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The Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as well as Kia Motors’ Niro and Hyundai Motor’s Nexo, all part of an expanded model lineup of FCEV, hybrid and electric vehicles, many in the industry see these as bold moves by the Hyundai Motor Group and it leadership. More so, the Group has joined in a number of high profile technology partnerships and committed billions over the next few years to mobility, AI, and autonomous vehicles. Actually, it is but the latest chapter in a story and a legacy reaching back decades. Hyundai Galloper In 1991, the Seoul Hyatt Hotel was the site of the launch of a new mid-sized SUV, the Hyundai Galloper. A pet project of future Hyundai Motor Group Chairman Chung Mong Koo at the time no one felt the Galloper could dislodge the Ssangyong Korando, the popular and dominant SUV in the Korean market. That said, it would take only a year for the Galloper to surpass the Korando. To many this would be but the start of what would become the Galloper shinhwa--myth and legend.

The Hyundai Galloper Shinhwa, Myth and Legend Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as

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Page 1: The Hyundai Galloper Shinhwa, Myth and Legend Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as

TheHyundaiGalloperShinhwa,MythandLegendWiththeintroductionofGenesis,theHyundaiMotorGroup’spremiumluxurycardivisionaswellasKiaMotors’NiroandHyundaiMotor’sNexo,allpartofanexpandedmodellineupofFCEV,hybridandelectricvehicles,manyintheindustryseetheseasboldmovesbytheHyundaiMotorGroupanditleadership.Moreso,theGrouphasjoinedinanumberofhighprofiletechnologypartnershipsandcommittedbillionsoverthenextfewyearstomobility,AI,andautonomousvehicles.Actually,itisbutthelatestchapterinastoryandalegacyreachingbackdecades.

HyundaiGalloper

In1991,theSeoulHyattHotelwasthesiteofthelaunchofanewmid-sizedSUV,theHyundaiGalloper.ApetprojectoffutureHyundaiMotorGroupChairmanChungMongKooatthetimenoonefelttheGallopercoulddislodgetheSsangyongKorando,thepopularanddominantSUVintheKoreanmarket.Thatsaid,itwouldtakeonlyayearfortheGallopertosurpasstheKorando.TomanythiswouldbebutthestartofwhatwouldbecometheGallopershinhwa--mythandlegend.

Page 2: The Hyundai Galloper Shinhwa, Myth and Legend Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as

1991SeoulHyattLaunch

Steppingbackinthestory,followingfamilyexpectationsandaftergraduatingfromcollegeChungMongKoojoinedtheHyundaiGroup,SouthKorea’slargestandhighlydiversifiedindustrialconglomerate.Bythemid-1970s,ChungwaspersonallyinvolvedintheformingofanewdivisionwithintheGroup—HyundaiPrecisionandIndustryCompanyLTD.WiththegrowthofKorea’sexportindustryandincreasedtransportationviaoceantransportships,ChungMongKoorecognizedthegrowingdemandforocean-goingcontainers.Inthisnewventure,HyundaiPrecision’sapproachwastoestablishastandardforcargocontainers,whilealsogainingacompetitiveedgethroughproductiontechnologyandproductdevelopment.Themodelprovedtobehighlysuccessful.Meanwhile,astheHyundaiGroup’sfledglingcardivisionexpandeditsoperationsHyundaiPrecision,too,sawanopportunityandbegantosupporttheHyundaiMotorCompanyasaTierIsupplier.Soonafter,ChungandHyundaiPrecisionwouldlooktointroduceitsownfour-wheeldrivevehicletotheKoreanmarket--independentofHyundaiMotorCompany.UnderChung’sleadership,HyundaiPrecisionhadsince1988workedondevelopingtheJ-carprojectwithateamfromAmerica’sRoushEnterprises.ThisbecametheX-100ECSROUSH.However,despitehopesthevehiclewouldhavewidespreadappeal,reactiontotheprototypebyatestmarketstudywithU.S.consumerswaspoor.UndauntedHyundaiPrecisionturnedtoMitsubishiforproductionsupport.Afterreview,theMitsubishiPajerowasselected.Aswascommonatthetime,themodelwouldbere-brandedandlocallymanufacturedfortheKoreanmarket.BadgedastheHyundaiGalloper,theSUV’swouldbeproducedbyHyundaiPrecisionatitsUlsanplantcomplex.ItisworthytonotethatHyundaiMotorCompanyprovidedtheengines,transmissionsandbodypanels,whileHyundaiMotorService,the

Page 3: The Hyundai Galloper Shinhwa, Myth and Legend Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as

Group’sautoretailarmdistributedandsoldtheSVUs.(HyundaiMotorServiceoneofthecompaniesChungoversawinadditiontoPrecision).Soon,afterthelaunchoftheGalloperitwasahitnotonlyinSouthKoreabutalsoinEuropeandAsia.In1991,3,006Gallopersweresold,withsalesof24,264in1992and37,971in1994.Thissuccesswasfueledbyanumberofhigh-profileinternationalpromotionalandmarketingactivities--theGalloperparticipatinginlongdistanceoff-roadrallies,whichgainedconsiderablemediaattention.

Linkto1991KoreanlanguageGalloperTVAd

GalloperontourintheUK

RecordSalesandtheGallopershinhwaHyundaiPrecision’sboldsalesandpromotionstrategycontinuedtoprovehighlysuccessful.Infact,withinthecompanytheGallopershinhwamythandlegendspread…fueledbyanuncannyfive-foldincreaseinsalesbetween1997and1998.Withinabroadercontextandaddingtothelegacythissuccessoccurredduringthedevastating1997Asianeconomicmeltdown,commonlyreferredtoastheIMFCrisis.IncontrastatthesametimethehighlyanticipatedlaunchoftheSamsung’sautomotivedivision,inanalliancewithNissan,proveddismal.By1999,ChungMongKoowouldassumecontrolofHyundaiMotorCompany.InadditiontohisleadershiproleofHMC,plusanotherfiveoftheGroup’scompaniesincludingHyundaiPrecision,thecardivisionalsoacquiredKiaMotors.Soonaftertoconsolidate,GalloperproductionwasmovedtoHyundaiMotor.By2000,amidarestructuringoftheHyundaiMotorCompanyanditsaffiliates,Precision’snamewaschangedtoHyundaiMOBIS.

Page 4: The Hyundai Galloper Shinhwa, Myth and Legend Hyundai Galloper Shinhwa, Myth and Legend With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as

In2003afterasuccessful12-yearrun,theHyundaiTerracansucceededtheGalloper.WhatdoesremainistheGallopershinhwa,alegacyweseetodayintoboldandnewventuresbyHyundaileadershipwithGenesisintothepremiumluxurycarsegmentandawiderangeofforward-leaningmobilityandeco-friendlyvehicles.AbouttheAuthorKnowbymanyas“TheHyundaiWhisperer,”DonSouthertonhasalife-longinterestinKoreaandtherichcultureofthecountry.Hehasauthorednumerouspublicationswithtopicscenteringonworkplaceculture,newurbanism,emergingpremiumandupmarkettrends,andentrepreneurialism.Heisafrequentcontributortothemedia(WSJ,Forbes,CNNFortune,Bloomberg,AutomotiveNews,KoreaTimes,KoreaHerald,Yonhap,KoreaMagazine,eFMTBS,FSRandTheEconomistonKoreafacingbusinessandculture.HeheadsBridgingCultureWorldwideaGolden,Coloradobasedcompanythatprovidestraining,mentoring,strategy,andconsultingworldwidetoKorea-basedglobalbusiness.Questionandcomments?donsoutherton@koreabcw.com©BCW2018PhotographscourtesyofHyundaiMOBISSeoul,SouthKorea