Ssangyong Motor

Betting on success by targeting ‘Niche Market'

Since 2001, Ssangyong Motor, which specializes in manufacturing RVs(Recreational Vehicles), has created a new
trend in the domestic automobile market, by showing unique styles and vehicle models.

Moving ahead of their competitors by exploring the niche market is the blue ocean strategy of Ssangyong Motor.

Rexton, a model released in September 2001, is a prime example.

It was a ‘high-class medium-to-large sized SUV (Sports Utility Vehicle)’, the first of its kind in Korea. In
marketing it, Ssangyong used such attention getting phrases as ‘high 1% Korean’.

The result was almost instant success.

Regardless of its high price, Rexton created an overwhelming response from consumers, and opened up the premium
luxury SUV market.

The same thing occurred with Musso Sports, which Ssangyong Motor released in 2002, in that it opened up a new
market in the industry.

This model of vehicle, which was the only SUT (Sports Utility Truck) in Korea until now, still enjoys popularity
in the competition-free blue ocean market in Korea.

Rodius was another vehicle that Ssangyong released in the domestic market as the first of its kind in Korea in 2003,
which was an MPV (multi-purpose vehicle) for eleven people.

In June, Ssangyong Motor once more revealed a new concept vehicle, Kyron.

The company explains that Kyron is a SUV, but offers a driving feeling that surpasses a sedan. A source at Ssangyong
stated “It is a new concept, cross-over vehicle in that it has combined the advantages of both a SUV and a Sedan”.
 He added “We also topped it off with the sharpness of the Sports coupe and the European active design.”

Ssangyong Motor is to release Actyon, a SUV for five people, on the 13th, with the expectation that this will also
get attention in the domestic entry level SUV market, as another uniquely styled vehicle in the tradition of Rexton,
 Rodius, and Kyron.

Actyon comes with the outstanding performance of 145 horsepower engine, which is the highest horsepower among SUVs
for five, in the domestic market.

Another blue ocean Ssangyong Motor has found is the overseas market.

This comes as a result of their recognition that, after focusing mostly on the Korean market, the domestic-only policy
puts a limit on their growth.

Consequently, Ssangyong Motor is developing new cars that target the market worldwide.

After focusing their efforts on the export of cars such as Rexton and Rodius, Ssangyong Motor successfully transformed
the company into an exporting corporation by bringing the export ratio, which remained at 10% in 2001, up to 50% in the
first half of this year. Another Ssangyong strategy for the future is the diesel hybrid vehicle.

Ssangyong Motor has been recognized as a manufacturer of RV vehicles, which mostly come with a diesel engine, and in 2003,
the company was selected by the government as the diesel hybrid engine development company.

- Source from The Korea Ecomic Daily (Oct 10th, 2005) -