BU481 Lecture Notes - Lecture 4: Zero Emission, Electric Vehicle, Exchange Rate

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*dealers have to sell whatever manufacturers send them dealers do whatever manufacturers want them to do if dealers don"t do what manufacturers want them to do, then they might take away power. Dealership lobby: ). e. couldn"t sell online in some states. Lithium ion (i. e. if tesla can get batteries cheaper) Exchange rate (tesla is made in america) Consumers must be comfortable that the vehicle won"t explode. Being able to go a long range. Getting gas vs. going to charging station to charge car (more time consuming) Consumers" perceptions (cid:523)on electric cars(cid:524) consumer behaviour. Market based on speed and comfort of the car (cid:523)not on the fact that it"s green(cid:524) Pegged $ to bmw (comparison with other high end brands like bmw and audi) Suppliers manufacturers dealers service resellers. Right place at the right time in a time when the automotive industry was bad, Tesla was able to obtain a plant at a very low price.

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