Essay Example Describing the Evolution of BYD since Its Inception

Published: 2022-11-04 03:09:48
Essay Example Describing the Evolution of BYD since Its Inception
Type of paper:  Essay
Categories: Company Automotive industry
Pages: 4
Wordcount: 928 words
8 min read
143 views

Build Your Dreams (BYD) is a Chinese company that deals with electric cars. During its inception in as early as 1995, the company never started with making electric cars but has today evolved to electrify the automotive world in China. It then means that for BYD to be in its current position, the company has changed and grown. Over the years when the company started, little could be known about its operations, and that is the reason many Americans and Europeans had not heard about it. It began by making batteries for the cars after the current market by then offered poor quality batteries (Huckman, & MacCormack, 2006). Therefore, the intention of BYD for the inception was to make high quality and low-cost affordable batteries to its market. By then, the company produced batteries for the hybrid vehicles which used to run on the battery power till it could reach exhaustion. This challenged BYD to develop environmental-friendly batteries that could only be charged within an hour. The change by BYD enabled hybrid cars to travel over 62 miles using a single charge.

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Over the years in its process of producing batteries, BYD thought of having powerful batteries that could have fewer emissions and could work correctly. This led to the idea of coming up with electric cars which rely exclusively rely on battery power. The company grew to become the largest seller of all electric-EV vehicles in the world making close to 50,000 electric vehicles in 2015 (Masiero, Ogasavara, Jussani, & Risso, 2016). The company developed a carefully planned strategy of new model introductions making it take the first position in the world. Besides, the company has been producing new models yearly such as Sedan and new hybrid SUV model. The company moved on in 2016 to create over 6,000 new zero-emission electric buses. The corporate sales and net income of the company have been increasing yearly since its inception and growing to become the largest electric vehicles sales in the world.

Review of Responses to all of the Case Study Questions

Build Your Dream (BYD) which started as a small company for making car batteries has developed to be the agent of change in the automotive industry. The shift in electrifying the automotive industry has not just been realized in China alone but across the world. The decision by the company to go the electric vehicles way was influenced by the need for the company to invent more effective ways to power vehicles. This involved having batteries that were environmentally friendly and used less energy such a that it could only use less charge for long distance. Electric cars are a viable alternative because they do not emit greenhouse gases or tailpipe emissions. They are also less expensive to fuel as compared to their gasoline-driven counterparts as per the distance covered.

Important Findings

From the responses to the case study questions, Build Your Dreams (BYD) has developed operations strategies over the years to help become a leading automotive company. The company focused on electric vehicles as a viable alternative to gasoline-driven cars. Strategically, electric cars have fewer parts and exclusively use battery power. They are environmentally friendly, less costly, and take less time during the refueling. However, both the electric cars and gasoline-driven vehicles have been found useful in a way since both the types of vehicles have exhibited their weaknesses. For instance, electric cars present limited driving remoteness based on a single charge though they enjoy advantages such as lower combustion and costs. The Chinese government has supported the fast development of the electric cars by BYD through declaring deposits to the battery industry. As a result, the automotive industry is becoming electrified.

Strengths and Weaknesses

BYD's methods of managing operations have helped the company become the largest seller of the electric vehicles across the world. Some of the strengths expressed by BYD include; the company has been fast enough regarding innovation towards exploring new models that have made it penetrate the market. The company is also unique in such a way that the cars their cars reduce the use of energy and friendly to the environment. Therefore, other than providing effective operations in the automotive industry, the company helps in the preservation of the environment (Lasserre, 2017). The strategies adopted by BYD tend to bring a lasting solution that is effective regarding the use of modern technology in the automotive industry. These strategies also indicate some weaknesses such that the cars produced have limited in the areas of their usage, for instance; electric vehicles present limited driving remoteness based on a single charge. The strategies of operations are unable to clear off the gasoline-driven cars or hybrid vehicles. The cars have no unique designs and competitors may use the idea to cause competition in the industry.

Recommendations for Improvements

BYD has adopted excellent operations strategies to make it the successful company. However, the company can improve more if it focuses on designing models of vehicles depending on the level of infrastructures in most of the countries that are potential customers. The company has no branches of operation outside China. The company can use the opportunity to open centers in more countries to access the worldwide market and understand more about customer needs.

References

Huckman, R. S., & MacCormack, A. D. (2006). BYD Company, Ltd.

Lasserre, P. (2017). Global strategic management. Macmillan International Higher Education.

Masiero, G., Ogasavara, M. H., Jussani, A. C., & Risso, M. L. (2016). Electric vehicles in China: BYD strategies and government subsidies. RAI Revista de Administracao e Inovacao, 13(1), 3-11.

Cite this page

Essay Example Describing the Evolution of BYD since Its Inception. (2022, Nov 04). Retrieved from https://speedypaper.com/essays/the-evolution-of-byd-since-its-inception

Request Removal

If you are the original author of this essay and no longer wish to have it published on the SpeedyPaper website, please click below to request its removal:

didn't find image

Liked this essay sample but need an original one?

Hire a professional with VAST experience!

24/7 online support

NO plagiarism