Case | HBS Case Collection | February 2011 (Revised July 2013)

A123 Systems: Power. Safety. Life.

by Richard H.K. Vietor

Abstract

A123 Systems, the largest manufacturer of lithium ion batteries in North America, is producing and selling batteries for electric vehicles in China and electric buses in Europe and America. It just opened two plants in Michigan, partially funded by a grant from America's stimulus fund. At the same time, the company is expanding its business in large, grid stabilization systems, in California, Chile and New York. The simultaneous pressures of these two businesses, plus dozens of potential deals pending, are testing the company's management skills, cash reserves and abilities to execute.

Keywords: Business or Company Management; Diversification; Machinery and Machining; Renewable Energy; Transportation; Management Skills; Corporate Finance; Auto Industry; Battery Industry;

Citation:

Vietor, Richard H.K. "A123 Systems: Power. Safety. Life." Harvard Business School Case 711-066, February 2011. (Revised July 2013.)