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Emerging development of NEV industry
1. Introduction
This essay talks about the new energy vehicle industry in the dominant market environment. It deals with four questions. Firstly, it depicts the new energy vehicle industry’s dominant economic characteristics. Secondly, it answers the question of what are the driving forces of industry’s change, and how these driving forces will affect the industry profitability. Thirdly, it handles with the key factors for competitive success. This passage will give you a general idea about the industry’s dominant marketing environment and the situation of its development.
2. What are the industry’s dominant economic characteristics?
2.1 market size and growth rate
When it comes to the market size and growth rate of new energy vehicle’s industry, we must talk something about the development of new energy vehicle’s production in China in recent years. New energy vehicles roughly including three categories: blade electric vehicles, hybrid electric vehicles and fuel cell electric vehicles. (Liu Ruiqi, 2014) At present, Chinese new energy vehicles industry begins to take shape. In 2002, the number of our new energy vehicles’ production was 12552, including 11241 blade electric vehicles and 1311 hybrid electric vehicles. However, the sales is still relatively small. Among the companies of national new energy vehicles, only Chery, JAC and BYD’s sales reached 1 thousand in 2012. (Tang, 2015) This is because our government didn’t realize the importance of developing the industry before, and the fact of companies’ under-investment in the NEV industry. The government has learnt that if we can’t protect out environment well, it will be impossible to achieve a sustainable economic success. Therefore, the industry is in a rapid growth and takeoff now thanks to the support of our government’s policy.
2.2 demand-supply conditions
The development of NEV can contribute to protecting the environment and promoting economic
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