Competitive Analysis - Reva Electric Car
Executive Summary
The REVA electric car is an innovative concept that has been introduced in the Indian market because of the rising fuel price in the country. The idea behind its conception is to provide a car that is eco-friendly and a small car that would be suitable for growing problems in traffic. The company introduced its cars not only to target the Indian market but also cater to the growing demand for such cars in the international market. In order to understand the competitiveness of the company and its position, a series of analysis is carried out like Porter 's Five Forces and SWOT as well as the Value Chain under the McKinsey Business System. Following this analysis, it can be seen that REVA is well placed to perform in a good way in the EV market. Even though there various challenges that the company could face, it can be overcome by adopting various strategies. The company 's key strength is that it provides a high technology car, in fact way ahead of others in terms of technology. And the added point is that this high tech car is made possible at a lower cost. The cost compared to other manufacturers in the same industry is three to four times lower. The pull down factor for the company is that it doesn 't offer a wide range of cars like 4-door cars or bigger models. It should be noted that in the future the range of cars offered should be broadened so as that it satisfies various kinds of customers. Despite all this, REVA cars are making headway into many countries and in the future it would turn out to be one of the major players in the eco-friendly car industry.
1.0 Introduction
In this assignment, the company taken into study is REVA Electric Car Company which is established in India. The company would be analyzed on its competitiveness by doing an industry analysis based on Porter 's Five Forces; a situation analysis is done using SWOT and is followed up with McKinsey Business System to analyze the value chain in REVA. Based on this
The REVA electric car is an innovative concept that has been introduced in the Indian market because of the rising fuel price in the country. The idea behind its conception is to provide a car that is eco-friendly and a small car that would be suitable for growing problems in traffic. The company introduced its cars not only to target the Indian market but also cater to the growing demand for such cars in the international market. In order to understand the competitiveness of the company and its position, a series of analysis is carried out like Porter 's Five Forces and SWOT as well as the Value Chain under the McKinsey Business System. Following this analysis, it can be seen that REVA is well placed to perform in a good way in the EV market. Even though there various challenges that the company could face, it can be overcome by adopting various strategies. The company 's key strength is that it provides a high technology car, in fact way ahead of others in terms of technology. And the added point is that this high tech car is made possible at a lower cost. The cost compared to other manufacturers in the same industry is three to four times lower. The pull down factor for the company is that it doesn 't offer a wide range of cars like 4-door cars or bigger models. It should be noted that in the future the range of cars offered should be broadened so as that it satisfies various kinds of customers. Despite all this, REVA cars are making headway into many countries and in the future it would turn out to be one of the major players in the eco-friendly car industry.
1.0 Introduction
In this assignment, the company taken into study is REVA Electric Car Company which is established in India. The company would be analyzed on its competitiveness by doing an industry analysis based on Porter 's Five Forces; a situation analysis is done using SWOT and is followed up with McKinsey Business System to analyze the value chain in REVA. Based on this
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