Research On Development Strategy Of BYD Company

With the improvement of China’s environmental requirements for green travel in the field of vehicle transportation,such as low energy consumption,low emission and low pollution,the proposal of the national "carbon peak" development goal,and the continuous improvement of the public’s awareness of environmental protection,new energy vehicle products are increasingly supported by the people,all sectors of society and the national government.Many domestic automobile enterprises actively layout the new energy automobile industry.At the same time,many emerging enterprises also quickly enter the industry,and the market competition is becoming more and more fierce.Relying on its traditional battery business and automobile production technology advantages,BYD has made a rapid transformation to the new energy automobile business and gradually replaced the traditional automobile business.After years of development,BYD has gradually become a leading domestic new energy automobile enterprise.At the same time,it has laid out overseas markets and has a certain international influence.However,with the aggravation of the trend of retreat and compensation,the influence of COVID-19 and the intensification of industry competition,BYD enterprises are faced with complex and changeable domestic and international environment.In order to maintain their own status and maintain sustained development,enterprises must formulate strategies for development at all stages.This paper uses PEST method to analyze the external macro environment faced by BYD enterprises in the development of new energy vehicle industry.Then,Porter’s five forces model is used to analyze the external competition faced by enterprises.By analyzing the internal and external environmental conditions of BYD’s new energy vehicle business,using SWOT method to provide different combination strategic opinions,analyze the company’s strategic objectives from the perspective of strategic management,and provide specific strategic opinions from the enterprise level,management level and functional management level.The company level should increase capital investment,improve R & D level and production efficiency,expand the business coverage of products in China,and actively layout the overseas new energy vehicle market;The business level should focus on developing new energy vehicle products and upgrading traditional energy products at the same time.The core products should be positioned in the household vehicle market,vigorously develop brand strategy and enhance corporate image and brand influence;The strategy of functional level includes: the production department should increase the production efficiency of products,the R & D department should continuously increase the investment of R & D funds and manpower,and continue to further optimize on the basis of existing core technologies.The sales department should innovate the service marketing strategy,pay attention to customer value and realize precision marketing.As an industry leader,BYD needs to formulate practical development strategies at different levels,step by step and invest more energy to build its core competitiveness in order to maintain its industry position and competitiveness.