Research On Production Strategy Of Pure Electric Vehicle Manufacturers Under Government Subsidy Environment

In recent years,with the rapid development of the world economy and population,energy resources are facing enormous challenges and the environmental system is deteriorating.At present,the automobile are almost regarded as necessities of life and become one of the most widely used transportation vehicles.While it is convenient for daily life,it also consumes huge limited resources.Currently,the world faces the urgent need for energy saving and emission reduction.Therefore,the automotive industry needs to undergo revolutionary changes,and pure electric vehicles have the advantages of energy saving and environmental protection,so all countries in the world begin to pay attention to the development of pure electric vehicles.Therefore,all countries and regions in the world have taken measures to develop pure electric vehicles.Despite the rapid development of pure electric vehicles,there are still some gaps in performance with fuel vehicles due to technical reasons,and the manufacturing cost of pure electric vehicles is much higher than that of the fuel cars of the same model,the high market price makes consumers discouraged,so the government plays an indispensable role in the development of pure electric vehicles,current electric vehicle manufacturing also relies on government incentives.At the same time,the current pure electric vehicles are in their infancy,and the fuel vehicles and pure electric vehicles coexist in the market.However,from the current trend,the resource and environmental conditions are deteriorating,driving the reform of the automotive industry.Governments all over the world have announced that they will completely ban the sale of fuel vehicles in the near future.Fuel vehicles will withdraw from the market fully from 2025 to 2030,with only pure electric vehicles to be left in the market by then.Given that,we can reasonably assume that there will be high-end pure electric vehicles and low-end pure electric vehicles in the future market.The latter would consume more electric energy,while the former would be energy-saving and environment-friendly,yet cost more on research and development.At this time,the government will encourage the production and sales of high-end pure electric vehicles,but for manufacturers,the high cost will become the bottleneck of its production.Because of this,the government will offer various subsidies to encourage manufacturers to produce high-end pure electric vehicles.For now and in the long term,it is an important subject of practical significance for manufacturers to better formulate the production strategy of pure electric vehicles on government subsidies.This paper has carried out related research on the production strategy of pure electric vehicle manufacturers under the government subsidy environment.The main work includes the following three aspects:(1)Production strategy for competitive situations between fuel vehicle manufacturers and pure electric vehicle manufacturers.Considering the competition between fuel vehicle manufacturers and pure electric vehicle manufacturers in the current market,this dissertation designs the profit maximization models of fuel vehicle manufacturers and pure electric vehicle manufacturers as well as the government’s maximized social welfare models based on three different government subsidies.Through model solving and analysis of results in three cases,it provides an important reference for the production strategy of pure electric vehicle manufacturers and the choice of government subsidy strategy.(2)Production strategy for the competition of two heterogeneous pure electric vehicle manufacturers.Taking into account the competition between high-end pure electric vehicles and low-end pure electric vehicle manufacturers in the future market,this paper also conceives the profit maximization model of manufacturers and the government’s maximized social welfare model based on three different government subsidies,and conducts theoretical analysis and management enlightenment analysis by solving the model.(3)Applied research:production strategy design of A pure electric vehicle manufacturer.Taking A pure electric vehicle manufacturer as an example,this paper designs a plan for the production strategy for A pure electric vehicle manufacturers with above-mentioned results.Firstly,the profile of A pure electric vehicle manufacturer and the existing production strategy are introduced.Then,by applying the model results of this paper to the real situation of A pure electric vehicle manufacturer,a more reasonable production strategy is given and the feasibility of the conclusion is verified.Through the study of the above research content,you can obtain the following views:in the current market,when the government’s subsidy policy tends to be pure electric vehicle manufacturers,it is more favorable for fuel car manufacturers,and pure electric vehicle manufacturers should reduce production appropriately,when the government’s subsidy policy favors consumers,it is more favorable to pure electric vehicle manufacturers,and their production should be increased;In the future market,in the case of high-end pure electric vehicle manufacturers and low-end pure electric vehicle manufacturers competing,no matter which manufacturer the government subsidy policy tends,there will be no impact on the profits of both manufacturers,therefore,it will not affect the specific production volume;for the government,the specific situation should be considered to make decisions,if the consumer’s perceived value of the product is high,the subsidy policy should tend to provide subsidies for pure electric vehicle manufacturers,if the consumer’s perceived value of the product is low,the subsidy policies should tend to subsidize consumers who purchase pure electric vehicles,and in the future market,there is no need to subsidize pure electric vehicle manufacturers..The research framework of the production strategy of pure electric vehicle manufacturers under the government subsidy environment proposed in this paper provides a scientific production plan for pure electric vehicles,which has good guidance and reference for the manufacturer’s production strategy,and can also provides some management implications for the government’s subsidy strategy.In addition,the research in this paper enriches and perfects the research on the production strategy of pure electric vehicle manufacturers under the government subsidy environment,and has certain guiding role for the ideas and methods of further research.