For those new to the outbound business, the term "going global" might be somewhat misleading. "Going global? Is it just foreign trade? What exactly does it mean?" This article will move beyond vague discussions and delve deeper into the path Chinese enterprises take when expanding overseas.
From the initial "going out" strategy to securing a vital position in the global market today, how have Chinese enterprises broken geographical limitations and established a global presence?
We will examine the globalization strategies and success stories of three prominent Chinese companies—BYD (比亚迪), United Imaging (联影医疗), and Trip.com (携程)—to analyze the true logic behind their expansion. Through their journeys, we will uncover how Chinese enterprises successfully navigate cross-border expansion and secure a foothold in the global market.
You might have thought that BYD was merely synonymous with new energy vehicles (NEVs), but its achievements in the energy storage sector are equally impressive.
"Trip.com’s global expansion resembles an action-packed blockbuster of acquisitions. Through a series of bold takeovers, the company swiftly captured the international market and emerged as one of the leading players in the global OTA (Online Travel Agency) sector."
"United Imaging's international strategy is straightforward—high-end positioning and technological breakthroughs. While it sounds simple, executing it is an adventurous journey."
BYD Energy Storage: The Versatile Automotive Giant Continues Its Global Expansion
If you think BYD (比亚迪) is solely a leader in the electric vehicle industry, you might be underestimating its comprehensive strength. Beyond playing a pivotal role in the global EV market, BYD has also successfully expanded its advanced energy storage technology to multiple international markets. This is not just the success of electric vehicles but also a cross-industry global expansion journey. So how exactly has BYD leveraged its energy storage systems to achieve globalization? Let's explore how this Chinese company is carving out a new frontier in the international market.
Debut of Energy Storage Systems Overseas: Technology Driving Industry Expansion
BYD’s energy storage story began as early as 2011. That year, while introducing electric vehicles to the U.S. market, BYD also launched its BatteryBox, a modular energy storage solution, on the global stage. Starting from the U.S., the company rapidly expanded into Europe and gradually penetrated worldwide markets. Today, BYD’s energy storage technology covers multiple key regions.
In 2011, BYD began exporting containerized energy storage products to the U.S., marking its official entry into the global energy transition landscape. Shortly afterward, the company swiftly established a foothold in major European markets such as Germany and France. At one point, BYD captured 24% of the German energy storage market, becoming one of the dominant players in the industry. Germany, known for its stringent technological requirements, recognizing and favoring BYD’s energy storage products strongly testifies to the company's advanced technology and reliability.
Based on 2024 data, BYD (比亚迪) ranked fourth in global energy storage battery shipments. So, what exactly has enabled BYD to gain worldwide recognition? The answer lies in technological innovation and outstanding product performance.
BYD’s energy storage systems go far beyond simple batteries. They integrate four-layer safety protection, six-level precise sensing, and a flexible installation design. Additionally, these systems are compatible with most inverters available on the market. No matter what brand of solar panels a user has already installed, BYD’s BatteryBox can seamlessly integrate without technical incompatibility issues.
One of BYD’s standout advantages is its superior safety and adaptability. For instance, its battery system features exceptional thermal control capabilities, ensuring stable operation in extreme temperatures ranging from -10°C to 50°C. Whether enduring the harsh winters of Germany or the scorching summers of Australia, BYD’s energy storage solutions provide reliable performance. This also addresses one of the biggest concerns for electric vehicle owners—winter range reduction for new energy vehicles.
Winning the Price War: BYD’s Competitive Edge in the Global Market
Beyond technological superiority, BYD has mastered the art of price competition, allowing it to break through the fierce global energy storage market. Unlike other high-end energy storage products that rely solely on premium pricing to attract consumers, BYD maintains high quality while actively engaging in price wars. This strategic pricing approach has significantly contributed to its global market penetration and growing customer base.
In 2023, BYD (比亚迪) leveraged its self-produced lithium battery advantage to secure multiple project bids in both domestic and international markets. With its relatively affordable pricing, BYD’s energy storage systems consistently outperformed competitors in project tenders. Many companies discovered that BYD's products not only boast advanced technology but also come at highly competitive prices, making the brand synonymous with cost-effectiveness.
BYD’s pricing advantage is not accidental—it stems from a well-planned cost reduction strategy across three key areas: procurement, technology, and large-scale production.
Technological Advancements: With ongoing research and patent development, BYD has optimized its battery manufacturing process to minimize production costs. Additionally, the company continues to expand its production capacity, allowing it to scale up production efficiently whenever market demand rises.
Economies of Scale: By relying on its own battery production lines, BYD can drive down costs further, keeping its pricing at a globally competitive level.
Due to aggressive pricing strategies and industry-leading technology, BYD’s energy storage systems are now present in 107 countries and regions, with global shipments exceeding 40 GWh. Europe and Australia have become BYD’s key strongholds, where its products have gained widespread recognition.
In Europe, BYD’s energy storage solutions have become a household name. The company not only continuously innovates to meet market demand but also collaborates closely with local installers to introduce customized, localized energy storage solutions. This ability to adapt flexibly to different market needs has been a crucial factor in BYD’s international success.
Overcoming Challenges: How BYD Stays Competitive Amid Global Headwinds
As global market competition intensifies, BYD’s energy storage business is also facing significant challenges. Particularly in the United States, with changing U.S.-China relations and increased scrutiny of Chinese enterprises, BYD’s market expansion has not been entirely smooth.
The U.S. government has tightened its scrutiny of Chinese businesses, and there have even been allegations that Chinese energy storage products might contain "spy equipment", further complicating BYD’s expansion efforts in the American market. However, despite these obstacles, BYD has successfully countered these concerns through its outstanding technological innovations and rigorous security measures, maintaining its competitive edge in the global market.
Furthermore, the rapid growth of the energy storage sector has led to heightened competition. As global demand for green energy surges, major energy companies worldwide are accelerating their presence in the energy storage industry. BYD is not only competing with established Western firms but also contending with other leading global players.
However, BYD has not backed down in the face of pressure. Instead, it has continuously optimized production processes, enhanced technological capabilities, and strengthened strategic partnerships with global energy enterprises, securing a firm position in the global energy storage market.
By improving product performance, lowering costs, and optimizing the supply chain, BYD has not only solidified its share in traditional markets but also aggressively expanded into emerging markets, further increasing its global influence.
Overall, despite numerous challenges, BYD continues to lead the global energy storage market through its strong technological expertise and agile market adaptability, contributing significantly to the world’s energy transition.
United Imaging: Rising to the Challenge, Entering the Global High-End Medical Equipment Market
When it comes to United Imaging (联影医疗), some people may not be very familiar with the name, but it is undoubtedly a leader in China’s high-end medical equipment industry. Having already secured a strong position in the domestic market, United Imaging is now setting its sights on the global stage, aiming to compete with international giants such as GE and Philips.
High-End Positioning, Technological Breakthroughs, Competing with Global Giants
United Imaging’s international expansion strategy is straightforward—high-end positioning and technological breakthroughs. While it may sound simple, execution is far from easy.
The company’s CT and MRI equipment, developed through proprietary research and innovation, has reached world-class standards in both quality and performance. Not only can it confidently compete with domestic brands in China, but it is also bold enough to challenge the industry giants that dominate the global medical equipment market.
To enhance the competitiveness of its products, United Imaging Healthcare (联影医疗) has not only pursued technological innovation in hardware but also made significant improvements in functionality and performance. In particular, breakthroughs in Total-Body PET/CT and Ultra-High-Field MRI have enabled United Imaging to overcome technological barriers set by international giants, securing a strong position in the global high-end medical equipment market.
Challenges: High Prices, Fierce Competition, and Complex Regulations
However, challenges also persist, especially in the highly competitive global market. The high-end positioning of United Imaging's products results in premium pricing, which poses a major hurdle in market expansion. This is especially evident in price-sensitive emerging markets, such as Africa and Southeast Asia, where medical institutions typically have limited budgets, making it difficult for United Imaging's expensive products to gain widespread acceptance.
Balancing Price and Market Demand: A Key Challenge for United Imaging's Global Expansion
Finding the right balance between pricing and market demand is a crucial challenge for United Imaging Healthcare (联影医疗) in its international expansion. Not all countries' healthcare systems can afford high-end medical equipment. To overcome this bottleneck, United Imaging must adjust its pricing strategy based on market-specific demand, affordability, and government subsidy policies, all while maintaining its premium positioning.
Refining the Global Supply Chain Across Southeast Asia, Latin America, and Europe
United Imaging's global expansion is not just about building production bases but also about optimizing its global supply chain.
Southeast Asia: The region's abundant manufacturing resources and lower labor costs provide ideal conditions for the efficient production of essential components.
Latin America: With its strategic geographic location, it serves as a critical logistics hub connecting North and South America, ensuring efficient and timely product delivery.
Europe: Boasting a strong industrial foundation and advanced craftsmanship, Europe plays a vital role in the assembly and fine-tuning of high-end products to ensure quality and reliability.
Localization Strategy in the Asia-Pacific Region
United Imaging is strengthening its localization strategy in the Asia-Pacific market by closely collaborating with local medical institutions to align technology innovation with regional healthcare demands.
By partnering with medical universities, teaching hospitals, and research institutions, United Imaging accelerates the development of cutting-edge medical technologies while gaining valuable market insights.
These insights help tailor product designs to different regional needs, such as early diagnosis equipment for aging populations and cost-effective diagnostic tools for emerging economies.
Deepening Expansion into the U.S. Market
United Imaging’s strategic focus on the U.S. market reflects its in-depth understanding of the complex American healthcare system.
Expanding production in the U.S. is not blind expansion but a well-calculated move that aligns with the stringent requirements of leading American research hospitals and medical institutions.
Local manufacturing allows for faster iteration and optimization of products to meet the high standards of the U.S. market while leveraging economies of scale to reduce costs and enhance pricing flexibility.
Talent acquisition is a critical factor in breaking into the U.S. market, as highly skilled professionals are essential for navigating regulatory challenges and driving technological innovation.
Risk Mitigation: Expanding Global Footprint
In addition to pricing and competition, United Imaging Healthcare faces complex regulatory challenges in different countries and regions. From R&D and clinical trials to product registration and approval, every stage involves compliance with local laws and standards. For example, obtaining FDA certification in the United States is an extremely complex and time-consuming process, requiring significant investment in human and material resources to ensure regulatory compliance.
Furthermore, operating internationally demands that United Imaging continuously adapt to different regional cultures and market needs. As a Chinese brand, one of the biggest challenges is overcoming the stereotype that Chinese products lack quality, and building trust among global customers. Through continuous technological innovation and brand development, United Imaging has gradually broken this barrier, successfully demonstrating to the world the strong innovative capabilities of Chinese medical device companies.
Trip.com’s Global Expansion: The Takeover Battle—Can a Travel Platform Dominate the World?
When people think of Trip.com (携程), they recognize it as one of China’s largest online travel platforms, but few realize just how dramatic its global expansion journey has been. Trip.com’s international growth resembles a blockbuster acquisition spree, where large-scale takeovers allowed it to rapidly penetrate international markets, establishing itself as one of the leading global OTA (Online Travel Agency) platforms. However, behind its success, Trip.com’s globalization has not been without its challenges, as international expansion is far from easy.
Global Acquisitions: Trip.com’s Accelerator for Expansion
Trip.com’s global expansion strategy can be summed up in one phrase: "buy, buy, buy." Since 2017, Trip.com has been aggressively acquiring international travel brands, including: Skyscanner (UK), MakeMyTrip (India), Travix (Netherlands). These acquisitions quickly expanded Trip.com’s global presence, particularly in Europe, India, and Southeast Asia, where it swiftly established itself as the preferred platform for international travelers.
However, acquisitions are just the first step—the real challenge lies in integrating these overseas brands, optimizing resources and teams, and addressing local market demands. Successfully adapting to diverse cultures and operational models remains an ongoing struggle for Trip.com.
Trip.com’s globalization has not been smooth sailing, especially in terms of service quality and customer experience. Cultural differences and varying market expectations have created significant hurdles.
Many overseas users have reported that Trip.com’s service quality differs greatly from its Chinese market standards, particularly when handling flight delays, refunds, and customer complaints. These issues have been widely circulated on social media and travel platforms, severely damaging Trip.com’s reputation in international markets.
Internal Management Issues: The Struggles of Cross-Cultural Operations. Trip.com also faces internal management challenges, particularly in: Managing multicultural teams, Ensuring smooth post-merger integration, Maintaining consistent service standards across different regions. Coordinating teams from different countries to work efficiently remains a major hurdle in Trip.com’s global expansion.
User Complaints and Brand Trust: Trip.com’s Reputation Crisis
While Trip.com thrives in the Chinese market, its brand reputation in Western markets, especially in Europe and North America, remains weak. Many international users complain about: Frequent price fluctuations, Hidden fees, Difficult refund policies. Some users have even blacklisted Trip.com, labeling it as an "untrustworthy" platform. Building global trust requires Trip.com to enhance service transparency, improve customer support, and better align with local consumer expectations.
Market share of major online travel agents (OTAs) in the hospitality industry in Europe by 2023
Brand awareness ranking of the most well-known travel portals in the United States by 2023
For example, many users have reported a lack of transparent pricing when booking flights or hotels through Trip.com. Additionally, after canceling a reservation, refunds are often delayed. Some users have also complained about slow response times in customer service, particularly when encountering unexpected issues abroad, where Trip.com’s support is often inadequate. These negative experiences have severely damaged Trip.com’s credibility in overseas markets.
Moreover, Trip.com’s discriminatory pricing practices ("price gouging for loyal customers") have not been effectively curbed overseas. Many users have found that flights and hotels booked through Trip.com are often more expensive than booking directly through other platforms. This issue is particularly noticeable for returning customers, where prices fluctuate even more aggressively. Such pricing discrimination has led to widespread dissatisfaction among international consumers.
Additionally, Trip.com’s controversial practice of inflating ticket prices and inducing urgency in purchases has also been publicly criticized by Chinese state media. These tactics have been classified as purely manipulative marketing strategies, designed to mislead customers rather than provide genuine value.
CCTV News Criticizes OTA Platforms for Inducing Ticket Rush
Source: CCTV News
In addition, Trip.com’s business model has encountered significant challenges overseas. Its traditional approach—“using flight bookings to acquire new users and monetizing through hotel reservations”—has been effective in the Chinese market. However, in foreign markets, especially in regions with a higher degree of hotel chain standardization, Trip.com faces increasing competitive pressure.
As hotel chain expansion continues, many large hotel groups are establishing their own membership systems, reducing their reliance on OTA platforms. For example, hotel chains such as Huazhu and Jin Jiang have not only been expanding their franchise networks but also strengthening direct sales relationships with customers, gradually bypassing OTA platforms like Trip.com. This poses a significant challenge to Trip.com’s monetization strategy, requiring continuous service optimization and an enhanced user experience to maintain its competitive edge.
How Can Trip.com Overcome These Challenges?
Despite facing multiple challenges, Trip.com’s global expansion has not stalled. In 2024, the company continues to perform strongly in the global travel market, particularly in outbound and inbound tourism, with significant business growth. To overcome bottlenecks in overseas markets, Trip.com must undertake deep optimizations in service quality, customer experience, and brand development.
First, Trip.com must address the issue of building global user trust. By improving communication with international customers, implementing transparent pricing policies, and streamlining service processes, the company can reduce consumer dissatisfaction and enhance its brand image.
Second, Trip.com needs to strengthen partnerships with local travel agencies and suppliers, optimize its global supply chain, and improve service quality to ensure that every customer enjoys a high-quality travel experience.
Finally, Trip.com should further advance its localization strategy, adjusting products and services to align with the specific demands of different countries and regions. By truly adapting to local needs, the company can expand its market share in the global travel industry.
Conclusion: Each Company’s Global Expansion Path Has Its Own Distinct Characteristics
Perhaps you once thought of BYD solely as a new energy vehicle (NEV) manufacturer, but in reality, its achievements in energy storage are just as remarkable. Through continuous innovation, precise market positioning, and a highly competitive pricing strategy, BYD is playing an increasingly critical role in the global energy transition. So, the next time you see a BYD electric vehicle on the road, remember that its energy storage systems may also be quietly powering homes and businesses worldwide, contributing to the shift towards green energy.
Meanwhile, United Imaging Healthcare, despite various challenges in its globalization process, continues to expand its global footprint. From entering the European and American markets to strengthening localization efforts in Southeast Asia and Latin America, the company is accelerating its global layout. In particular, United Imaging has made significant efforts in localizing production capacity and service networks. By implementing precise pricing strategies, strengthening after-sales services, and maintaining continuous R&D collaboration, the company has not only increased its global market share but has also positioned itself as a leader in the high-end medical equipment industry.
Trip.com has also kept up its globalization efforts. Despite facing challenges, the company continues to shine in the global travel market in 2024, particularly in outbound and inbound tourism. To overcome bottlenecks in overseas markets, Trip.com must continue deep optimizations in service quality, customer experience, and brand development, ensuring it retains a strong presence in the global travel industry.
BYD, United Imaging, and Trip.com—though operating in different industries, share many similarities in their global expansion strategies. Whether it's BYD’s electric vehicles and energy storage systems, United Imaging’s high-end medical equipment, or Trip.com’s international acquisitions, these companies are forging ahead in the wave of globalization, showcasing the immense potential of Chinese enterprises in the global market.
Looking ahead, these three companies will continue to demonstrate the innovation and vitality of Chinese businesses on the global stage. As the global market becomes increasingly interconnected, the ability to tackle intense international competition and address localization challenges will be key issues for their next phase of development.