BUS 895: PRELIMINARY PROJECT PROPOSAL
OPPORTUNITY RECOGNITION IN THE GREENING OF THE AMERICAN AUTOMOBILE INDUSTRY.
Can the study identify a niche that has not been served, detect an improvement in an existing product, or discover an opportunity for a breakthrough product (Allen 2003) in the hybrid electric vehicle automotive segment?
Why are consumers buying hybrids?
The hybrid electric vehicle market segment has been for the past five years and is projected to be the fastest growing area in the greening of the automobile industry for the next 10-20 years. Some writers had emphasized that gas mileage was the driving consumer value behind this phenomenon. In 2002, a survey conducted by the Oregon Environmental Council of 596 hybrid consumers uncovered three new values that ranked higher than gas mileage.
1) To pollute the air less 89%
2) Top emit less climate-changing CO2 89%
3) The technology appealed to me 73%
4) To save money on gasoline 71% (Hagerbaumer 2002)
In 2004, a growing shortage of pure hybrids that run as zero emission electric vehicles at slow speeds supported the survey’s findings.
Why can’t Toyota and Ford make pure hybrids fast enough?
1) Software (running the over 80 computerized controllers)
2) Wiring (connecting the system components)
3) Hardware (computer controllers for braking and propulsion)
There’s an estimated $1 trillion back log of unfilled orders for pure hybrids. Preliminary research shows that pure hybrid manufacturers now value systems management. Toyota filed over 300 patents and Ford filed for over 100 to build their pure hybrids. Ford licensed over 20 software patents from Toyota to manage the electrifying of the vehicle.
• Supplying consumer driven zero emissions pure hybrid vehicles
• Servicing manufacturer value driven systems integration solutions
• Researching and Developing innovative value driven gasoline-hydrogen hybrid pure electric systems to bridge the gap from hybrids to hydrogen fuel cell vehicles
Research: the research methods to be used consist of interviews, a literature review and collecting information from different business organizations' web sites. Sources include government/industry statistics, secondary data and publicly available data. The search will also include interviewing five experts in the field whose identities will not be revealed. The outcome of the project will be a feasibility analysis and report.
50 assorted articles including a couple journal studies and many data/webbased articles
Allen, K. R. (2003). Launching new ventures. Boston: Houghton Mifflin Company.
Appenzeller, T. (2004, June). The end of cheap oil. National Geographic Magazine. Retrieved September 27, 2004, from http://magma.nationalgeographic.com/ngm/0406/feature5/
Brant, B. (1994). Build your own electric vehicle. New York: TAB Books.
China’s auto production concentrated in 10 plants (2004, January 24). Xinhua General News Service. Retrieved Augsust 6, 2004, from http://0-web.lexis-nexis.com.opac.sfsu.edu/unvierse/printdoc
Clean machine (2004, September 4). Economist, Vol. 372, Issue 8391. Retrieved September 27, 2004, from EBSCOhost database, Accession No. 14350564.
Driving change (2004, September 2). Economist. Retrieved September 27, 2004, from http://www.economist.com/printedition/displayStory.cfm?Story_id=3127206
Electrifying times (2004, Spring-Summer). Vol 9 No 2
Ford’ first hybrid SUV delivered (2004, September 16). The San Diego Union-Tribune. Retrieved September 27, 2004, from Motor Trend, http://motortrend.com/features/news/112_news60/index.html
Friedman, D. (2003). Renewable hydrogen forum: a summary of expert opinion and policy recommendations. American Solar Energy Society. Washington DC, National Press Club. Retrieved September 30, 2004, from http://www.ases.org/hydrogen_forum03/Forum_report_c_9_24_03.pdf
Future/concept: allessandro volta (2004). Toyota. September 27, 2004, from
Gilinsky A. and McCline R. L. (?). Entrepreneurial strategy: an empirical investigation of the effects of the socially responsible value set on the people resources of the firm.
GMability (2004). Fuel cells & energy, cool car clean future: reinventing the automobile. General Motors Corporation. Retrieved September 30, 2004, from http://www.gm.com/company/gmability/edu_k-12/5- 8/fc_energy/autonomy_hywire_011303.html
Hagerbaumer, C. (2003). Survey of Oregon hybrid gas-electric car owners. Oregon Environmental Council and Oregon Department of Energy. Retrieved September 28, 2004, from http://www.orcouncil.org/reports/HybridSurvey%202003.pdf
Hakim, D. (2004). Hybrid Vehicles Hit the Heartland...Barely. The New York Times June 19, 2004. Retrieved September 17, 2004, from http://0-web.lexisnexis.com.opac.sfsu.edu/universe/document?_m=c450fb7234187d3952d93a7dbd7d1e80&_docnum=8&wchp=dGLbVlzzSkVA&_md5=1850351add749fd3ce4e2a34461c9fb0
Hayden, R and Sadjak, S, (2004). California Fuel Cell Partnership's Road Rally Places Record Number of People on the Road in Zero Emission Hydrogen Cars. California Fuel Cell Partnership. Retrieved September 27, 2004, from http://www.cafcp.org/news_releases-04/2004_09_28_RRIII.htm
Hubbard, G. (2004). Business leaders building a better world: the 12th annual net impact conference. Columbia Entrepreneurship Update. Summer 2004: pg. 2.
J.D. Power and Associates Reports: Anticipated Higher Costs for Hybrid Electric Vehicles Are Lowering Sales Expectations (2003, October 27). J.D. Power and Associates. Retrieved September 27, 2004, from http://www.jdpa.com/news/releases/pressrelease.asp?ID=2003135
McCline R. L. (2003). Lectures.
Motavalli, J. (2001). Forward drive. New York: Sierra Club Books.
Poll tally (2004). National Geographic Magazine Poll @ nationalgeographic.com. Retrieved September 28, 2004, from http://ngmpoll.melia.com/ngm/poll/0406/poll.html
Okuda, H. (2003). Speeches. North American Press Room. Remarks. Washington, D.C. U.S. Chamber of Commerce. Retrieved September 14, 2004, from
Rae, J. B. (1965). The American automobile: a brief history. Chicago: The University of Chicago Press.
Research protocol. Office of Protection for Human and Animal Subjects: Documents Samples. Retrieved September 27, 2004, from http://www.sfsu.edu/~protocol/human/sample_doc/exempt/protocol/E-4-protocol.doc
Rooney, D. J. (2004). Interview.
Salter, C. (2004). Ford’s Escape Route. Fast Company. Retrieved October 9, 2004, from http://www.fastcompany.com/magazine/87/ford.html
Simanaitis, D. (2004). Fill’er up… but whatever with? And wherever from? Road & Track, Volume 56, Number 2: pg 144.
Strattan, R. D. (2004). The electrifying future of the hybrid automobile. IEEE Potentials, August/September, 2004: pgs 4-7.
The White House: President George Bush (2004). Fact sheet: key bush environmental accomplishments. Retrieved September 24, 2004, from http://www.whitehouse.gov/news/releases/2004/07/20040714-2.html.
Traister, R. J. (1982). All about electric & hybrid cars. Blue Ridge Summit: TAB Books.
Writing the plan (2004). SBA: starting your business: business planning. Retrieved September 27, 2004, from http://www.sba.gov/starting_business/planning/writingplan.html
Yan, L. Y. (2004, March 26). China's new auto recall regulation may be a lemon. Asia Time Online. Retrieved September 28, 2004, from http://www.atimes.com/atimes/China/FC26Ad01.html
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