Diagnostic Assessment: Macro Environment Analysis for Eli Electric Car

This report presents a macro environmental analysis of the Eli Electric Car, examining key factors such as demographics, economics, political influences, natural environment, cultural and social aspects, and technological considerations. The analysis highlights the electric car's strengths (efficiency...Read More

Running head: MACRO ENVIRONMENT ANALYSIS FOR ELI ELECTRIC CAR
Macro environment analysis for Eli Electric Car
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1MACRO ENVIRONMENT ANALYSIS FOR ELI ELECTRIC CAR
The Eli Electric Car, introduced by Eli Electric Vehicles, is an attempt to modernize
and urbanize the maneuverability on street during short trips (Eli.world 2018). The vision of
the company has been founded on the belief that personal transport should be fun, engaging,
and agile - something the user looks forward to. This product is to be released in the market
through a crowdfunding website, namely indiegogo.com. The following paper attempts to
carry out a macro environmental analysis of the market.
Macro environment analysis
The six factors affecting macro environmental analysis are:
 Demographic environment – The demographic in this case would be young people
between 25 and 35 or families looking to purchase affordable cars.
 Economic environment – The sales of electric cars was slow till the year 2009,
however, it has experienced a boom in the last 8 years (Efthymiou, Antoniou and
Waddell 2013).
 Political factors – Since electric cars are environment friendly, they garner the support
of the government. It is important to take into account the various taxes and laws
imposed on electric cars specific to the particular location. These political factors
would further propel the popularity of Eli Electric Car in Malaysia.
 Natural environment – The Eli Electric Car has been designed to be completely eco
friendly. It does not release harmful emissions into the environment, reducing air
pollution significantly. That is why electric cars have gained prominence in the recent
years (Lee, Thomas and Brown 2013).
 Cultural and social environment – It is imperative for every brand to take into account
the social and cultural factors while introducing a new product into the market. For
one, the cultural landscape is going to be altered because conventional vehicles are

2MACRO ENVIRONMENT ANALYSIS FOR ELI ELECTRIC CAR
gradually being replaced by electric cars. Also, it reflects positively on Eli World
because such an eco friendly product falls under the category of CSR or corporate
social responsibility.
 Technological environment – There are a number of technological aspects like
charging time, and driving distance that must be taken into account. It is often
wrongly assumed that electric cars are high priced and unreliable. The Eli Electric Car
should make the most of top notch technology to optimize performance.
S.W.O.T analysis
Strengths
 Efficient and quick.
 Environment friendly.
 Smart solution for local transport.
Weaknesses
 The driving range is short. Electricity charges applicable. Lengthy recharge time.
Opportunities
 In the twenty first century, there is a growing consciousness about vehicle emissions
and their impact on the environment. The Eli Electric Car, which promises no
emissions, lures in environment conscious users. Moreover, the electric vehicle does not rely on gas; the car runs on electricity and
would have to be recharged at regular intervals.

3MACRO ENVIRONMENT ANALYSIS FOR ELI ELECTRIC CAR
Threats
 With advancement in technology, electric vehicles have become a reality across the
world. As a result, the Eli Electric Car faces severe competition from other companies
manufacturing the same product.
 Additionally, since the car is reliant on battery, the service provided might not always
be reliable (Nykvist and Nilsson 2015).
The above macro environment analysis of the electric vehicle industry reveals the factors
that must be taken into consideration while devising the marketing plan. The S.W.O.T
analysis also recognizes the various advantages and disadvantages of the Eli Electric Car,
which must be kept in mind while chalking out the marketing plan.

4MACRO ENVIRONMENT ANALYSIS FOR ELI ELECTRIC CAR
References:
Efthymiou, D., Antoniou, C. and Waddell, P., 2013. Factors affecting the adoption of vehicle
sharing systems by young drivers. Transport policy, 29, pp.64-73.
Eli.world., 2018. Eli 丨 Vision. [online] Available at: https://www.eli.world/vision
Lee, D.Y., Thomas, V.M. and Brown, M.A., 2013. Electric urban delivery trucks: Energy
use, greenhouse gas emissions, and cost-effectiveness. Environmental science &
technology, 47(14), pp.8022-8030.
Nykvist, B. and Nilsson, M., 2015. Rapidly falling costs of battery packs for electric
vehicles. nature climate change, 5(4), p.329.