Chery Automobile: Vying for a Piece of the American Pie (A)

by: John Branch

Publication Date: August 28, 2014
Length: 16 pages
Product ID#: 1-428-582

Core Disciplines: International Business, Strategy & Management

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Teaching Note

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The Chery Automobile case focuses on the Chinese company, which, in 2007, was the fourth largest automotive company in China. Chery was growing at enormous speed, and was already exporting to over 50 countries, primarily in the Middle East and Eastern Europe. Chery was determined to enter the coveted U.S. and Western European markets, and in 2007 it struck a strategic alliance with the struggling U.S.-based Chrysler Company. The case explores the barriers that Chery was facing trying to enter these markets and asks students to evaluate if the strategic alliance was the best strategy for it to eventually establish itself independently in the mature and discerning U.S. and European markets.

Teaching Objectives

After reading and discussing the material, students should:

  • Describe appropriate business terms and principles
  • Apply critical concepts to define a solution to the case,
  • Successfully articulate data and information in support of the solution proposed,
  • Critically analyze and discuss other responses and solutions to the case,
  • Draw lessons from the case analysis,
  • Generalize the case's teachings to other business challenges and decisions in organizations other than the one analyzed in this case study,
  • Demonstrate leadership and scholarship in analysis.