According to "Chrysler Enters the Race to Introduce Electric Models" by Bill Vlasic, Chrysler intends to manufacture an electric car for public launch in 2010.
Chrysler aims to stay competitive in the electric car market by producing a complete range of electric vehicles. The company currently offers three electric models and intends to transform their current models into electric ones instead of developing new platforms, as G.M. does. Chrysler prioritizes investing in technology over car platforms, all while striving for maximum technological potential.
Nardelli announced that Chrysler plans to benefit from the $25 billion federal loan program for the US auto industry by entering the electric car market, which has experienced a surge in demand due to increased fuel costs. The shift towards more elastic demand for fuel-efficient vehicles has caused a decrease in demand for conventional cars on the m
...arket, which were previously considered inelastic. This change is reflected in reduced revenue generation as fewer cars are demanded due to higher gas prices. As a result, Chrysler aims to meet this new demand for electric cars and boost their revenue accordingly.
Currently, the restricted supply of electric cars leads to elevated prices as they are not readily available in the market. Nonetheless, as Chrysler and other automakers begin producing electric cars, the supply will amplify and subsequently adhere to the law of supply by decreasing prices. Until then, individuals will continue paying exorbitant gasoline costs.
Although gas price fluctuations currently have minimal influence on gas demand in America, the rise of electric cars and their usage could potentially result in increased sensitivity to price changes. This shift towards greater elasticity in demand may prompt suppliers to pursue higher
revenue by selling more at lower prices. Alternatively, if demand remains relatively inelastic, suppliers may opt for lower supply at higher prices as a means of increasing revenue.
OPEC aims to increase prices by restricting supply, capitalizing on the inelasticity of gas demand. This strategy yields greater profits; however, if more individuals transition to electric vehicles and gas demand becomes more elastic, prices will decrease. The far-reaching effects of the electric car industry impact all drivers significantly.
The introduction of electric cars will lead to a decrease in fuel costs for both financially capable individuals and those without, as demand remains constant. The government's praiseworthy initiatives include a $25 million federal loan program aimed at promoting the use of electric cars and improving their fuel efficiency. It is clear that using electric cars can significantly reduce fuel-related expenses. For more information on this subject, please visit http://www.
The following HTML link leads to an article on nytimes.com from 2008 regarding Chrysler's venture into producing electric car models: nytimes.com/2008/09/24/business/24auto.html?scp=1&sq=Chrysler%20enters%20the%20race%20to%20introduce%20electric%20models&st=cse.
- Renault essays
- Truck essays
- chrysler essays
- The city essays
- Racing essays
- Bicycle essays
- Cars essays
- Rms Titanic essays
- American Dream essays
- Barriers To Entry essays
- Capitalism essays
- Central Bank essays
- Compensation essays
- Consumerism essays
- Economic Development essays
- Economic Growth essays
- Economic Inequality essays
- Economic System essays
- Economy essays
- Employment essays
- Export essays
- Finance essays
- Free Trade essays
- Gross Domestic Product essays
- Human Development essays
- Income Inequality essays
- Industry essays
- Inflation essays
- International Business essays
- International Trade essays
- Macroeconomics essays
- Materialism essays
- Max Weber essays
- Microeconomics essays
- Minimum Wage essays
- Monetary Policy essays
- Monopoly essays
- Pricing essays
- Profit essays
- Recession essays
- resources essays
- Taxation essays
- Trade essays
- Unemployment essays
- Warehouse essays
- World economy essays
