Dongfeng Passenger Vehicle Company: Marketing Challenges for the 'Underprivileged Latecomer'

Posted: 4 Feb 2012

See all articles by Willy Shih

Willy Shih

Harvard Business School

Nancy Dai

Harvard Business School, Asia Pacific Research Center

Date Written: October 3, 2011

Abstract

As Mr. Li Chunrong visited the new assembly line for the Dongfeng Passenger Vehicle Company in Wuhan, China, he contemplated the position his business unit found itself in: a latecomer. As a state-owned enterprise Dongfeng had entered into numerous joint ventures to produce automobiles under foreign brands, but its foray into selling vehicles under its own brand had only started recently, and now the unit faced a crowded market filled with fierce competition. As he walked back to the office, he reflected on the time it was taking to establish the Dongfeng brand. Would his business unit grow strong enough in their five province geographic focus before other hungry competitors looking for growth piled into these market areas? Or should they go more aggressively to attack the coastal areas with its new 2000 cc model to be launched in late 2011?

Learning Objective: Examine capability development in a Chinese state-owned enterprise.

Suggested Citation

Shih, Willy and Dai, Nancy, Dongfeng Passenger Vehicle Company: Marketing Challenges for the 'Underprivileged Latecomer' (October 3, 2011). Harvard Business School Technology & Operations Mgt. Unit Case No. 612-029, Available at SSRN: https://ssrn.com/abstract=1998992

Willy Shih (Contact Author)

Harvard Business School ( email )

Boston, MA 02163
United States

HOME PAGE: http://drfd.hbs.edu/fit/public/facultyInfo.do?facInfo=bio&facEmId=wshih

Nancy Dai

Harvard Business School, Asia Pacific Research Center ( email )

Soldiers Field Road
Morgan 270C
Boston, MA 02163
United States

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