On June 5, 2021, an eleven-story building developed by the BROAD Group was completed in Changsha, China, in just 28 hours and 45 minutes. This building, known as the Holon Building, had the advantages of a long lifespan, short construction period, strong earthquake and typhoon resistance, low cost, high comfort and energy savings, and global transportability. Because of its standardized installation and 100 per cent factory prefabrication of all modules, Holon was well suited to various types of buildings. However, as a newly emerging technology, the Holon Building needed time and great effort to gain wide acceptance. BROAD's chairman and chief executive officer, Zhang Yue, was wondering about the feasibility of Holon buildings’ global market expansion.
远大活楼：国际化战略 BROAD’s Holon Building: Internationalization Strategy (Simplified Chinese version)
Yaozhou Zheng, Su Liu, Paul W. Beamish
Product #:W33402
Supplier:Ivey
Discipline:General Management, International Business
Setting:China, 2022
Subjects:
Industries:
Your Price:$10.54
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Learning Objectives
- 阐明远大集团开发活楼建筑的动机及其竞争优势;
- 评估活楼建筑可能的国外市场进入模式的优势和劣势；
- 理解地理集中（即在某些国家内建立基地）和地理多样化（即覆盖全国）之间的权衡；
- 分析合作伙伴的收益和成本，以及远大对合作伙伴的最佳选择和契合度，然后设计一个解决方案，包括国际战略合作伙伴之间的角色、职责和回报；
- 讨论活楼建筑从创新走向主流的时机以及远大可能面临的潜在挑战。
This case is appropriate for undergraduate and graduate students majoring in strategy, international business, and operations management. After working through the case and assignment questions, students will be able to
- illustrate BROAD’s motives to develop Holon buildings and their competitive advantages;
- assess strengths and weaknesses of Holon buildings’ possible foreign market entry modes;
- develop an understanding of the trade-off between geographic concentration (i.e., fortressing within certain countries) and geographic diversification (i.e., large national coverage);
- analyze partners’ benefits and costs and BROAD’s best option for partnership and fit, then design a solution including the roles, duties, and payoffs between international strategic partners; and
- discuss the timing for Holon buildings to move from innovation to the mainstream and the potential challenges BROAD may face.