Xiahou Dun gave chase but Li Dian cautioned him, "I suspect that there's an ambush because the bandits (referring to Liu Bei's forces) are retreating for no reason.
As predicted by Li Dian, Liu Bei did indeed set an ambush, and Xiahou Dun fell into the trap and was defeated.
He described the battle plan to counter Xiahou Dun's army: Guan Yu and Zhang Fei would each lead 1,000 men to wait in ambush on the left and right sides of Bowang respectively, and burn the enemy's supplies when they see fires burning at the south; Guan Ping and Liu Feng were tasked with setting fire to Bowang Slope when the enemy approached; Zhao Yun would lead the vanguard to lure the enemy into the ambush; Liu Bei would lead the backup force.
When Xiahou Dun arrived at Bowang, he selected half of his troops to be the vanguard while the rest defended the supplies.
Xiahou Dun suddenly realised the danger he was in and tried to retreat but Liu Bei's forces lying in ambush had already set fire to his surroundings.
Strong winds helped to spread the fire as Xiahou Dun's troops panicked and stumbled on each other as they attempted to flee, while Zhao Yun turned around to attack the enemy.
Xiahou Lan was slain by Zhang Fei while Han Hao fled, along with Li Dian and Yu Jin.
After the victory, Guan Yu and Zhang Fei changed their attitudes towards Zhuge Liang and treated him with full respect.
The ancient battleground of Bowang is now designated a county-level heritage, where a stone monument commemorates the battle.
Broken halberds and ashes of grains were discovered there, and were archaeologically determined to be from the late Han dynasty.