In what ways can Hyundai increase profitability in the UK car market Essay

In what ways can Hyundai increase profitability in the UK car market - Essay Example Eventually, the researcher will conduct a literature review as a way of examining whether or not mergers and acquisitions contribute to the increase in Hyundai’s profitability in the UK car market despite the tight global competition. Also, the researcher will discuss the importance of organizational restructuring in Hyundai Motor right after its merger with Kia Motor and Asia Motor. Prior to the conclusion, the researcher will discuss the practical and ethical issues behind the success of Hyundai Motor Company. The fact that a total of ten automobile manufacturers are competing in the global market makes it even more difficult for any car manufacturer to implement a proper management in handling the company’s resources. Considering that Hyundai is a Korean-based company, issues related to the cultural differences in handling the business should be carefully studies. Aside from proper management and product strategy, the protection law on labor management should be considered in order to avoid operational damages caused by organizational conflicts with the labor unions. Merger – combination of two or more business entities into one via purchase acquisition or a pooling of interests (InvestorWords, 2008); A corporate law on joinging togather of two corporations wherein one corporation transfers all of its In line with globalization, Hyundai Motor won the acquisition contract with Kia Motors via public bidding. Prior to signing a contract with the Korean Development Bank, Hyundai Motor took over Kia group in November 1998. (Lee and Cho, 2008) In the process, Hyundai had to pay a total of 1.18 trillion won for the 51% shares of both Kia Motor as well as the Asia Motor. In general, a company is able to expand its business operations either through acquisitions or merger. The short-term effect of the merger and