Strama Paper on Auto Industry in Pampanga 2010

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Hyundai Pampanga, Inc.
JASA Hi-way, Dolores
City of San Fernando, Pampanga
A Strategic Management Paper

Submitted by:
Marco O. Hizon
Ateneo Graduate School of Business
Clark Special Economic Zone

Submitted to:
Professor Rosauro V. Sibal

TABLE OF CONTENTS

EXECUTIVE SUMMARY5
I.INTRODUCTION7
A.Company Background7
B. Research Design and Methodology7
II.EXTERNAL ANALYSIS8
A.Economic Forces8
1. Past Performance of the Economy8
2. Growth of Major Economic Sectors……….………………………………………..8
3. Economic Forecast12
B.Social Forces13
C.Cultural Forces14
D.Demographic Forces14
E.Environmental Forces16
F.Political Forces17
G.Legal Forces19
H.Governmental Forces20
I. Other Factors…………………………………………………………………………..22 III.INDUSTRY ANALYSIS23
A.Definition of the Industry23
B.Market Analysis25
1 Products/Services25
2.Price25
3.Promotion26
4. Place…………………………………………………………………………………..26
5.Customer/Target Market26
6.Competition (Use Porter’s 5 Forces of Competitive Analysis)27
7.Market Share29
C.Operations/Production Analysis30
1.Process30
2.Capacity30
3.Inventory. ……………………………………………………………………………30 4. Quality ...……………………………………………………………………………...31
5. Technology31
6.Research and Development31
D.Financial Analysis of the Industry31
E.Trends in the Industry32
F.Problems in the Industry38
IV.COMPANY ANALYSIS39
A.History39
B.Ownership40
C.Management Style40
D.Culture41
E. Organizational Structure41
F.Human Resource41
G.Mission Statement42
H.Vision Statement43
I.Objectives43
J.Code of Ethics43
K.Strategies43
L.Market Analysis44
1.Products/Services44
2.Price44
3.Promotion45
4. Channels of Distribution…………………………………………………………….45
5.Customer / Target Market45
6.Competition45
M.Production/Operation Analysis46
1.Process46
2.Capacity46
3.Inventory46
4.Quality46
5.Technology47
6.Research and Development47
7.Value Chain Analysis48
N.Financial Analysis49
V.STRATEGY FORMULATION53
A.Input Tools53
1.External Factor Evaluation (EFE) Matrix53
2.Competitive Profile Matrix (CPM)56
3.Internal Factor Evaluation (IFE) Matrix57
B.Matching Tools59
1.Strengths-Weaknesses-Opportunities –Threats (SWOT) Matrix59
2.Strategic Position and Action Evaluation (SPACE) Matrix63
3.Boston Consulting Group (BCG) Matrix65
4.Internal-External (IE) Matrix66
5.Grand Strategy67
C.Matrix Summary68
D.SWOT Summary69
E.Decision Tool71
1.Quantitative Strategic Planning Matrix (QSPM)71
VI.STRATEGY IMPLEMENTATION73
A.Recommended Revised Mission Statement73
B.Recommended Revised Vision Statement73
C.Recommended Revised Objectives73
D. Recommended Revised Code of Ethics …………………………………………74 E.Recommended Revised Organizational Structure ………………………….....74
F.Recommended Strategies74
1. Market Development74
2. Market Penetration ……………………………………………………………………74
G. Recommended Departmental Plans75
1. Marketing Department ……………………………………………………………….75 2. Finance Department …………………………………………………………………75 3. After Sales Department …………………………………………………………….. 75 4. Human Resource Department ……………………………………………………. .76 5. Sales Department …………………………………………………………………….76 VII.STRATEGY EVALUATION77-80

BALANCE SCORECARD

VIII. APPENDICES
PROJECTED FINANCIAL STATEMENT

EXECUTIVE SUMMARY

This Strategic Management paper is prepared for Hyundai Pampanga, Inc., one of the four pioneer dealers of Hyundai Asia Resources, Inc. since 2001. It is privately owned and operated by the Hizon Group of Companies.

External Analysis resulted to the industry’s 27 percent Growth in Sales in 2010 this is due to external...
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