JIFEI (XAG) Technology: Automation and Digitalization in Agriculture

China’s agricultural sector is undergoing rapid transformation, but with growth come serious problems such as labor shortages, soil compacted by machinery, and chemicals (pesticides) that pollute the earth. In parallel, therefore, a major technological transformation is underway. The case follows JIFEI (XAG) Technology as it pivots from making consumer drones to agriculture drones, eventually becoming an agriculture tech company. It describes the automation and digitalization of the agriculture sector in China using JIFEI as an illustration of value innovation, penetration of the agricultural market, and a shift in core competences.

The case is suited to teach any (or all) of the following themes/concepts: 1. Planned vs. emergent strategy in a nascent industry 2. Lean start-up, building business, pivots in enterpreneurship 3. Value innovation and technology innovation 4. Core competence - from technology to organizational learning