Yushan Bicycles: Learning to Ride Abroad

Case Solution

Christopher A. Bartlett, Paul S. Myers
HBS Brief Cases ()

Yushan Bicycles, one of Taiwan’s leading bicycle manufacturers, is pursuing an international expansion strategy by increasing demand for its range of traditional and electric bicycles and shifting its product mix towards higher-margin models sold through specialized bicycle stores. . However, the manager of his new Australian subsidiary is taking a different approach, focusing on selling cheaper models through large sporting goods retailers. The manager’s strategy thus far has led to disappointing financial results, and he and company executives disagree on the cause and what to do next. The Yushan case was developed especially for international management and international business courses, but it can also be used in competitive strategy, corporate strategy, and general management programs. It is particularly useful for analyzing situations in which questions of strategy, organization and management converge.

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