Business Model Comparison between Tesla and BYD: From Supply Chain Integration to Core Technology Competition
- DOI
- 10.2991/978-94-6463-874-5_74How to use a DOI?
- Keywords
- Business Model; Tesla and BYD; Supply Chain Integration; Core Technology Competition
- Abstract
The electric vehicle industry has grown rapidly in recent years, becoming a major area of innovation and investment. Within this sector, Tesla and BYD have emerged as two leading companies, each adopting different business models. This paper compares their strategies in two main areas: supply chain integration and core technology development. Using financial reports, industry data, and business model analysis tools, the study examines how each company manages costs, promotes innovation, and positions itself in the market. Tesla focuses on software innovation and premium branding, achieving higher profit margins through features like autonomous driving. In contrast, BYD relies on deep vertical integration, producing batteries and chips in-house to keep costs low and expand production quickly. The results show that both models offer advantages depending on company goals and market conditions. This comparison helps investors and policymakers understand the trade-offs between technological leadership and cost efficiency in the EV industry, and highlights different paths companies can take to remain competitive.
- Copyright
- © 2025 The Author(s)
- Open Access
- Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.
Cite this article
TY - CONF AU - Xinran Li PY - 2025 DA - 2025/11/03 TI - Business Model Comparison between Tesla and BYD: From Supply Chain Integration to Core Technology Competition BT - Proceedings of the 2025 International Conference on Financial Innovation and Marketing Management (FIMM 2025) PB - Atlantis Press SP - 642 EP - 650 SN - 2352-5428 UR - https://doi.org/10.2991/978-94-6463-874-5_74 DO - 10.2991/978-94-6463-874-5_74 ID - Li2025 ER -