The factors influencing on “made in Vietnam” electric cars demand

• Published in: Uncertain supply chain management 2024-06, Vol.12 (3), p.1981-1996
• Main Authors: Anh, Nguyen Thi Van, Tung, Hoang Thanh, Hung, Lam Tuan, Tuyet, Truong Thi
• Format: Article
• Language: English
• ISSN: 2291-6822; 2291-6830
• DOI: 10.5267/j.uscm.2024.2.007

This article examines the factors affecting the demand for “Made in Vietnam” electric cars. The research results 6 main factors affecting the demand for “Made in Vietnam” electric cars including (1) Prices of “Made in Vietnam” electric cars; (2) Consumer income; (3) Consumer taste; (4) Price of related goods (including substitutes and complementary goods); (5) Market expectations for “Made in Vietnam” electric cars; (6) Policy institutions and consumers’ psychology towards environmentally friendly products. On that basis, the research team used Eviews8 software to test the impact of price factors and related commodity prices on the quantity and demand of electric cars. The results also indicate that when the price of “Made in Vietnam” electric cars increases by 1%, the quantity demanded for “Made in Vietnam” electric cars decreases by 1.39%; When income increases to 1%, consumers will be willing to save 0.26% to buy an electric car. If the price of substitute goods increases by 1%, the demand for “Made in Vietnam” electric cars will increase by 1.91%, and if the price of complementary goods increases by 1%, the demand for “Made in Vietnam” electric cars will decrease by 3.12%. From the results obtained, the research team has some recommendations to stimulate demand for “Made in Vietnam” electric cars, a product with many advantages in the green fuel era.