Award: 10.00 points
Which of the following is a reason for the sluggish sales of hybrid vehicles?
Reduced energy standards by hybrid vehicles
Lack of perceived value by consumers
Technology is too fast-paced.
Minimal competition in the hybrid market
Replacement by electric vehicles
The initial value proposition of hybrid vehicles was better fuel economy. Given the ability of gas-
powered vehicles to minimize this fuel economy gap, consumers are having trouble seeing the true
value of a hybrid purchase. As discussed in the case, consumers don't see the value of paying as
much as $6,000 extra when other substitutes are highly comparable.
02-05 How forces in
and how a firm can
by increasing its
Learning Objective: 02-06 How the
Internet and digitally based capabilities
are affecting the five competitive forces
and industry profitability.