Zap and Electric Vehicle

2314 WordsJun 16, 201110 Pages
1.The competition to develop and market electric vehicles has increased during the last year and is expected to continue to increase. The electric bicycle industry has four major manufacturers and a large group of small companies. The major manufacturers are Honda, Suzuki, Sanyo and Yamaha. They mainly sell products to Japan and Europe. The other group of manufacturers is much smaller in size and sales volume. These manufacturers have products they sell into the U.S., European and Asian markets. Porter's five-forces model is a powerful tool for systematically diagnosing the principal competitive pressures in a market and assessing how strong and important each one is. The electric vehicle industry is a definite for applying this technique.…show more content…
This also makes it harder for businesses in the EV industry to find ways to make buyers choose their business. Also, suppliers have strong bargaining power so industries have a difficult time trying to shop around for the best prices on the parts they need. However, Zap was an early mover and is a current market leader in the industry and with a good strategy can have a profitable future that new entries find they can't get. Because Zap was an early mover into the EV industry, they have positioned themselves very high in the marketplace. This is a result of several acquisitions made including a major acquisition of EV Systems, CA. They also acquired several patents which helped keep other companies from copying their designs and what they put into their designs. They also conducted most of their business overseas which helped to save Zap money, which allowed them to focus on their distribution methods. Also, they are environmental friendly which allows consumers to look at them when deciding between electric and gas powered vehicles. Their present strategy is to develop, acquire and commercialize electric vehicles and electric vehicle propulsion systems that have fundamental, practical and environmental advantages over available internal combustion modes of transportation, while also having the ability to be produced commercially on an economically competitive basis. Also, they have positioned themselves as the premier EV provider, have strong focus on

More about Zap and Electric Vehicle

Open Document