Open AccessIdentifying a Combination of Key Resources to Overcome the Entry Barriers in the Electric Vehicle Market
Author(s) -
Min-Je Cho,
Juneseuk Shin
Publication year - 2022
Publication title -
ieee access
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.587
H-Index - 127
ISSN - 2169-3536
DOI - 10.1109/access.2022.3180729
Subject(s) - aerospace , bioengineering , communication, networking and broadcast technologies , components, circuits, devices and systems , computing and processing , engineered materials, dielectrics and plasmas , engineering profession , fields, waves and electromagnetics , general topics for engineers , geoscience , nuclear engineering , photonics and electrooptics , power, energy and industry applications , robotics and control systems , signal processing and analysis , transportation
Our study clarifies a combination of key resources to overcome entry barriers in the electric vehicle market, and further their minimum level required to enter it. Analyzing 14 firms over 2005-2017, we find that firms securing a combination of low cost-high capacity battery, low vehicle price, long driving range and high safety rating successfully enter the market. A lack of any single resource results in market entry failures. Also, the relative importance of resources varies by market segments, emphasizing importance of a segment-optimized resources management. Theoretically, our study connects entry barriers to resource-based view. Managerially, firms can improve strategic resource management for a successful market entry. Government can introduce a package of policies supporting resources development or acquisition of such companies, thereby boosting market entry, innovation, and growth of companies.