Globalisation
Prepare a case study analysis of the international business/trade/ investment strategy of LUCID MOTORS. You need to critically evaluate relevant journal articles, web materials, and case studies in various areas of international business. You should make as much use as possible of the shared resources in the attached document.
You should explain what the organisation’s business strategy is, what value it creates, identify the major problems that exist, discuss alternative solutions, show how the current strategy can be supported by other business activities, and present the challenges it faces in the future. You may also benefit from the following review article and the references in the attached document
William R Kerr, Harnessing the Best of Globalization, The Fall 2016 issue, MIT Sloan Management Review, SMR 574, Volume 58 No.1 (Available through HBS publishing Reprint # 58125)LINK
Case Study Subject:
LUCID MOTORS Case Study outline:
• History of Lucid Motors: Lucid Motors was established in 2007, where it initially concentrated on producing electric automobile powertrains and batteries for other automotive producers. Peter Rawlinson, the company’s CEO, initially was the vice president at TESLA, while Derek Jenkins, the vice president, previously served as Mazda North America Operations’ Head of Design.
• LUCID Motors Investors: Lucid Motors has seen investments from JAFCO, Venrock, Mitsui, Tsing Capital and the Public Investment Fund (PIF) from Saudi Arabia. For instance, the PIF funding was valued at more than $1 billion. The investment that ended in 2019 was projected to fund Lucid Air model’s testing and engineering, the establishment of Lucid’s manufacturing branch in Arizona, and Lucid Air’s commercial production and worldwide strategy starting in North America.
• LUCID’s Global Operation: Lucid Group is planning to establish its first overseas factory in Saudi Arabia. The projected facility is estimated to produce 155,000 vehicles annually and serve the domestic market. The transition to battery-electric automotive is estimated to solve the worldwide energy crisis. In addition, the Saudi Arabia government believes the Manufacturing plant will create employment opportunities for its people. Thus, it fully supports Lucid Group.
