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Operations Strategy at BYD of China,

Electrifying the World’s Automotive


Market
BYD Background

BYD, which stands for "Build Your Dreams," is a Chinese company that initially specialized in manufacturing
batteries. Over time, it expanded its operations into various industries, including electric vehicles (EVs),
renewable energy solutions, and electronics

- 1995 - Founded by Wang Chuanfu


Started to manufacture rechargeable batteries
Within a few years became one of the largest battery suppliers in the world

- 2003 - Entered the automotive business


Next decade, expanding and shifted focus to electric vehicles and plug-in hybrids.

- 2013 - BYD was the world’s largest plug-in and electric vehicle manufacturer
Supplying EV technology and batteries to major automakers
Expanding e-bus manufacturing globally.

- Today - BYD is an integrated clean energy company that is leading in batteries, EVs, rail transit, energy
storage, and more.
Do you think electric cars may become viable alternative to gasoline-powered vehicles? what is the
future of the electric car? Explain your answer

Yes definitely, electric cars are already becoming a viable alternative to gasoline-powered vehicles
and are likely to play a significant role in the future of transportation. Several factors contribute to
this trend:
1. Advance Technology: battery improvement
2. Environmental sustainability: climate change and the need to reduce greenhouse gas emissions
3. Government Support and Regulations: subsidies, tax incentives
4. Infrastructure Management: investment on charging station

The future of electric cars looks promising, with projections indicating significant growth in their
market share in the coming years. However, challenges such as battery recycling, resource supply
chain sustainability, and grid capacity to support widespread EV charging need to be addressed for
electric cars to realize their full potential.
What are the internal strengths & weakness of BYD along with the external, opportunities
and threat in swot analysis
Given a business strategy of being the world leader in manufacturing electric cars with innovative technology, what operations
and supply chain strategy do you think BYD compete should pursue? Identify what operations and supply chain should do to
help BYD compete including a mission, objective, distinctive competence and key decisions

For BYD to become the world leader in manufacturing electric cars with innovative technology, its
operations and supply chain strategy should align closely with its business organizational strategy.
The framework:
1. Vision: Dominant in market in the electric vehicle sector by delivering high-quality, innovative products
efficiently and sustainably, while continuously improving operational effectiveness and customer
satisfaction.
2. Mission: To revolutionize transportation by producing electric vehicles (EVs) with cutting-edge
technology, ensuring sustainability and superior performance.

Distinctive Competence: - Innovative technology (battery, autonomous


driving)
- Integration (flexibility, quality control, cost efficiency)
- Sustainability (source material, environmental impact)

Key decision: - Quality & grade


- Continues improvement
- End 2 end supply chain
- Risk management
What recommendations would you make for the business as a whole to overcome its weakness and threats and
then capitalize on its strengths and opportunities

Weaknesses:
- Introducing more about the brand recognition outside of China
- Influence the government to support the

Threats:
-Intense competition from both traditional automakers and new EV startups
-Technological advancements leading to rapid obsolescence of current offerings
-Reduce the dependences on government subsidies and policies sales

Strengths:
-Strong foothold in the Chinese EV market, one of the largest globally
-Diversified portfolio including electric buses, trucks, and passenger vehicles
-Robust research and development capabilities in battery technology

Opportunities:
-Expansion into international markets, leveraging growing demand
-Home of all battery options in market
Our Recommendation Strategies for The Company

- Keep Innovating Batteries: BYD should continue improving battery technology to make electric cars
safer, longer-lasting, and more affordable.

- Offer More than Cars: Besides cars, BYD can make other clean transportation options like electric
buses and trucks to grow its business.

- Work with Others: It's important for BYD to partner with governments and companies to build
charging stations and expand into new markets around the world.

- Stay Green: BYD should stick to its commitment to sustainability by using eco-friendly materials and
reducing pollution in its factories.

- Run Smoothly: To save money and run efficiently, BYD should improve its manufacturing and supply
chain processes.

- Educate and Listen to Customers: BYD should teach people about electric
cars and listen to what they want to make better products and services.
Thank You

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