Does BYD Co, Ltd, China's largest manufacturer of rechargeable batteries, should enter into the Chinese automotive industry by acquiring Qinchuan Auto, public car manufacturer. Set immediately after the initial public offering of BYD on the Hong Kong Stock Exchange in 2002, it describes the development of labor-intensive approach to the BYD battery production - an approach strongly differs from the more capital-intensive Japanese competitors and the one that took plenty of cheap labor in China. The main unique advantages and challenges in operations strategy BYD and asks students to identify opportunities developed by the battery production can be used productively for the automotive sector. Asks students to consider which, if any, aspects of BYD to serve as a source of sustainable competitive advantage for the company. "Hide
by Robert S. Huckman, Alan MacCormack Source: Harvard Business School 24 pages. Publication date: April 12, 2006. Prod. #: 606139-PDF-ENG