ABSTRACT
During the 1980s, Hyundai faced the re-emergence of an independent trade union movement in its heavy industry workplaces. In addition, like other chaebol, the financial crisis of late 1997 forced Hyundai to restructure its business operations by reducing its dependence on heavy industry and investing more intensively in technologically-advanced and high value-adding industries. At the same time, production was decentralised away from Ulsan and relocated elsewhere in Korea and in a range of overseas locations. Moreover, from the early 1990s, the Hyundai conglomerate was to be sub-divided among the second generation of Chung’s family. This change in ownership has given rise to changes in the professional management structure, with Chung Juyung’s preference for HECC-backed executives being gradually replaced by executives promoted from within each subsidiary company.
