Alternative Sources of Fuel in Car Manufacturing Industry

This case study explores the different alternative sources of fuel in the car manufacturing industry, including hydrogen, electric grid, and biodiesel. It also discusses the unique business model of Tesla and its competitive advantages. The study provides insights into the potential for sustainability in the automotive industry.

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Alternative sources of fuel in car manufacturing industry
The major categories like gasoline and diesel are mostly used in the automotive industry.
However, those car owners are demanding alternative energy solutions which can provide
greater sustainability. In this context, researchers informed that there are 6 sources of alternative
fuel that have the promising nature of guiding us towards the development of a more energy-
efficient industry.
The first alternative fuel is hydrogen which is present in abundance in the environment. The
major sources of hydrogen are water, organic particles, and hydrocarbons and so on. The
hydrogen is utilised in developing power fuel cell electric vehicles. After the extraction of
hydrogen particles, they are developed into refillable fuel. However, in the case study, it is
revealed that hydrogen particles are weaker than gasoline or diesel and because of this
production bottleneck, the substantial fueling infrastructure has not been developed yet, since it
is difficult as well as costly. However, there are atoms to reach the market with power fuel cell
electric vehicles and one of the first installed hydrogen station is developed in Vancouver
Canada. The hydrogen station has been one among the sixth station network that has been
developed by the partnership between hydrogen technology and Energy Corporation of Canada
as well as Royal Dutch Shell, Canada. The second most important source of alternative power is
the electric grid as well as other off board electric power source. Electricity can be considered to
be one of the most efficient sources of energy which are easily available to us from the already
developed frameworks. Rechargeable batteries are used for storing electricity which is used for
running the all electric and plug in Hybrid electric vehicles. The rate of emission in the electric
powered vehicles is much closer than diesel powered cars. This market innovation was
developed by Tesla Motors, in the initial phase, in the market. Inside of the fact that electricity

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incurs lower cost as an alternative for informing the price of purchasing original electric vehicle
and significantly higher compared to the conventional power cars.
The next most important form of alternative fuel is biodiesel which is a by-product developed
from biodegradable as well as non toxic sources like vegetable oils, recycled restaurant grease as
well as animal fats. The various category of blends biodiesel are used in various categories of
vehicles. The mostly developed category is the B5, which is a blend of 5% biodiesel as well as
95% standard diesel and in the purest form, biodiesel is termed as B100. Unlike the zero
emission vehicles power the electricity, the biodiesel powered cars will emit carbon dioxide,
however with a silver lining. This amount of carbon dioxide is offset by the absorption of carbon
dioxide by livestock plants which produces biodiesel.
Uniqueness of the business model of Tesla
The unique approach of business strategies of Tesla was evident in the comparing launch of the
brand in the market. instead of moving towards the development of more affordable and more
powerful car powered by conventional and, that could be easily mass produced and marketed,
organisation instead, to the step of developing a compelling model of car. However, Tesla had a
record iteration had left no Technology integration with slack of Economics of scale. It was
evident that the first car model run by electric power would be nevertheless sports car was
developed by the company which seems to be the first industry specific high-performance
electric-powered luxury sports car. This model hits the market with the brand name of Tesla
Roadster.The Three Company features of the Unique business strategy of Tesla is selling,
servicing as well as charging electric vehicles. In terms of direct sales organisation did not

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adopted the strategy of selling through franchise dealerships Like The Other major
organisations.making higher investment from other organisation developed and international
framework of direct old showrooms as well as galleries in the most popular urban centres
throughout the world. Unlike other companies, Tesla and their personal serious channel where by
the court modify the speed of product development also and avoid any internal conflict of
employed staff as well as the other stakeholder groups. Their service is also unique in category
and is also aimed towards increased customer demand. In the locations like service plus,
developed by Tesla. This facility is really facilitating the employed sales as well as service staff.
the model S of Tesla Motors have the functionality of wirelessly uploading data to the
technicians, so that they can develop their function regarding some minor errors issues without
actually needing to touch the car physically. Next preposition of of Differential value proposition
is the supercharger network. This kind of network is not possessed by most of the Frontline
Pharma manufacturing companies. The organisation have the alternative policy of owning as
well as developing franchise based development of thestations in order to speed up the rate of
adoption of electric cars by the potential customers. Alternative to the model of of getting
gasoline while driving, the organisation wants to develop stations for charging electric cars
former facing huge obstruction to mass production. Nevertheless Tesla will continue to
implement there network of supercharger stations in countries like United States as well as other
countries in Europe as well as Asia also.
One of the biggest innovations of organisation, in terms of of contrasting Technology as well as
product line development was the unveiling of the fully electric semi-truck of Tesla Motors in
the year 2017. The difference in the bottom line that not to invent electric car or the luxury
electric car. tesla event today business model based on complaining electric car by introducing

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them into the mass market. Actuallythe part of the strategy of the company was to develop a
network for their charging station which could evade one big issue challenging the adoption of
the electric vehicle, that is refilling of fuel on the long trip. the unique value proposition this
model of tesla included control over all kind of sales as well as services which is one reason
because of which the stock price of the company went high since its initial public offering.
The biggest competitive advantages of tesla
In the first place, there are several competitive advantage of the company comma however that
will discuss about to most affecting advantages of the organisation. The first advantage is that the
battery offline chain is building for itself. The battery pack of tesla regularly estimated to be a
good tier cheaper than the other electric vehicle battery. In this contact, there company had the
advantage of the quality of electric vehicles cells of Panasonic. However, the organisation also
have the advantage of continuous improvement of their pack as well as the battery chemistry.
The constant research and development for improvement of battery on one side as well as
implementation for cost cutting calculus on another side developed a balance in the business
economics. Scaling up of production has been accounting for greater efficiency of manufacturing
as well as cost reduction. The company is increasing production by means of under-construction
gigafactory.
Second most important competitive advantage of the organisation is that the introduction of
electric vehicles as well as supercharger network in the mass market. Because of this
development, the consumer are wanting first charging station to develop rapidly. competitive
advantage is derived from the fact that the charging station of tesla are not widespread. However,
they provide the rapid charging facility. other frontline automotive company has not been able to

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develop this facility not introduce any of such facilities in the mass market. the organisation has
developed there personal supercharge and by means of this have went ahead many of the their
competitors. The last and biggest advantage is release from penny counting prices system. Price
of refilling the Tesla car from the charging station have been included into the on road price of
the car and that driver can get lifetime free supercharge facility.