Ex-Ghosn Ally to Lead Hyundai in U.S. Market -- WSJ
19 April 2019 - 5:02PM
Dow Jones News
By Mike Colias
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (April 19, 2019).
Hyundai Motor Co. has hired Jose Muñoz, formerly one of Carlos
Ghosn's top lieutenants at Nissan Motor Co. and a potential CEO
candidate at the Japanese car maker before his abrupt departure
earlier this year.
Mr. Muñoz, who left within months of Mr. Ghosn's arrest in
November, will lead the Korean auto maker's North America business
as the company works to reverse a market-share slide in one of its
most profitable regions. He also will serve as chief operating
officer for the Seoul-based parent company, Hyundai said
Thursday.
Mr. Muñoz, 53, spent 15 years at Nissan, most recently leading
business strategy across the Japanese auto maker's global regions,
including having direct oversight of its China operations. The
native of Spain resigned in January amid a broader shake-up in
Nissan's top management ranks following the November arrest of Mr.
Ghosn, the company's former chairman and CEO.
Mr. Ghosn was later charged with misstating deferred
compensation on Nissan's annual financial statements. He was
rearrested earlier this month on fresh suspicions of breach of
trust, meaning abuse of his position at Nissan for personal
gain.
Mr. Ghosn has denied any wrongdoing, calling the charges and
accusations against him groundless.
Hyundai in the U.S. has grown from a little-known budget car
brand to a significant mainstream player, garnering quality ratings
and price points on par with established car makers like Ford Motor
Co. and Honda Motor Co. The Hyundai brand has more than doubled its
U.S. market share since the early 2000s.
But Hyundai's market share has slipped in recent years, hurt by
a sharp consumer shift to sport-utility vehicles and away from the
sedans that long served as its vehicle-lineup core. The Hyundai
brand's U.S. market share was 3.9% in each of the past two years,
down from 4.4% in 2016, according to the Automotive News Data
Center.
Like other auto makers, Hyundai has been scrambling to get more
SUVs into U.S. showrooms. It introduced a new small crossover SUV
called the Venue aimed at younger buyers at the New York Auto Show
this week.
In an interview, Mr. Muñoz said he wants to raise the level of
customer service at Hyundai's 840 U.S. dealerships to improve the
brand's cachet in the U.S.
"There is an opportunity, by working with the dealers, to
elevate the Hyundai brand," Mr. Muñoz said on the sidelines of the
New York Auto Show.
Mr. Muñoz had been considered a potential CEO candidate at
Nissan, people familiar with the matter have said. But his future
at Nissan was cast into doubt following Mr. Ghosn's arrest and
eventual ouster from the company.
In January, Nissan said Mr. Muñoz was taking a leave of absence
to assist the company on tasks "arising from recent events." About
a week later, he resigned, saying in a statement Nissan is involved
in matters that are diverting the company's focus.
Mr. Muñoz spearheaded Nissan's strategy in 2011 to increase both
global share and operating margins to 8% by 2017. Nissan feel short
of both targets, expect in the U.S., where a team led by Mr. Muñoz
briefly hit the market-share target.
A nuclear engineer by training, Mr. Muñoz joined Nissan in 1999
and quickly rose through its ranks to lead Nissan's operations in
his native country of Spain. He then went on to head Nissan's
Mexico operations in 2009 and was tapped in 2014 as head of
Nissan's North America unit.
In late 2016, he was appointed chief performance officer in
charge of ensuring the company hit its growth targets.
In a statement, Hyundai Motor Co. President Wonhee Lee lauded
Mr. Muñoz as a "visionary and motivational leader" that will be
counted on to "achieve long-term, sustainable growth."
Write to Mike Colias at Mike.Colias@wsj.com
(END) Dow Jones Newswires
April 19, 2019 02:47 ET (06:47 GMT)
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