The auto giant Hyundai’s US sales chief officer Derrick Hatami has thrown the towels and passed his resignation stating that the reason was about “personal reasons” according to the company’s spokeswoman earlier today. While on the other side of the globe, Hyundai’s China auto sales were significantly down after geopolitical concerns flush throughout the month of May.
It feels like a déjà vu for the company as the events were similar to last December’s debacle; this is when the highest seat on Hyundai was vacated after the termination of Dave Zuchowski. For the meantime, Jerry Flannery remains to overlook the company’s activity and operations.
More on Hatami’s resignation
Derrick Hatami has been serving as one of the top dogs for the company for the last 6 months; Hatami’s resignation was days after Hyundai US’ sales report for May were announced, sales were dipping and overall figures have shown a decrease of around 15.5%. The decline was massive considering that the whole auto market dropped by a
The South Korean-based auto giant has been struggling in the past year as their solid sedan dependency disappoints; the whole market has been leaning towards the sport utility vehicles pushing the sales of the sedan on the brink and making Hyundai suffer as they fail to adapt to the outgoing trend on the current market taste.
The massive failure to adapt to the recent circumstance had also put Hyundai US’ top executive Dave Zuchowski to be fired last December; according to Hyundai’s Jerry Flannery “We appreciate Dave’s decade of service to Hyundai, especially his leadership as president and CEO, which has made us a stronger organization,” he added that “I look forward to working closely with our dealers, affiliates, senior management and our talented and hard-working employees across the country to realize Hyundai’s full potential.”
Weaker China Sales
The deployment of US’ missiles left a big dent on the geopolitical crisis between the two large markets; Hyundai’s sales caught some of the turbulence and lost a tantamount of sales figures last May. The company’s China factory saw a decline in vehicle sales tallying 35,100 vehicles sold last month compared to 100,328 figures from a year earlier and making this the third consecutive times that the company loses.
Lack of sports utility vehicle problem has also found its way on the shores of China; the sedan dependent company has been viewed as a weak brand because of the lack of SUV choices which led to an eight-year-low last year. According to Samsung Securities analyst Esther Yim, the company’s sales are presumed to continue on sulking till the last quarter of the year and the only caveat is things may turn when Hyundai’s ix35 SUV will be announced in the general public.
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