From domestic success to global competitiveness: BYD's strategic expansion into the European electric vehicle market

China's new energy vehicle industry has achieved remarkable domestic success and is playing an increasing role in the global market. What are the dynamics behind this rise? How did Chinese new energy vehicle enterprises translate their domestic dominance into sustainable global competitiveness? What strategies are driving their international success? This thesis aims to investigate the drivers of China's new energy vehicle industry growth and the expansion of Chinese automakers into the European market. It focuses specifically on the case of BYD, a leading Chinese new energy vehicle and battery manufacturer, examining how the company competes globally by adapting its international strategies to local markets. The analysis provides valuable insights and practical reference for electric vehicle companies entering the European market. The research is based on multiple sources, including academic literature, industry reports, corporate publications, legislative and regulatory documents, and official statistics. The thesis is structured into four main chapters. Chapter 1 establishes the context by exploring the global electric vehicle landscape, including market trends and development challenges. Chapter 2 analyses China's new energy vehicle industry, focusing on government policies, technological breakthroughs, market evolution, and increasing consumer willingness to adopt electric mobility. Chapter 3 provides a PESTLE analysis of the European macro-environment and investigates European consumers' perceptions of Chinese new energy vehicle brands, identifying key divergences in preferences between European and Chinese consumers. Chapter 4 presents an in-depth case study of BYD's international strategies in Europe, examining its operational localization and marketing mix (4Ps). While Europe's stringent vehicle emission reduction policies create a favourable environment for electric vehicle adoption, Chinese companies face a complex landscape marked by intense competition with established Western automakers, as well as evolving protectionist measures such as import tariffs. The case of BYD illustrates how a Chinese new energy vehicle enterprise can successfully establish itself in a mature, highly regulated, and intensely competitive overseas market through adaptive business strategies. Overall, the analysis provides a comprehensive understanding of the dynamics shaping the electric vehicle industry and China's growing influence in the ongoing transformation of the global automotive market.