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An analysis on the dyadic network relationship of BMW AG and Brilliance Auto Ltd - Research Paper Example

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Network Maps, boundaries and horizons: 3.1 Network before 2003: Before 2003, brilliance automotive ltd was incorporated in Bermuda on 9th June, 1992 as an exempted company with limited liability. The company’s American Depositary Shares and shares are traded on The New York Stock Exchange Inc…
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An analysis on the dyadic network relationship of BMW AG and Brilliance Auto Ltd

Download file to see previous pages... In August 2002 the Jinbei Automotive Company, a subsidiary of Brilliance China Auto, launched their first car; the ‘Zhonghua’ (China). 3.2 Network after 2003: The dyadic network of BMW and Brilliance in 2003 has made a big impact in the automobile industry. BMW launched its first car in 2003 and has made the 50,000th in 2007 and has now launching the new model in 2010 as the 10,000th car. After 2003, BNW and Brilliance has been mounting amazingly at high momentum, carrying out the highest manufacture within 2 years. It had observed, joined and occupied a part in the progress of Chinese automobile industry. They are prepared to hail a dazzling opportunities by this combined set-up and it has fruitfully included into the Chinese culture and dynamically thinking business shared tasks. This network has found its boundaries and kept an eye on the opponents. These has manufactured the quality products which gave the customer maximum satisfaction. It has set the target to develop into a superior business dweller. They have kept the horizons as learning, civilization, client commitment and business authority in the corporate world. These horizons clearly show the liability of BMW towards the Chinese humanity. These also prove the assurance and obligation to the long-standing improvements in China. There has been lot of risks in this network relationship. There always had a pressure to meet the client demands with the new automobiles over ever more smaller product growth phase and they have to reach the market to the further sectors with the pioneering new products as like Sedan which will decides the upcoming success. Also the risk comprises the capability of dyadic network to get sufficient funding as and when required at competitive rates and profitably expand, produce and trade the innovative products in China. A Concluding Analysis of the Evolution of the Dyadic Network BMW / Brilliance: BMW decided to enter into a joint venture with Shenyang XingYuanDong in the year 2003, XingYuanDong is a 100% subsidiary of Brilliance China Automotive Holdings Ltd. (Bermuda), a publicly listed Chinese car manufacturer founded in 1993. BMW enter into this joint venture to produce and locally service BMW branded cars as well as gaining wider network legitimacy within the Chinese market. “The first BMW Brilliance factory was built in 2004. It is running at full capacity as the luxury market continues to boom” (Tianyang, 2011). BMW is increasing their sales growth in China at more than nine times the pace of the wider industry, defying the nation’s attempts to unclog its roads and discourage “lavish lifestyles”. Brilliance China is one of the leading automotive manufacturers in China through its subsidiaries, associated companies and joint ventures in PRC. The joint venture with BMW which was established in the year 2003 was to produce BMW 3-series and 5 series sedans in China. Brilliance auto has many strategic partners and alliances. They have established strategic and working relationships with global automotive manufacturers. In the production of minibuses their partner is Toyota, and in the case of automotive components their partners are Mitsubishi motors, FEV, TRW automotive, and Johnson Controls. Brilliance has a wide range of 15 subsidiaries in China and announced ...Download file to see next pagesRead More
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