Innovation At BMW: Can Green Powertrain Technology Be Introduced By 2020? Harvard Case Solution & Analysis

IMD-2-0145 © 2009
Steger, Ulrich; Tywuschik, Simon

In this instance, the writers describe the corporate development of BMW as one of the very most successful brands in the automotive industry and take a look at the corporation’s international R&D network in more detail. First corporate consideration to environmentalism is analyzed from 1960 onwards and the main milestones to explain the company’s efforts in developing eco-friendly powertrain technology are described. Next, the primary technological options in the area of alternative powertrains are presented, and BMW’s technical and strategic attempts are clarified.

Finally, the case confirms why it's been so hard for the company to introduce eco-friendly powertrain technology on a large scale by presenting their restriction and the technical choices. Learning objectives: To understand the drivers for the development of “ automotive powertrain technology that is green”; To create a framework for analysis of green energy generation; by taking into account interdependencies, To define a strategic theory for green innovation by 2020.

Subjects: Corporate environmentalism; Green innovation; Innovation management; Strategy; Automotive industry; Alternative powertrain technology; Longitudinal corporate development
Settings: Germany; Worldwide; Automotive Industry; > € 50 billion;1960 – 2008

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