Barriers of Deploying Electrical Cars Assignment 2022

Barriers of deploying electrical cars

Table of contents
1. Introduction
Aim and objective
Problem statement
Structure
2. Market over view
3. literature review
Price
Charging station accessibility
Sustainability
Fossil-fuel critical
Range anxiety
Experience
Belief in EV technology
Social reinforcement
Identity
Negative perception
4. DRIVERS OF EV ADOPTION AND MARKET SUCCESS
5. Methodology
Procedure
Participants
Measures
Composite independent variables
Single question independent variables
Dependent variable
Control variables Hierarchical Multiple Regression Model
Procedure
6. Results
7. Discussion
Theoretical implications
Societal implications
Limitations and future research directions
8. Conclusion
References
1. Introduction

Transportation has been and will always be a highly important
sector in human life. People have been using vehicles in their
everyday life to enjoy the convenience that is offered and the
benefits obtained reaching your destination by car instead of
using public transport. According to Sperling (as cited in Garling &
Thogersen, 1999) Transportation’ community is growing bigger
and much faster than the human population , in 1950, there were
50 million vehicles on the world. Within approximately 50 years
this amount rose up to 600 million and the predictions show that
it will go further the 3 billion vehicles by 2050.
At the beginning of the evolution of passenger vehicles, the
brands, manufacturers and customers were mostly worried about
the speed, the acceleration-efficiency, the size, the design and
the price.
The conventional cars have been sold and used massively around
the world, without consumer and company’s consideration to the
consequences of fuel consumption. The automobile though
burdens the environment in many ways.
According to (Rolim et.al, 2012); the massive use of conventional
cars has led to the dependence on fossil fuels. The exploitation of
fossils fuels brings up big environmental costs since it constitutes
one of the major contributions to the greenhouse gas effect .The
different means of transport cause almost 14% of global
greenhouse gas emissions and as it is predicted it will reach the
50% by 2030 (Egbue & Long, 2012). The high percentages of
carbon dioxide and the rest of climate-altering emissions threaten
both the environment and the people (To limit the impact of these
emissions cleaner fuels and fuel catalysts have introduced to the
conventional cars. Nevertheless, these measures have not
managed to restrict the carbon dioxide emissions, which

contribute majorly to the greenhouse effect (Oliver & Rosen,
2010).
The aforementioned results and predictions of other researches
indicate that a more sustainable transportation system needed.
Shifts in fuel characteristics or the provision of alternative energy
sources can reduce the emissions and promote the substitution of
conventional gasoline and diesel fuel. These concerns have
necessitated the adoption and use of alternative fuel vehicles
such as hybrid and battery electric vehicles. This thesis refers to
the electric vehicles only (those electric cars which are 100%
powered by electric battery). Electric cars operate by one or more
electric motors which are powered by rechargeable electric
batteries. Due to electric cars’ ability to operate using clean
energy sources, an alteration to electric cars contributes to an
independent, cleaner and more secure energy future (Daziano,
2013).
If most of the drivers start, using an electric vehicle instead of a
conventional car a lot of benefits can arise such as the reduction
of greenhouse gas emissions, of carbon dioxide and fog in the
urban air and enhance the economic security in case of
disturbances to oil production in the Middle East (Krause et.al,
2013). The advent of electric vehicles is a paradigm shift in the
modern world and it will increase to 50% by 2030 (IEA, 2007).
The benefits of switching to battery electric vehicles (BEVs) are
many, including greater energy security, can arise such as the
reduction of greenhouse gas emissions, of carbon dioxide and fog
in the urban air and enhance the economic security in case of
disturbances to oil production in the Middle East (Krause et.al,
2013).

1.1 Aims and Objectives:
This research aims to give a deeper understanding of why
consumers challenge to buy electric vehicles. With the
examination of consumers, car dealers and expertise’s in Oman.
We aim to give a comprehensive market assessment and
generate strategies with the target to overcome existing adoption
barriers and attract a larger number of consumers to electric cars.
The findings of this research may be useful for government and
suppliers of the automobile industry, as well as other public or
private institutions dealing with e-mobility, sustainability or green
business solutions.
2. Problem Statement
Although the EV is the solution to many problems related to
climate change and resource shortage, its adoption is at very
early stage and only very few cars dealers have already
introduced EVs at very small production volumes in the market.
They still represent a small size of market hardly crossing 1% of
the passenger car market. Until now, only little is known why
people resist buying EVs. While much attention has been paid to
developments in sustainable mobility solutions less attention has
been paid to consumers’ willingness to adopt. However,
understanding why people do not adopt is arguably at least as
important as knowing about those who do adopt. In fact, one of
the major causes for market failure of innovations is the

resistance they encounter from consumers. Yet, little research
has been done on this subject. So far only few scholars have
examined why consumers resist some innovations while others do
not (Sheth, 1987; Ram, 1987; and Klein, 1967).
Innovation resistance clearly takes more than one form and its
marketers should be aware of the range of situational and
personality factors that could lead to resistance. In our research
we apply the concept of innovation resistance on e-mobility,
which leads us to the following research question:
 To identify the key opportunities and barriers for the
development of the EV Market, from both a consumer and
industry perspective.
 To assess the adequacy of existing policy
 To address these barriers and maximize opportunities.
 To investigate the particular challenges of developing new
charging infrastructure.
To achieve a constructive and comprehensive answer to our
research question, we divide this research into two research
questions. First, we measure the general consumer perception of
EVs as an innovation (RQ1a). In specific we are interested in how
consumes evaluate EV characteristics. Then, we examine the
actual innovation resistance towards EVs (RQ1b). Third, we
identify adoption barriers to explain innovation resistance (RQ1c).
The investigative sub-questions are as follows:
1. How does EV perception influence resistance?
a) How do consumers evaluate the innovation?
b) How resistant are consumers?
c) What are the adoption barriers?
After the identification of barriers, we examine the effect of three
drivers of EV perception that have an indirect effect on consumer

resistance. In particular, we evaluate the role of car involvement
and eco-consciousness as forms of consumer characteristics
(RQ2a). In addition, why do consumers resist buying electric
vehicles?
We examine how innovation exposure (e.g. mass media and
social media communication) affects the consumer perception
(RQ2b). Finally, we look at buying incentives to find out whether
monetary and functional benefits make the EV more attractive to
consumers (RQ2c). This leads us to the following sub-questions:
2. What are relevant drivers of EV perception?
a) What is the effect of consumer characteristics?
b) What is the effect of EV exposure?
c) What is the effect of buying incentives?
Market Overview:
1. Plug-in electric vehicles
Light-duty PEV technology is in the early commercial stage and is
maturing steadily. The value proposition of PEVs for automakers
and drivers is improving, as falling battery prices are lowering
vehicle costs and the increasing energy density of battery packs
is extending electric driving range. Another indication of
maturation is the proliferation of new LDV models expected to be
introduced in the next few years. As illustrated in Figure 1,
automakers plan to begin selling more than 90 PEV models by
2022 in the United States alone. Some vehicles already on the
market exceed 320 kilometers (200 miles) in electric range, and
this is expected to improve over time. Notably, the market is now
seeing the first plug-in electric sport utility vehicles (SUVs), a
popular vehicle segment in Oman, and this segment is expected
to increase significantly Plug-in SUVs already on the market
include, for example, the Kia Niro, Mitsubishi Outlander, Volvo

XC90 T8 and XC40 T5, BMW X5 xDrive40e, Mercedes-Benz GLC
350e and GLE 550e, Porsche Cayenne E-Hybrid, and Tesla Model
X. With the exception of the Tesla, these vehicles are all plug-in
hybrid vehicles with relatively low electric ranges, but this is
expected to improve in the near term. A number of automakers
have also made public pledges to further enhance their PEV line-
up. 21 An important motivator of this uptick in PEV model
availability is state and national zero-emission vehicle (ZEV)
regulations, which effectively require automakers to meet sales
targets for PEVs. These salesfocused ZEV regulations mean that
automakers must increasingly produce PEVs that meet
consumers’ transportation needs at an acceptable price point in
order to sell sufficient PEVs and avoid paying fines. Section 8
provides additional discussion of these policies. While Oman does
not currently have similar mandates, their impact will
undoubtedly influence driver economics in Oman.