Chery Automobile-- A resource based view analysis of Chery’s possibility of entering the US market

Barbara Heil, Wu Li Yuan, Roxana Sulti, Lin Xia & Chen Xue

Studenteropgave: Semesterprojekt


Abstract During this project, we first analyzed the possibility of Chery, the Chinese automaker, to enter the US market. We started from the premise that the negative impact of the made in China label was the biggest problem for Chery at the moment, however, in doing our analysis we provided a detailed description of the US market, Chery’s current situation, as well as Chery’s resources and capabilities. In doing this we found that Chery has more serious problems than just a negative reputation. In order to structure our report, as well as provide scientific validity, we outlined a theoretical framework, consisting of classic organizational economics theories (Resource based view analysis), as well as marketing theories (PESTEL, entry mode strategy). We used our descriptions and the theoretical framework to analyze Chery’s possibility of entering the US market in the current context of the financial crisis. To facilitate the analysis, we created a ranking of Chery’s resources and capabilities, based on the RBV analysis of Chery and PESTEL analysis of the US market. In addition to analyzing Chery’s possibility of entering the US market, we had a second aim of finding out the best way that Chery enter, we did this by outlining and analyzing 4 different entry mode strategies. Based on our analysis, we concluded that it would be unlikely for Chery to successfully enter into the US market without improving many of its resources and capabilities. Therefore we concluded that Chery’s most likely mode of entry would be in the form of a joint venture.

UddannelserVirksomhedsledelse, (Bachelor/kandidatuddannelse) Bachelor el. kandidat
Udgivelsesdato15 jan. 2009
VejledereLuise Li Langergaard


  • negative reputation of the made in China label
  • the Chinese automaker-Chery
  • joint venture
  • marketing theories (PESTEL, entry mode strategy)
  • classic organizational economics theories
  • Chery’s resources and capabilities