- Title
- Traditional Dealerships’ Operational Capacity to Sell Electric Vehicles
- Creator
- Knoetze, Alicia Jo-mari
- Subject
- Electric vehicle industry Automobile industry and trade
- Date Issued
- 2020
- Date
- 2020
- Type
- Thesis
- Type
- Masters
- Type
- MBA
- Identifier
- http://hdl.handle.net/10948/48686
- Identifier
- vital:41059
- Description
- The global automotive industry faces an emerging turning point where an unceasing dependence on costly fossil fuels and a growing concern over global warming is driving the industry to form new possibilities. A major challenge for decision makers is to assure that the consumer market is informed about both the advantages and disadvantageous of electric vehicle technology. A significant amount of research has been done on both the operational ability of electric vehicles and consumer resistance and preferences towards new technology and the marketing of electric vehicles. Given the retail relationship between key industry stakeholders such as the Original Equipment Manufacturers, franchised dealership network and potential electric vehicle consumers, the transition towards new electric vehicle technology represents an important strategic realignment for dealerships in order to sell electric vehicles along with traditional internal combustion engine vehicles and questions their operational capacity to do so successfully. The primary data was collected from a sample of forty respondents by means of an online questionnaire. The questionnaire was designed from literature and using similar extracts from other electric vehicle consumer resistance studies questionnaires. An email containing a Universal Resource Link (URL) to the questionnaire was sent and by means of snowball sampling, a representative sample of forty-eight respondents participated in the study who fully completed all the sections of the questionnaire. Interviews were conducted with Senior Management of local dealerships in the Port Elizabeth area. The interviews were executed in the same method as a ‘walk-in’ potential customer. Participation therefore was based on the willingness, readiness and availability of management. Three dealerships who already sell electric vehicles as well as two dealership who still only sell traditional internal combustion engine vehicles participated in the interviews. In addition, the National Automobile Dealers Association (NADA) commented on the strategic realignment of the South African industry as a whole. The results indicated that the majority of respondents believed that electric vehicles were a suitable alternative to the traditional internal combustion engine vehicle and were willing to personally contribute to improved sustainable mobility. Uncertainty remained with consumers and there was unwillingness to purchase and electric vehicle within the next five years. Electric vehicles were also believed to perform better but there was uncertainty about the return that would be achieved from investment in an electric vehicle despite the reduction in their carbon footprint and the associated image boost with family and colleagues. Furthermore, there appeared to be an alignment amongst the interviewees that South Africa does not face and immediate threat in terms of electric vehicles as the anticipated tipping point is envisaged to be in the region of 2030 onwards, however NADA as a professional industry body still warns that this is not a set point in time and that market forces could change the outlook and adaption dramatically.
- Format
- v, 78 leaves
- Format
- Publisher
- Nelson Mandela Metropolitan University
- Publisher
- Faculty of Business and Economic Sciences
- Language
- English
- Rights
- Nelson Mandela Metropolitan University
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| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | Knoetze, AJ 208106575 Treatise April 2020 (1).pdf | 1 MB | Adobe Acrobat PDF | View Details Download |