Market Challenges And Opportunities

Distinct regulations by government bodies and high initial costs of these vehicles are expected to be among the prominent industry growth challenges

Mclaren’s BP23 expected to be launched in 2018, is expected to be majorly challenged by the Australian Design Rules (ADRs), according to the company’s spokesperson. Similar to other regulatory challenges and infrastructural drawbacks are expected to present major growth challenges to the industry growth. Moreover, the price range of these vehicles is all over a million dollars due to which these vehicles are expected to remain a luxury asset. However, industry participants are increasingly taking initiatives to reduce the overall costs. For instance, next-generation Honda NSX featured to be an all-electric car, has earned the title of 'poor man’s Porsche 918 Spyder'.