Strategic Management of BYD Energy: Analysis, Collaboration, and Innovation

This report discusses the strategic management of BYD Energy, including company analysis, competitive analysis, customer analysis, strategic collaboration, and innovation strategies. It also explores the contextual factors and issues faced by the company. The report provides insights into the market trends and changing customer preferences that impact BYD Energy's operations. The second part focuses on the company's innovation strategies and the implementation of innovative ideas. Overall, the report highlights the importance of strategic management and innovation for BYD Energy's success.

Assessment

INTRODUCTION...............................................................................................................................3
FIRST PART.......................................................................................................................................3
Critical Company analysis of BYD Energy.......................................................................................3
Critical competitive analysis..............................................................................................................5
Critical customer analysis..................................................................................................................6
Critical strategic collaboration & Contextual factors/issues..............................................................7
SECOND PART..................................................................................................................................7
Innovation strategies..........................................................................................................................7
International Market strategies..........................................................................................................9
CONCLUSION..................................................................................................................................11
REFERENCES..................................................................................................................................12

INTRODUCTION
Strategic management is related to management of business firm’s resources for
accomplishing its goals as well as objectives. In addition to this, it includes setting objectives,
analysing competitive environment, analysing internal organization, evaluating strategies as
well as making sure than management rolls out strategies within organisation (Trigeorgis and
Reuer, 2017). In addition to this, strategic manager of business firm oversee strategic
management plans as well as devise way for company for accomplishing benchmark goals
and objectives. In simple term it can be said that within assistance of strategic management
an business firm able to set managerial decision as well as cations which determine long run
performance of an organisation.
This report is based on BYD Energy company which is high-tech organisation
devoted to technology innovation for better life. Aim of respective organisation is to build
safe, efficient as well as stable storage solution for renewable energy. In addition to this, they
are offering several products such as battery box low and high voltage for both commercial as
well as residential purpose and large-scale battery projects in several nations. For better
understanding of strategic management concept this report is divided in two parts out of
which first will include several topics such as company analysis, competitive analysis,
customer analysis and strategic collaboration & contextual factors. On the other hand, second
part will discuss innovation strategies and international market strategies.
FIRST PART
Critical Company analysis of BYD Energy
Build your dream Energy is high-tech company which devoted to technology
innovation for better life. Along with this, aim of respective organisation is to building
efficient, safe and stable storage solution for renewable energy. From generation of energy
and storage its application respective business firm decided to offer zero emission energy
solution. Moreover, there are several products which company will going to offer such as
battery-box and high voltage for residential and commercial purpose, large scale battery
projects in several nations.
Slogan of BYD Energy Company – “New energy gives us new future”.
Mission of BYD Energy Company – Build your dream energy Company mission is
to provision of non-toxic energy with zero emission and zero pollution.

Core value of BYD Energy Company – innovation, Excellence, pragmatism and
passion.
Resource based view model – it is model which see resources as an key to superior
firm performance. If resources exhibits VRIO attributes then resources will enables company
to gain as well as sustain competitive advantages. Explanation of this, in relation of Build
Your Dream Energy Company are as follows :-
 Tangible – This is part of resources which provide assistance to an organisation in
gaining competitive advantages. Thus, in relation of BYD Energy Company their
tangible product will be Zero emission battery. From generation of energy and storage
its application respective business firm decided to offer zero emission energy solution.
Which will be environmentally friendly and provide assistance to respective company
in gaining competitive advantages and also fulfilling demand for environment friendly
products (Zhao and et. al., 2017). Thus, simply it can be said that physical resources
can bought within market so they confer little advantages to the business firm in long
run because competition can soon acquire identical assets. Apart from this, several are
also included in tangible assets such as building, machinery, equipment and capital.
 Intangible – These are everything else that has no physical nearness however can at
present be claimed by the organization. Brand notoriety, trademarks, licensed
innovation are for the most part impalpable resources. In contrast to physical assets,
brand notoriety is worked over quite a while and is something that different
organizations can't accepting from the market. Elusive assets for the most part remain
inside an organization and are the fundamental wellspring of feasible upper hand. In
relation of Build Your dream Energy company main intangible assets are innovation
which they are bringing i.e., From generation of energy and storage its application
respective business firm decided to offer zero emission energy solution (Ethiraj,
Gambardella and Helfat, 2017). Which will be environmentally friendly and provide
assistance to respective company in gaining competitive advantages and also fulfilling
demand for environment friendly products.
Apart from this, two critical assumptions of Resource based view that resources must be also
heterogenous as well as immobile. Explanation of these in relation of BYD energy company
are as follow:-

 Heterogeneous - The primary supposition that will be that abilities, capacities and
different assets that associations have vary starting with one organization then onto
the next. On the off chance that associations would have a similar sum and blend of
assets, they couldn't utilize various techniques to outcompete one another. What one
organization would do, the other could just follow and no upper hand could be
accomplished (Michael, Storey and Thomas, 2017). This is the situation of
immaculate rivalry, yet certifiable markets are a long way from totally serious and a
few organizations, which are presented to a similar outside and serious powers (same
outer conditions), can execute various systems and outflank one another. Along these
lines, RBV accept that organizations accomplish upper hand by utilizing their various
packs of assets.
 Immobile - The second suspicion of RBV is that assets are not versatile and don't
move from organization to organization, in any event in short-run (Durand, Grant and
Madsen, 2017). Because of this fixed status, organizations can't repeat opponents'
assets and actualize similar systems. Immaterial assets, for example, brand value,
procedures, information or licensed innovation are normally stable.
Critical competitive analysis
It is very crucial to analyse and evaluate the key competitors as well as its strategies in
order to conduct business activities and task in more effective and efficient manner. There are
various company which is providing its products and services in Automobiles sectors (Jia,
and et.al., 2017). Build Your Dream is a Chinese manufacturing organisation that is creating
battery powered cycle, automobiles, solar panels, rechargeable batteries and many more. It is
organisation is providing high quality products and effective services to customers in order to
meet with the needs and requirements of customers. It is important for respective company to
determine competitors profiling, strategies as well as competence positioning of its rival
company in order to take better and effective decision that will lead to growth and
development of business. Build Your Dream company major rival area Tesla and Daimler.
This organisation is dealing in highly competitive environment and its competitors company
are very strong. Information about key competitors that is Tesla and Daimler organisation is
mention below.
Tesla Company

Tesla is a well established American electric vehicle organisation that is providing its
high quality services to large number of customers. This organisation was developed in 2003
and founder of this company is Marrtin Eberhand, Elon Musk, Marc Eberhard. Headquarter
of Tesla organisation is located in Pola Alto, California, U.S. It product range includes
Electric vehicles, solar panels and Tesla Batteries (Chen and et.al., 2017). Tesla organisation
is developing effective business strategies which lead to attract more customer as well as
increase profits of business. Respective company strategy includes high end market area in
which customers are ready to pay high amount or premium prices of its products. Tesla
organisation is entering into high end market as selling products at premium prices will lead
to increase overall revenues of respective company. Respective company is consider as the
top competitor of Build Your Dream organisation . Tesla competence positioning includes
attracting customer by informing them about the products as well as its features. Tesla
company is positioning its products for the drivers that require high performance of car as
well as conscious about environment. Long range electric automobile car will lead to attract
more customers towards the offering of respective company.
Daimler company
This organisation is mostly refer as the Mercedes in German. It is a multinational
organisation and its headquarter is located in Stuttgat, Germany. Its products includes
automobiles and commercial vehicles. Daimler organisation strategy includes five C’s such
as global core of business, leading case, corporate culture, market focused structure of
company as well as its customers (Afolabi, Ezenwoke and Ayo, 2017). This strategy of
business will lead to influence customers towards business and earn more revenues. For
BYD organisation competency positioning of Daimler company is lower as compare to Tesla.
Daimler is positioning its product it provide new experience to customers every day.
Critical customer analysis
Customer segmentation is the procedure of dividing customers within groups which is
based in common characteristics so that business firm can market each group within effective
and proper manner. Thus, in relation of BYD Energy company will segment their customers
for their new offering i.e., from generation of energy and storage its application respective
business firm decided to offer zero emission energy solution (Gans and Ryall, 2017). Which
will be environmentally friendly and provide assistance to respective company in gaining
competitive advantages and also fulfilling demand for environment friendly products. Build

Your dream Energy Company will target both customers commercial as well as household
for selling their zero-emission battery product. Along with this, their main focus will be on
those people who prefer environmentally friendly product because respective product is good
and friendly for environment as well as it will help in grabbing attention customers and fulfil
their need in more effective manner.
Critical strategic collaboration & Contextual factors/issues
Business environment is full of competition as each and every business firm who is
conducting their operation within this are facing several issues also. In simple term it can be
said that, there are several silent issues which business firm are facing while working. Thus,
for an organisation it is important to deal with such issues in better manner so that better
outcomes will be gain as well as company will sustain for long term in market. Although,
major issues which business firm face are related to trends because within sometime trends
get change and wide impact on working of organisation (Ethiraj, Gambardella and Helfat,
2016). Thus, in relation of Build your dream energy company it is important to follow latest
market trends so that they will be able to go with market and make customers satisfy within
effective manner.
In addition to this, another major issue is changing preferences of customers which
give salient impact on company but in wide manner. These issues are changing preferences of
customers which required to be deal in effective manner because customer will get satisfy
only when they get product and services as per their preferences. So it is important for Build
Your Dream Company to conduct market analysis on regular basis because it will help them
in identify several factors which help in long term sustainability of company (Baumgartner
and Rauter, 2017). Through market analysis several factors will determine such as customers
taste and preference, market trends and many more.
SECOND PART
Innovation strategies
It is important for an business firm to come something innovative in market as it will
help them in attracting more customers and making them satisfy. An innovation strategy is
plan which an business firm use for encouraging advancements in technology or services.
Generally, through investing money within research and development activities as well as
innovation strategy is important for an organisation that want to gain competitive advantages.
Thus, BYD Energy company is also bringing something innovative i.e., From generation of

energy and storage its application respective business firm decided to offer zero emission
energy solution. Which will be environmentally friendly and provide assistance to respective
company in gaining competitive advantages and also fulfilling demand for environment
friendly products. Moreover, there are several frameworks which BYD energy company can
use while bringing this innovation. By implementing 4 phase of innovation BYD will able to
implement their innovative idea in effective manner. Explanation of these are as follows :-
Phase 1 Idea – Innovation procedure generally starts with search for as well as finding
innovative potentials and derivation of ideas that are subsequently evaluated. An innovation
potential is newly discover opportunity for innovation. It can be unfulfilled need of customer,
problem with customer, new technical solution and possible new market. In relation of BYD
Energy company they will come with something innovative for making customer satisfy as
well as negative impact of battery on environment. Motive behind this innovation is to bring
something innovative and satisfy customers needs. The finish of the primary stage makes the
thought evaluation. Based on characterized measures, the likely advantages and the
achievability of the organization are assessed. In view of this, the thought is given a need and
the discharge for the following stage is chosen where the goals and desires are likewise
concretized.
Phase 2 Concept – From first phase concentration will be on idea with goals as well as
expectations.it is important phase as it is following by an intensive analysis phase for
gathering as much as possible information related to idea and its further processing
explanation of this in relation of BYD Energy company are as follows :-
 Market and customer requirement is to bring something innovative which provide
assistance in reduction negative impact of battery on environment (Darling and et. al.,
2019). For making customer satisfy and gaining long term sustainability it is
important for respective company to bring something innovative.
 Market potential include size as well as attractiveness which is important for
organisation to decide in advance. Thus, BYD will sever their innovative product at
international level. In this, market attractiveness is environment protective battery
which help them in attracting large number of customers within more effective
manner.
 Chances which BYD Energy company is that to bring something different which will
help them in gaining attention of numerous customers in more effective manner. This

will provide them assistance in gaining competitive advantages as well as long term
sustainability of business within business environment.
 Risk which respective organisation will face while bringing something innovative in
market is that several people will not like product. This will result in creating risk for
BYD energy company as their will be chances of reducing sales.
On the basis of this overall concept BYD Energy company will design concept for finding
solution. So that better outcomes will be gained and respective company will accomplish
their goals as well as objectives in effective manner.
Phase 3 Solution – The point of Phase 3 is to build up a prepared to-utilize
arrangement that can be brought to the market. Arrangements are being created, models
assembled and tests completed. Notwithstanding idea and lab tests, the tests likewise
incorporate market tests under genuine conditions so as to increase far reaching criticism.
When the arrangement has arrived at development, it will be discharged for execution and
promoting (Ferlie and Parrado, 2018). Simultaneously, the ideas for usage and promoting are
additionally evolved and adjusted. In relation of BYD Energy Company solution is that they
are bringing something innovative i.e., From generation of energy and storage its application
respective business firm decided to offer zero emission energy solution. Which will be
environmentally friendly and provide assistance to respective company in gaining
competitive advantages and also fulfilling demand for environment friendly products. In
simple term it can be said that, respective innovative strategy will provide assistance to RYD
energy company in attracting large number of customers and making their need satisfy in
better manner.
Phase 4 Market - The last stage is tied in with carrying the item to the expected
clients. From one viewpoint, this requires the physical accessibility of the item. These
incorporate obtainment, creation and coordination’s dependent on characterized ideas. Then
again, the client is stirred and afterward satisfied (Teece, 2019). All showcasing and deals
channels are enacted. As a premise, inward deals must be persuaded and prepared so as to get
the items to the clients the principle step. Every one of these exercises can be summed up as
advancement advertising. Thus, respective company is coming with new product i.e., From
generation of energy and storage its application respective business firm decided to offer zero
emission energy solution. Which will be environmentally friendly and provide assistance to
respective company in gaining competitive advantages and also fulfilling demand for

environment friendly products. In relation to BYD Energy Company they will serve their
products at international level as well as for promoting their product they will use social
media tools because these will be effective and help company in attracting large number of
customers.
International Market strategies
For entering in international market it is important for business firm to select suitable
strategy so they will be able to take better place. In relation of this BYD Energy Company
will implement Ansoff Matrix within their working as it is market expansion grid which
organisation can use for analysing as well as planning their strategies for growth
(Honggowati and et. al., 2017). Explanation of this in relation of BYD Energy company are
as follows :-
Ansoff Matrix – This is also called Product/Market expansion Grid which use by an
organisation for analysing as well as planning their strategies for growth. Respective
framework shows four strategies which can be utilised to help in growth and also provide
assistance in analysing risk which are related with each strategy. In addition to this, 4
strategies are market penetration, product development, market development and
diversification. Explanation of this in relation of BYD Energy Company are as follows :-
 Market penetration – In this strategy business firm uses their products within
existing market area. Within simple term it can be said that, aim of company is to
enhance market share with market penetration strategy. There are several ways of
doing market penetration strategy such as decreasing prices to attract existing or new
customers, enhancing promotion and distribution efforts and acquiring a competitor
with same market.
 Product development – In an product development strategy, the firm builds up
another item to take into account the current market (Bergh and et. al., 2016). The
move normally includes broad innovative work and extension of the item go. The
item technique improvement system is utilized when firms have a solid
comprehension of their present market and can give inventive answers for address the
issues of the current market. There are several ways of market development strategy
such as strategic partnership with other business to gain access to each partner
distribution channels or brand, investing in R&D to develop new products for catering
within existing market as well as acquiring competitors products and merging

resources for creating new product which meet requirement of present market within
effective manner. In relation of BYD Energy Company solution is that they are
bringing something innovative i.e., Carbon Dioxide Battery which absorb carbon
dioxide from the air passing over its electrodes as it being charged up and then release
that gas as it being discharged. Along with this, major advantage of this technology
over most other carbon capture or carbon absorbing technologies is the binary nature
of the adsorbent's affinity to carbon dioxide.
 Market development – In a market advancement technique, the firm enters another
market with their current item. In this specific circumstance, venturing into new
markets may mean venturing into new topographies, client sections, areas, and so on.
The market improvement technique is best if (1) the firm claims exclusive innovation
that it can use into new markets, (2) buyers in the new market are productive and (3)
customer conduct in the new markets doesn't go amiss excessively far from the
current markets. In addition to this, there are several ways of market development
such as catering to different customer segment, entering within new domestic market
as well as entering into foreign market (Demir, Wennberg and McKelvie, 2017).
Although, BYD Energy Company is using both product development and market
development strategy as they are entering within new products within new market
also.
 Diversification - In an enhancement procedure, the firm enters another market with
another item. In addition to this, such a procedure is the most hazardous, as market
and item improvement is required, the hazard can be moderated through related
expansion.
Thus, through entire discussion it has been analysed that BYD Energy Company is using two
strategy for their growth purpose i.e., product development and market development. These
will help them in making customer satisfy as well as fulfilling need and wants within more
effective manner.
CONCLUSION
After going through overall discussion, it has been summarised that it is important for
an business firm to implement strategic management in their working because it provide
assistance in accomplishing goals and objectives within effective manner. In simple term it
can be said that within assistance of strategic management an business firm able to set

managerial decision as well as cations which determine long run performance of an
organisation. It is important for an organisation to analyse their competitors within effective
manner so that they can design strategies in accordance to gain competitive advantages.
Furthermore, for an organisation their customers are important part as it is important for
company to analyse their customers behaviour in proper manner as it will help them in
making satisfy and loyal part of company. Apart from this, after some time customer get
bored with offering of business firm as it is important for company to come with something
innovative which help in making customer satisfy. Along with this, while entering in
international market for organisation it is important to implement something innovative
which help in grabbing attention of numerous people in better manner.

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