There are things that, no matter how advanced science and technology, cannot be invented yet due to clear limitations. It is a’time machine’. Everyone lives with a curiosity about what he cannot know. Isn’t one of them the’future’? The preface was opened with a somewhat unfamiliar story, but it can be said that the texture of the present is reached because it is about the future where the topic of the day is unknown.
It is easy for most readers to know that Ssangyong Motor, which was recently in jeopardy, faces an unusual crisis. But somebody said, “Do you know? It may work again,” some argue, “Now, Ssangyong has only damn things left.” For some reason, opinions on the future of Ssangyong are divided? Today, AutoPost takes a step further into the story of Ssangyong’s regeneration potential.
Written Editor Jeong Ji-hyun
Like life
There were good and bad days
Ssangyong Motor is a national company that has been loved by the people by launching Chairman, Musso, and Korando. At one time, it was also a company that lined up with Hyundai Motor Company. Later, it became popular with the launch of the small SUV, Tivoli in 2015. Looking at it like this, it seems that there will be only good things in the future, but unfortunately, Ssangyong Motor continues to decline.
One of the indispensable things in Ssangyong Motor’s curved history will be the’Ssangyong Motor Union Case’. In 2009, Shanghai Motors, which once acquired Ssangyong Motors, filed for legal management of Ssangyong Motors in the wake of the global financial crisis and gave up management rights. In the case of the Ssangyong Motors union, the union, resentful of the manpower reduction plan announced as a plan to normalize management, held a general strike over the factory for as little as 77 days.
Ssangyong Motor Company
It is an all-time crisis
Ssangyong Motor applied for legal management in December last year due to the liquidity crisis. Currently, the decision to commence court management has been put on hold for a while as the court has decided to apply a program to support self-organization. After 11 years since 2009, the nightmare has been repeated. The executives and employees resigned, and the union also revealed its position, saying, “If I go to layoff again, I will never withdraw.”
In addition, Mahindra, the major shareholder of Ssangyong Motor, and HAAH, a US automobile retailer, stopped negotiating the sale of Ssangyong Motor. Their cessation of negotiations was reportedly due to their failure to narrow the disagreement over terms of trading. Accordingly, Ssangyong Motor plans to enter the P plan. P plan refers to a method in which creditors inject new funds when the court reduces existing debt.
Another recent situation of Ssangyong Motor
I see a ray of hope
Fortunately, it is not only bad news for Ssangyong. Ssangyong Motor sold a total of 8,678 units in January, showing an increase of 13.4% compared to the same period last year. To take a closer look, Ssangyong’s domestic sales in January were 5,648 units and exports to 3,030 units, respectively, up 1.6% and 44.6% compared to the same period last year. This is a remarkable achievement. This is because January is an off-demand season and both domestic and exports have recovered, despite production disruptions such as the suspension of supply of some parts makers after applying for corporate rehabilitation.
Some experts analyzed this recovery trend, saying, “The sales of 1,026 units of All New Rexton, an increase of 92.1% over the same period of the previous year, seem to have some effect.” In addition, according to an official from Ssangyong Motors, Ssangyong Motors plans to continue its upward trend by reinforcing differentiated sales strategies with the launch of product improvement models in the future.
“We have to regenerate”
Rival’s net function
While the bad news and the good news were heard at the same time, consumer reactions were sharpened together. First, let’s listen to the opinion that Ssangyong Motors must recover. Some consumers argued that “Ssangyong Motor must have a competitive partner to create a healthy market,” and that “Ssangyong Motor must revitalize and guarantee consumer choice.”
The fact that there are rivals, as everyone knows, in turn means that all of those who compete with each other can grow. In terms of the automobile market, it means that only when vehicles of the same class are released from various manufacturers, we will strive to improve quality to receive consumer choices while keeping each other in check. In addition, the fact that a variety of new cars can be released only with a variety of manufacturers can be seen as the reason for the existence of Ssangyong.
If you are an authentic Jeep SUV brand
Have enough wins in Korea
These days, the popularity of SUVs doesn’t cool down. Whether it is because of its uncooled popularity or because of active leisure activities, demand for authentic SUVs is gradually increasing in Korea. Unfortunately, there is currently no model that can be called an authentic SUV among domestic SUVs.
Of course, Kia’s Mojave and Ssangyong’s Rexton used the frame body. However, it is not enough to be considered an authentic SUV. In this situation, there is increasing opinion that if Ssangyong Motors properly launches an authentic SUV as it did before, it will be able to appeal to consumers with a different charm from other companies.
“I’m not good at it soon”
“Stop wasting tax”
On the other hand, there are some consumers who are not happy with Ssangyong’s recovery. Their main opinion is, “It’s better to do just some kind of CPR with tax and not try when it’s over.” Underlying this reaction lies the disappointment of Ssangyong Motor, which has not shown remarkable results even though there have been enough opportunities for a turnaround.
Consumers have not heeded the affectionate bitterness of Ssangyong Motor. In fact, some say, “I wish we could recover the color of Ssangyong Motors” and “The reason the old models are still running is because they miss them. There were a lot of reactions saying, “Please do just like before.” However, Ssangyong Motor has repeatedly stepped in place, contrary to the wishes of consumers. Therefore, some consumers are responding coldly, saying, “If I had done what consumers said, it would not have fallen to this extent”, and “Why Ssangyong is collapsing, should I spend my taxes?”
Ssangyong’s future steps
New car launch again?
Even in a difficult situation, Ssangyong Motor announced plans to launch a new car again. Ssangyong Motor plans to launch the E100 electric vehicle in the first half of this year, and the E100 is based on the currently available Korando. It is likely that the official car name will be selected as the Korando e-Motion.
The battery is equipped with LG Chem’s 61.5kWh pouch-type lithium-ion battery, and the maximum driving distance per charge is about 420km based on NEDC. In response, some netizens are responding, saying, “Ssangyong Motor’s willingness to not give up on developing new cars to live anyway is really great.”
Back in history VS
Last one time only
So far, we have looked at the opinions of consumers about Ssangyong Motor. Is it because it is a company that has been next to consumers for a long time? There were opinions to put a last hope, and there were opinions that it would be reasonable for Ssangyong Motors to disappear into the back of history, saying, “It is time to let go of it realistically.”
No one knows yet what ending will bring Ssangyong Motors and consumers. I just guess. It seems good to leave the judgment to each reader. If you have any opinions related to Ssangyong Motor, please leave a comment. It was Auto Post Issue Plus.
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