Factors Affecting the Automobile Market

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Factors In The Market
Factors that affect demand, supply and equilibrium prices in the automobile market are oil prices, technology advancement and consumer confidence in the economy and government regulations or incentives. These factors will affect our company and how our competitor organization operates. The market for our chosen product will be all consumers on a global scale. Our product will revolutionize the electric car industry; the demand for our automobile will be outpace that of our major competitor General Motors. General Motors currently has the fastest selling electric vehicle and Tesla Motor Company has a great product in the electric sports car market. The Tesla product will be used as inspiration for our product because of the performance specifications of their automobile. The Tesla product has one fatal flaw and the flaw is the unaffordability of their automobile. Tesla has a price tag on their sport series automobile of over $100,000. We intend to set our retail price at under $30,000 while delivering a rival machine. As oil prices continue to fluctuate and create uncertainty in the global markets the demand for a substitute mode of transportation will grow. Ford Motor Company intends to stay ahead of the demand for electric vehicles by keeping a higher supply of product. By producing more products ahead of the demand we will be able to control our costs and maintain a lower retail price for our potential customers. According to market data from all industrialized nations, Ford Motor Company could gain potential customer from emerging markets in China and India. As battery technology advances, Ford Motor Company will be able to produce a vehicle that can last longer between charges and perform better on the streets. The battery technology is currently at the highest level in history. The technology is currently capable of allowing us to produce a very advanced automobile. With the combination of uncertainty in oil prices and the...
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