Competitive Position and Production Strategies of Voltamotive

Voltamotive Inc.
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Background
Voltamotive is one of the leading manufacturers of electric cars. It competes with Tesla in the production of electric cars. The growing demand for eco-friendly cars and the need to prevent environmental pollution caused by the emission of greenhouse gases influenced Voltamotive to manufacture electric cars. The year 2023 could set a new record for the company as it expects to sell millions of cars during the first quarter. Currently, the Electric vehicle market is still a rather small segment of the automobile industry, and companies compete with each other to position their technologies and products (Grosjean et al., 2012). Voltamotive aims to beat Tesla, the leading producer of electric vehicles at the moment. The company is confident it will achieve this vision because its operations have scaled up rapidly, and its products have proven reliable based on performance, technological advancement, and autonomy.
Voltamotive's ability to provide its customers with high-quality products and services gives it a competitive edge over its rivals. While other companies bemoan all-electric transportation, Voltamotive has developed a strong brand, creating attraction for EVs. The company has also dedicated itself to serving the environment through its businesses and ensuring that its products are environmentally friendly. This strategy gives Voltamotive a competitive advantage because of its significant contribution to clean energy. Voltamotive also invests hugely in research and development (R&D) to improve customer experience with its products. For instance, through R&D, Voltamotive has introduced Artificial Intelligence (AI) to improve safety, efficiency, and performance. This has enabled the firm to maintain its competitiveness and core competencies in the automobile industry.
Before the COVID-19 outbreak, Voltamotive saw growth in the production and sale of its products. However, the pandemic hit the company hard, disrupting its supply chain. COVID-19 forced the company to slow down production. Materials needed to produce electric cars could not be easily shipped due to a lack of transport modes. Many airlines suspended their flights and restricted the movement of cargo planes (Wen et al., 2021). Delivery trucks and maritime transport were also restricted. Lockdown policies disrupted the supply chain by increasing trade costs and delaying or prohibiting border clearance (Wen et al., 2021). Due to COVID-19 protocols, Voltamotive experienced a major shortage of semiconductors and other essential raw materials required to manufacture green cars. The existing products could also not be shipped. In other words, the entire supply chain disrupted the company’s operation. Despite a gradual easing of government restrictions, the company still feels the impact of COVID-19.
Issue
Voltamotive needs to adopt a production strategy to lower production costs and supply chain risks. As noted, the company competes with Tesla as the manufacturer of electric cars. Therefore, developing strategies enabling it to produce at a competitive cost and with limited supply chain risks gives Voltamotive an added ...