Analysis of the Transformation Path and Effectiveness of Build Your Dream Company’s Green Development Strategy Driven by Environmental Policies

Abstract

In the context of global environmental crises and the shift of environmental policies (e.g., China‘s dual carbon goals, United States (U.S.) green new deal) to mandatory constraint-and-incentive frameworks, this study focuses on Build Your Dream (BYD), a global leader in the new energy sector. The study methodically elucidates the policy contexts by methodically categorizing environmental policy trends in China, the U.S., and the United Kingdom (UK). The subsequent analysis examines the direct (e.g., BYD‘s 1.41b yuan three wastes investment, 100% compliance in 2024) and indirect (e.g., 4.27m 2024 New Energy Vehicle (NEV) sales, +41% Year-on-Year Growth Rate (YoY)) driving forces on BYD. The report also examines BYD‘s strategic initiatives in support of environmental sustainability, including the discontinuation of fuel cell vehicle production in 2022 and the transition to renewable energy sources for its manufacturing operations. A subsequent effectiveness analysis demonstrated positive outcomes in terms of both the economy and the environment. The analysis revealed a 2024 gross/net profit margin of 19%/5.2%, indicating financial prosperity, and a 2.64-million-ton reduction in carbon dioxide (CO₂) emissions due to the adoption of NEVs. The study proffers recommendations for the subsequent transformation of BYD, offering insights into the policy-driven enterprise transformation dual benefits logic.