Environmental Volatility and Competitive Position of Tesla, Ford, GM, and Toyota in the Electric Vehicle Market

Environmental Volatility Analysis and Current Competitive Position

Tesla cars are standard and have advanced hardware effective for promoting autopilot characteristics. Also, they have full self-driving capacities, which improve their functionality over time (Dana, 2018). Tesla also is a pioneer and a leader in the market of electric vehicles. Other than manufacturing and selling solar panels and advanced battery technology, it facilitates the latter via artificial intelligence. According to its CEO and billionaire founder, Elon Musk, its significant race in building and marketing autonomous vehicles is coming up with its out Artificial Intelligence hardware. IT hardware in the firm is used to crowdsource its vehicles’ data since the external and internal sensors pick information from the drivers (McCain, 2019). Tesla’s future technology is based on its mission on accelerating sustainable advent transport, which brings its compelling mass marketing. Its focus is accelerating clean transportation technology proliferation. Also, it argues that by 2030, it will have composed two product segments compromising Tesla Motors {Automotive} and Tesla Energy {burgeon energy business}.

Contemporary, Ford Company uses machine learning and artificial intelligence in various ways. It connects its car remedies to autonomous vehicles development (González-Crespo & Vazquez, 2017). Also, it has Ford technological research with efficient computational intelligence. Ford’s invention and possibilities’ boundaries have ensured that its invented vehicles consist of technology-packed features, innovative systems and human-oriented designs. Among them include SYNC 3 Connectivity and Traffic Sign Recognition. Its current additional technologies are Electric and Hybrid powertrains and All-Wheel Drive intelligent vehicles. Ford’s future technology is viewed in its technological advancement across its lineups, such as Ford Co-Pilot360 driver assisting technology (Aguilar et al., 2019). Also, its evidence on its new fuel technology and redesigned vehicles such as the 2020 Explorer and that Ford vehicles in the near future are fixed to enhancing smart technology, fuel economy, modern designs and thoughtful technological amenities.

On the other hand, General Motors (GM) contemporary uses 3D printing to launch its new vehicles (Cheng, 2017). Among them is Chevrolet Corvette. In this COVID-19 pandemic, 3D printing technology has been used to help the GM team transition from creating vehicles to making medical devices. By 2035 GM focuses on make vehicles with Internal Combustion Engines (Cheng, 2017). According to Mary Barra, GM Chief Executive Officer, its major focus by 2035 is to phase out diesel engines and gas through continuously launching cars such as its 2016 Chevy Bolt. Also, it aims to use internal combustion technology to create free hydrogen and battery powertrains.

Toyota contemporary uses Double Overhead Cam (DOHC) cylinder-head designs (Barron et al., 2017).  It composes in each cylinder four valves which improve its efficiency and power. Also, it combines its automobile control technologies with industrial robot technologies and state of the art IT technologies (Argadinata, 2018). Also, its technology automated guided container transport system transports work in storage yards. It effectively leverages its software technology, thus optimizing load operations. The future technology of Toyota is based on new EVS and hybrids. By 2025, Toyota wishes to have hybrid options vehicles in addition to combustion engines. According to Barron et al. (2017), by 2030, it targets 70% sales on powertrains and 15% on electric vehicles.

Electric Vehicles Startups

Electric vehicles were first invented in 1832 by Robert Anderson and become practical in the 1870s (Li et al., 2019). The major focus on the invention of electric vehicles was based on environmental concerns. Currently, the EV startups are Karma Automotive, Rimac Automobili, StoreDot, Zenobe Energy and Ola Electric Mobility (Das et al., 2020). Karma Automotive is powered by electricity and thus delivering intelligence performance combination. Also, it promotes digital architecture and vehicle technology in Irvine, California. Rimac Automobili, on the other hand, is a technological powerhouse making electric hypercars. Also, it provides full technology remedies to global automotive manufacturers (Li et al., 2019). It was founded in 2009 by Mate Rimac with its headquarters in Sveta Nedeija, Croatia. StoreDot, on the other hand, is an Israeli lithium-ion battery organization situated in Herzliya. The firm is rampantly developing battery assemblies composing of fast charging components.

Soft Bank’s activities are also linked to the future of electric vehicles. Softbank, as one of the Uber Technologies shareholders, plans vast financial strategies for electric vehicles. Soft bank activities applicable to Toyota, Ford, GM, and Tesla include investing in the ecosystem of electric vehicles (Das et al., 2020). In nations such as Indonesia, Softbank CEO Masayoshi Son-san argues that it is critical to invest in electric vehicles to current ecosystem pledges. Generally, investment in the ecosystem is based on electric vehicles and supports industries such as electric vehicles, station chargers, and battery infrastructure. EV startups are also funding obstacles for automakers such as Toyota, Tesla, and General Automotive (Das et al., 2020). From the 20^th century, EV Startups are heavily applicable in U.S’s automotive industries. Startups fund formidable obstacles experience by various automakers (Li et al., 2019). They address the problem of costs experienced by the automotive industry. Among them is the cost of battery technology which is very expensive since they hold a massive amount of charge.

Factors of Influence

• Political Environment

The political environment encompasses the government, the state, its legislation and institution and the private and public stakeholders operating and interacting or influencing the overall system (Dana, 2018). The political environment vastly impacts electric vehicles companies such as Toyota and Tesla. The government affects the business of the firm and its macro or remote environment. Governmental entities remain major societal forces affecting automotive businesses and industries. The government set policies on trade to limit automotive industry performances (Dana, 2018). Besides that, it determines its revenues. Though the political environment may limit the firm’s performance, it sets governmental incentives for electric vehicles, new global trade agreements and stability in its central markets.

• Economic Environment

The economic environment affects the overall economy. It affects the state’s interest rates, laws, tax rates, wages, policies and governmental activities. The effects of the economic environment and conditions adhesively affect Tesla Inc. The conditions include trade levels, market growth and other variables which affect its business. For instance, solar energy’s market growth determines Tesla’s growth opportunity (Sathish & Weenk, 2020) effectively. Thus, for Tesla to meet economic environment expectations, it must focus on external economic elements influencing the automotive market. They include a decrease in battery costs and renewable energy costs and further address its economic stability concerns. Electric vehicles companies such as Toyota, Ford, GM and Tesla would effectively benefit from lower battery costs (González-Crespo & Vazquez, 2017). The factor translates to company affordability in electric automobiles and that decreasing the cost of renewable energy makes Tesla Company more attractive for its customers.  Order a Customized Paper