DeaconSummer11270
CASE STUDY    Who wants to drive an electric car? To cater for…

CASE STUDY 

 

Who wants to drive an electric car?
To cater for the expansion of their business internationally during the next two years, Tupps
Motors now has an international arm known as Tupps Motors International (TMI). The
company conducted a thorough market analysis for each country and has successful sold the
top five brands of cars in those countries. While TMI was having phenomenal success,
considering the environment and the effect of CO2 emissions on global warming, the co-CEOs,
Brian and Ben Tupps, see opportunities to diversify, expand and grow their business in a way
that might also benefit future generations. Global political situations have also pushed fuel
prices higher than ever. Supported by an increasing demand for electric cars, Brian and Ben
have decided that electric cars are the way for the future.
Expansion into the Asia-Pacific electric car market …
Brands such as BYD Auto, Tesla, General Motors Wuling, Tata Nexun EV and Toyota Prius
Plug-In are some of the popular electric cars in the Asia-Pacific market. TMI has been given
an option for exclusive distribution and retail rights for these cars in the Asia-Pacific, but TMI
needs to decide whether this is viable, and which Asia-Pacific countries should be selected to
start their electric car business.
Brian and Ben would like their management teams in six Asia-Pacific countries (China, South
Korea, Japan, Australia, New Zealand and India) to explore the electric car markets and recommend the top five brands of electric cars to be considered when entering the electric car
market.
In addition to the individual country market analysis, Brian and Ben would like the individual
country management teams to also consider the pricing of the cars. They must be sure that
whichever nations are chosen, customers can afford the car, especially at a time of global
economic insecurity. Brian and Ben know this is an incredible opportunity, but they want to
ensure any decisions about diversification or expansion are thoroughly researched in
advance

 

QUESTIONS: 

 

Research Objectives
 

In addition, Brian and Ben hired you to provide a report to help them decide if distributing and
selling the top five electric car models in the Asia-Pacific would be a good idea for their
business. They have set out some key information that must be included in the report.
1) Firstly, Brian and Ben require you to outline your decision-making process plan underlying
your recommendation for their international expansion into the electric car market
(Consideration should be given to the type of decision adopted and its justification, potential
limitations of the decision-making process, and considerations for relevant stakeholder
groups). Further, briefly address the limitation of the market analysis/recommendation
provided by each country management teams.
2) Three out of the six Asia-Pacific nations that offer the most potential for electric cars.
(Considerations like Electric car ownership levels, household or individual income, potential
pricing or other factors might be relevant).
3) Favourable government policies or initiatives of different Asia-Pacific nations that might
make electric cars appealing to consumers.
4) Other environmental or infrastructure considerations that might influence market demand
for electric cars. (Consider things like access to cost effective power, correlation between
household solar power installations and purchase of electric vehicles, road infrastructure,
weather and social or cultural considerations that might influence electric car purchase).
Brian and Ben are looking for recommendations that are fully justified and supported by data
or research to make evidence-based decisions