Mahindra Electric Mobility Limited: The Electric Vehicles Dilemma

In order to shift 30 per cent of the country’s transport fleet to electric by 2030, the Indian government had launched multiple programs to promote usage of hybrid and electric vehicles (EV) in the country and had agreed to provide various fiscal and non-fiscal incentives to EV firms up until 2020. Many leading automobile manufacturers in India were investing millions of dollars in designing and manufacturing EVs, building the infrastructure required for running EVs, and creating the components required for the battery system used in EVs. Despite these multiple public and private initiatives, by September 2018 it had became apparent that many macro and micro issues were present in the overall environment that was being built for the smooth running of EVs. Would Mahindra Electric Mobility Limited and other automobile firms be able to effectively formulate strategies and compete successfully in this dynamic and changing business environment?

This case can be used in strategic marketing and strategic management courses in modules pertaining to the scanning of the market environment, conducting a competitive analysis, and the processes of internal and external assessment for the formulation of a firm’s market-oriented strategies. The case can be taught in advanced undergraduate, graduate, or executive-level programs dealing with environmental and competitive analysis that lead to strategy development. Through discussion of the case, students will have the opportunity to<ul><li>understand and appreciate the strengths and weaknesses of major Indian electric vehicle players. </li><li>identify the opportunities and threats that a focus on electric vehicles could bring to the Indian automobile industry.</li><li>identify the major macro- and micro-environmental factors that influence a firm’s marketing strategies.</li><li>understand and apply Porter’s Five Forces for developing strategies in a changing business environment.</li><li>understand and apply external factor evaluation and internal factor evaluation matrices to analyze a firm’s strategic approach.</li></ul>

• Electric Vehicles, India, Strategy