Vestas Wind Systems A/S (Vestas), a Danish company, had deep roots in the wind technology sector and had positioned itself as a solutions provider. While it was a global leader, it lacked significant market share in China, even though it had been carrying out manufacturing there for decades. China presented unique challenges, as it was dominated by local players and had its own rules for doing business. However, China also presented significant opportunities for a company like Vestas given its enormous market and the potential for cost savings in Vestas’s supply chain. Given these conditions, Vestas’s senior management had to decide how to develop the company’s international strategy for the next ten years, particularly with respect to China.
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