Abstract
Fuel Cell Vehicles (FCVs) are a disruptive innovation and are currently looking towards niche market entry. However, commercialisation has been unsuccessful thus far and there is a limited amount of literature that can guide their market entry. In this paper a historical case study is undertaken which looks at Tesla Motors high-end encroachment market entry strategy. FCVs have been compared to Tesla vehicles due to their similarities; both are disruptive innovations, both are high cost and both are zero emission vehicles. Therefore this paper looks at what can be learned form Tesla Motors successful market entry strategy and proposes a market entry strategy for FCVs. It was found that FCVs need to enact a paradigm shift from their current market entry strategy to one of high-end encroachment. When this has been achieved FCVs will have greater potential for market penetration.
Highlights
[1] a market entry strategy for Fuel Cells Vehicles (FCVs) was described based on successful historic examples of disruptive innovations entering markets
Steinberger-Wilckens used similar historical case study methods when looking at disruptive technological market entry [50], this paper looked at mobile phones, small scale photovoltaic's, green electricity and double glazing
The automotive sector is mostly dominated by large automotive OEMs producing ICEVs, it is a market with deeply entrenched incumbents
Summary
[1] a market entry strategy for Fuel Cells Vehicles (FCVs) was described based on successful historic examples of disruptive innovations entering markets. This paper presents the case of how Tesla Motors achieved high-end encroachment market entry with a disruptive technology in more detail This historical case study is important for FCVs because it shows that high value disruptive technologies can enter markets with deeply entrenched incumbent technologies within the automotive sector. Tesla Motors was chosen for this study, as it was the closest case that the authors were able to identify Both FCVs and Tesla BEVs are considered to be an innovation, both are zero emission, both are fully or partly reliant upon the development of infrastructure and both exceed the cost of incumbent ICEVs. Table 1 shows a comparison between FCVs and Tesla along with other vehicles that were considered for this study. Its Model S BEV is a range leader at 265-314 miles, a Pack Cost leader by using already mass produced cells from Panasonic, and a Charge Rate leader achieving 50% charge in 30 min [11]
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
