company plans to improve its selling strategies to cope with the ever-changing needs of the Chinese market with the help of new executives.
On August 18, Hyundai announced the appointment of Tan Tao-hung, Sichuan Hyundai Motors vice president for Sales as their new head for China business strategy.
Kim Gyun, appointed head of Kia China, was formerly vice president of Kia Motors. Lee Byung-ho, former VP of Hyundai WIA is currently the head of Beijing Hyundai Motor, Hyundai's main joint venture in China. Meanwhile, former executives were assigned advisory roles.
Tan Tao-hung, the new leader for their business strategy in China is considered a major player in helping Hyundai-Kia Motor accelerate its business in China.
From serving as the head of the Beijing office to becoming deputy director of the business division, the company has high hopes with him now as new head.
A spokesperson of the Hyundai Motor Group stated that the decision to restructure the company is in line with their desire to improve their capability to handle changing needs of the customers in the Chinese auto market. They also wanted to change the organization atmosphere in their business division.
Whether the changes in the company will improve sales of Hyundai and Kia, it yet remains to be seen. However, this article thinks it would be difficult for the automakers to cope.
Recent drop in sales for Hyundai-Kia Motors and the reduction of customers in their Chinese market is considered a problem by the company.
As of July, Hyundai Motor sales dropped by 32 percent while Kia Motors sales went down by 33 percent compared to the previous year. The total sales of Hyundai-Kia Motors in July went down by half their sales in March.
Hyundai and Kia made big discounts off their products earlier this month. Kia reduced the prices of two SUVs by 30 percent and Hyundai cut theirs by almost 12 percent.
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