I modeled sustainable vehicle transition market dynamics in graduate school around 2010. One of the trends my model identified was that only higher income people were going to willingly adopt EVs because only those with disposable incomes were really equipped to take advantage of the financial benefits of EVs.
However, the luxury car market is tough. The manufacturer must deliver perceived value for the money, e.g., your $100k car better match its competition at that level or it's not going to sell.
Interestingly, what came out, was that consumers want cheap ICE vehicles when energy prices go up. The issue is that the efficiency returns do not make up for the additional costs of the electrified drivetrains, especially when disposable income is limited.
I bought some Lucid stock before the SPAC merger and I'm disappointed. With the amount of money they have, there should not have been ANY quality problems that made it out to the public. And there should have been much more marketing. Why is every car on TV a gas car? Lucid could have fixed that.
I also think it's a mistake to keep pushing for the ever higher-end, as with their new $250K model. As investors, we were told future models would be less expensive so as to fill-up that shiny new factory. And that's not happening.
They teased the gravity suv, which Osborned the air. Apart from that, the number of people who want a 1000 hp sedan enough to pay what lucid is asking for it is somewhat limited
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Interestingly, what came out, was that consumers want cheap ICE vehicles when energy prices go up. The issue is that the efficiency returns do not make up for the additional costs of the electrified drivetrains, especially when disposable income is limited.
I also think it's a mistake to keep pushing for the ever higher-end, as with their new $250K model. As investors, we were told future models would be less expensive so as to fill-up that shiny new factory. And that's not happening.