Ev1 Case Study

QUESTIONS

1. What killed the electric car, GM EV1, and how would you solve the problem while not bankrupting your company? You can use Tesla as a model for your solution.

EV1 (Electric Vehicle 1) Produced by General Motor (GM) already exist in early 1996 but 10 years later, this car lost just like that. Let’s start first with starting production of EV 1. As we know, 1100 EV 1 cars produced for leased to the drivers at California and Arizona only. During the 1990s, California had a tremendous smog and pollution problem that needed to be address. So the Government of California initially react with California Air and Resources Board (CARB) passed a Zero Emission Vehicle (ZEV) Mandate. The Mandate required car manufacturers to sell ZEV if they wanted to sell cars in California. With awareness of global warming problem and needed for vehicle possibility for fuel saving and money lead to development of EV 1 cars. Despite of EV1 not for sale to the public and only leased to drive this car, almost 90% of the leaser like this car and response from them also very encouraging. However, GM called in the EV1's from costumer who still wanted to lease this car and GM hauled them to Arizona and crushed them in order to destroy electric car. This drastic step

Firstly is car manufacturer by General Motors (GM). General Motors (GM) claim that, demand from EV 1 is not enough and costly although public surveys shows that many people in United States encourage to own electric car and EV1 had a waiting list of thousands of buyers. . This is conspiracy! General Motors hide their agendas regarding of stop the production of Electric Vehicle (EV) in order to take care priority of their stakeholder which is also involves in oil lobby activities. General Motors also claim that cars and batteries were too expensive to make despite the truth is mass production could have helped streamline