BYD Company, Ltd., Spanish Version Case Solution
This case considers whether BYD Co., Ltd., the biggest Chinese maker of rechargeable batteries, should enter the Chinese automobile industry by acquiring Qinchuan Auto, which is a state-owned car manufacturer. It was setup only after BYD's initial public offering on the Hong Kong Stock Exchange in 2002, it describes the development of BYD's labor intensive method of battery production--a strategy decidedly distinct from its more capital-intensive Japanese rivals and one that took advantage of the plentiful supply of low cost labor in China. This case emphasizes the unique advantages and challenges created by the operations strategy of BYD and asks pupils to ascertain whether the capacities developed by the firm in battery making can be applied to the auto sector. It requests the students to consider which, if any, aspects of the businesses of BYD make up sources of sustainable competitive advantage for the firm.
This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS
PUBLICATION DATE: April 12, 2006