Strategic Marketing Theory and Models for BYD

PROJECT

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Appropriate strategies of marketing theory and models to examine the sector, the market and
the company.................................................................................................................................3
Challenges that the company is facing in implementing the strategic marketing models...........4
TASK 2............................................................................................................................................7
Key modules................................................................................................................................7
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Strategic evaluation requires obtaining relevant information for gauging performance, analyzing
it, and then taking the actions to stay on track. The marketing executive is continually monitoring
performance, and often they must revise their strategies to adjust to changing conditions. BYD is
a Chinese manufacturer of automobiles, battery-powered bicycles, buses, forklifts, solar panels,
rechargeable batteries, trucks, etc. with its corporate headquarters in Shenzhen. It has two major
subsidiaries, BYD Automobile and BYD Electronic. It was founded in February 1995. This
report contains topics which gives a brief introduction of strategic marketing theory with the
models that are implemented in the company as a strategy of growth. Other than it this report has
covered different types of analysis of the company such as company analysis, customer analysis
and competitor analysis which has helped the company to form its strategies on the basis of it so
that they can achieve growth and success. In another task two strategies has been assessed which
will help the company to maintain relation with others and maintain their operations on an
international level (Sahaf, 2019).
TASK 1
Appropriate strategies of marketing theory and models to examine the sector, the market and the
company.
Strategic marketing theory helps the business to focus on their target audience. The company
will choose a specific market after the analysis through which they can divide the segments and
assess which are the most viable for them so that they can offer their services.
Literature Review-
VRIO Analysis-
According to (Lancaster and Massingham, 2017) the product that is offered by the
company adds value which is why they are able to claim the level of opportunities and there are
less amount of threats for them. The resources they use are energy efficient that is why they are
valuable through which company increases their value. This is achieved when the company is
able to make the product in an unique manner with low cost. If they are not able to achieve it
then they won’t be able to comply with the situation of competitive advantage. It is necessary

that mangers of BYD assess and review the value of the resources constantly. Resources that are
used by only few companies in the market are believed to be rare. The use of BYD of these
resources have made them gain competitive advantage in the market. There is an aspect of
competitive parity where more than 2 companies uses same resources which must be neglected
so that the aspect of rare resources can be maintained.
Energy efficient resources are costly to imitate for any other business and offering them
at a low price is another difficult task. There can be two ways in which product offered by BYD
can be imitated that is duplicacy or substituting it. It is difficult for the other companies to imitate
it as BYD has competitive advantage over them. Other than this resources took a lot of time to
develop which is why they are expensive. As per the view of (Keegan and Rowley, 2017) if the
resources are organized then the value will be captured to it. It is necessary that they assess and
keep their system of management organized with it they processes, policies, structure and culture
of the organization so that they can work up to their potential. Only this way they will be able to
achieve competitive advantage.
Ansoff Matrix-
In accordance with (Ghosh, 2017) there are four aspects to this model through which
evaluation of market is assessed and decision is taken by the company. in the penetration of
market the company will focus on selling the products they deal in into the markets they already
offer..There are four objectives of this aspect one is to increase their share in the market. BYD
can keep their prices competitive and focus more on promoting the brand. Also if this does not
work they need to restructure the market by taking out all of their competitors. In order to do that
they need to implement more aggressive strategies of marketing so that they can steal the
customer of their competitors. Also they can offer them schemes of loyalty and they deal in the
same market which states that they do not need to invest more in it. Another aspect of this model
is Market Development in which company has to sell their batteries in the market that are new so
that they can achieve growth. They can export their products to other country or use channels of
distribution that are new so that they can increase their sale. Also in order to enter into new
market they will have to keep their pricing attractive so that they can grab their attention.
Because they are entering into markets that are new this involves risk.