Wang Chuanfu, the founder and CEO of BYD (Build Your Dreams), is a towering figure in the global automotive industry. A chemist by training and a relentless innovator by nature, he transformed a small battery manufacturer into the world's leading producer of new energy vehicles. His journey from humble beginnings as an orphan in rural China to a titan of technology is a testament to his unwavering vision, fierce work ethic, and profound understanding of technology and manufacturing.[1][2][3]
On Vision and Long-Term Strategy
Learnings: Wang Chuanfu's success is rooted in his early and steadfast belief in a sustainable future powered by electric vehicles. While competitors focused on gasoline cars, he invested heavily in battery technology and electric mobility, playing the long game even when it was unpopular with investors.[3][4] This foresight allowed BYD to build a commanding lead in the new energy vehicle sector. His "four green dreams" — solar power generation, energy storage, electrified transportation, and electric monorails — illustrate a holistic vision for a sustainable urban ecosystem.[5]
Quotes:
- "The bottleneck for electric vehicles is the battery." [This early insight guided BYD's strategic direction from its inception.]
- "EVs are not only the future, they are the present."[6]
- "If a vehicle model breaks down, it may only cost several hundred million yuan, but if the strategic direction goes wrong, it may take three to five years, and time cannot be bought with money.”[7]
- "Our growth is driven by our ability to stay ahead of the curve through relentless innovation and a commitment to excellence."[6]
- "Mastering core technologies, formulating precise strategies, and possessing rapid decision-making capabilities are the three magic weapons for BYD's development."[8]
- "As an entrepreneur, I think I have to consider both aspects. One part is the creation of a new business mode or the revelation of a new business competition... The other is that it's for social responsibility."[9]
- "My hopes are that in the future, cities become real hubs of sustainability, where policies and practices work seamlessly to provide a balanced coexistence between societies and their environment."[5]
- "China's new energy vehicles are ahead of the rest of the world by about 3-5 years, whether in terms of products, technology or industry chain."
- "The possibilities in the automobile industry brought by intelligent electric vehicles are beyond imagination."[10]
- "We strive to help people realize their longing for a better life through technical innovation."
On Technology and Innovation
Learnings: With a master's degree in materials science, Wang is an engineer at heart.[2] His leadership is characterized by a deep, hands-on involvement in research and development.[2] He champions a culture of relentless innovation, famously stating that one must disrupt their own technology before others do. This is exemplified by the development of the groundbreaking Blade Battery, a safer and more efficient lithium iron phosphate (LFP) battery that has become a cornerstone of BYD's success.[1] BYD's heavy investment in R&D, often exceeding its net profits, underscores this commitment.[11]
Quotes:
- "[BYD] has mastered the core technologies of the whole industrial chain of new energy vehicles, such as batteries, motors and electronic controls.”[7]
- "To have the innovative consciousness of being the first, we need to constantly explore unknown fields and move forward firmly."[7]
- "One must disrupt your own technology before others do it for you."[12]
- "In研发上敢砸钱，这不是烧钱，而是在存钱。(Daring to spend money on R&D is not burning money, but saving it.)"[13]
- "Technology serves strategy, and secondly, it serves products. Technology can make enterprise strategy more precise, and it can also make enterprises look higher, farther and deeper."[7]
- "We have 110,000 engineers, which is BYD's biggest asset."
- "Constant innovation is imperative for EV leadership."[14]
- "Without safety, the full popularization of new energy vehicles will be impossible."[8]
- "The battery is up to 40% of an EV's cost. Our in-house control over this is our competitive edge."
- "[Intelligent transformation of automobiles] can accelerate the construction of smart cities."[10]
On Vertical Integration and Manufacturing
Learnings: A key pillar of BYD's strategy is its extensive vertical integration. From mining raw materials and manufacturing batteries to producing semiconductors and assembling vehicles, BYD controls a significant portion of its supply chain.[6][15] This approach, born out of necessity in the company's early days, has provided a significant competitive advantage by reducing costs, ensuring supply stability, and enabling rapid innovation.
Quotes:
- "We can make every part of the car ourselves, except for the tires and the glass." (A widely attributed quote summarizing BYD's vertical integration)
- "Vertical integration is giving BYD long-term staying power while smaller rivals that aren't yet vertically integrated will be driven out."[7]
- "[Our strategy was to] emulate successful products and reduce costs."[3]
- "A strong manufacturing industry is the foundation of the country's industrial development; a strong manufacturing industry can create a large number of jobs; a strong manufacturing industry also makes the national industry safer.”[8]
- "We are not concerned about [the reputation of 'Made in China']... our products have never been recalled unlike many of our competitors."[9]
- "The first resource is the people... The other one is the market resource. The market in China is massive. As an entrepreneur if we can fully use these two resources the growth of a company will not be a problem."[16]
- "We will scale this business as well as continue to drive research and development of battery science, making pure electric vehicles more competitive."[17]
- "We are a company that values technology and we have an engineering-oriented culture."
- "BYD adheres to the orientation of solving social problems, driven by technological innovation."[8]
- "In our early days, we couldn't afford automated production lines from Japan... so we broke down the automated processes into manual steps... our production line cost was only one-fifteenth of the Japanese companies."[13]
On Leadership, Work Ethic, and Competition
Learnings: Wang Chuanfu is known for his modest lifestyle and intense, hands-on leadership.[3] He is often described as a "workaholic" who leads by example.[14] His advice to "do more and talk less" reflects his pragmatic and results-oriented approach.[7] He views competition as a natural and essential part of market economics that ultimately drives progress. While he doesn't see Tesla as a direct competitor due to different market segments, he acknowledges them as a partner in advancing the global transition to EVs.[15]
Quotes:
- "Do more and talk less."[7]
- "Perseverance is an important part of entrepreneurship.”[7]
- "'卷'是一种竞争，是市场经济的本质。(‘Involution’ or intense internal competition is a form of competition; it is the essence of a market economy.)"[18]
- "At present, the speed of market changes and technology iterations is getting faster and faster, and the response speed of enterprises to the market must keep up with the changes of the times. If enterprises make slow decisions, it will be difficult to succeed."[12]
- "I'm satisfied with what I've done in the past 14 years. Our company has grown at about 70% on average."[16]
- "The fact that foreign politicians are afraid of China's new energy vehicle development shows that we are doing well."
- "We have to look at this from different angles."[9]
- "BYD doesn't really see Tesla as a competitor. The market is huge, leaving a ton of room for growth throughout the market."[15]
- "An entrepreneur exists to solve social problems."[19]
- "Without risk, I was certain I could succeed."[13]
On Resilience and Building Dreams
Learnings: From being orphaned as a teenager to weathering skepticism from investors and navigating intense market competition, Wang Chuanfu's journey has been one of remarkable resilience.[1][2] The very name of his company, "Build Your Dreams," reflects his belief in the power of ambition and perseverance. He has faced and overcome significant challenges, including a period of sharply declining profits, all while continuing to invest heavily in his long-term vision.[11]
Quotes:
- "BYD stands for Build Your Dreams."[16]
- "When we entered the auto industry, all kinds of doubts and ridicule came our way... on the first day... BYD's stock price fell by 20%. The capital market threw a basin of cold water on us."[11]
- "At that time, no one believed that new energy vehicles had a future... but we did not give up and firmly walked this road that no one had walked before."[11]
- "Why can't we do it in the auto industry when Chinese people have amazed the world in many other industries?"[11]
- "We were once afraid that we would not see the spring."[20]
- "If it were not for Shenzhen, I would not have had the idea of starting a business, and there would be no BYD today."[13]
- "As an entrepreneur... if you can fully utilize [people and market] resources, the growth of a company will not be a problem."[16]
- "I think the price for electric cars will be at the same level as that of gas-powered cars within 10 years." (Spoken in a 2009 interview)[9]
- "[We] provide effective and grounded solutions for the sustainable development of human society."[8]
- "It is an emotional need for the 1.4 billion Chinese people to see a Chinese brand becoming global."
Sources
