What is the future of the Automotive big Players?
Of course, the Incumbents must not give up.
But they must understand that they have to:
● work for the present, but must do so being aware that they, with their current setting (structures and mindset), can only succeed for the current transition period (until the real Disruptive Innovation that today the new Demand requires, will not have saturated the market).
● work for the future, but in a completely different dimension than the one in which the big players now operate (see below).
The development of Electric Vehicles in their current concept, of electrified cars, presents a couple of problems:
1) the Market requires a disruptive innovation, which is a necessity, not an option: the Customers realize that electrified cars do not solve at all the problem of urban Mobility (the most significant part of mobility), and they are waiting for something new.
And when disruptive innovators will satisfy this demand (with products totally different from current ones) it will be too late for the big Players.
(The current electrification of traditional Cars is laughable as was the “motorization” of horse carriages – before the design of the current Cars).
<see my Project .LiteMotive: the new future of Mobility>
2) the big Firm just can’t, due to their intrinsic limitations, innovate themselves. <see The Company Immune System: why the big Companies cannot develop real innovation>
However, the current big Companies can
● devote themselves (for a few years) to developing improvements to existing cars. As long as they understand in which direction this form of incremental innovation should go: certainly not in the direction of a further increase in sophisticated technologies. <see Disruptive innovation is not based on technologies >
What needs to be done is an improvement of the Car as a Service concept.
For example, why don’t you develop a system that allows you to detect the presence of a speed limit, warn the driver – perhaps with the projection of signals on the windshield, like an airplane – or with automatic speed lowering?
● and at the same time create spin-offs that allow them to make a fresh start on the market <see How can companies change themselves?>.
Consider that the new Electric Vehicles will be much more likely to be developed by something like a Joint between a manufacturer of “home appliances” and one of bicycles, than by a current Big Player of Automotive.