Development of a Cause-and-Effect Model for Analyzing National Competitiveness of the Electric Vehicle Industry

Abstract

In a world where energy conservation and environmental protection are growing concerns, the development of electric vehicles (EVs) has taken on an accelerated pace and drawn high levels of interest across many developed and developing countries. The purpose of this study is to explore what constitutes national competitiveness in EVs development and how one nation can efficiently achieve that development in its EV industry. We used Porter’s diamond model as an underlying theory to describe the sources of national competitiveness. The DEMATEL method was employed to analyze the structural model and reveal the cause-and-effect relationships of the sources of competitiveness. Having identified the causal relationships and strengths of those competitiveness sources, we formulated a path with clear and logical links that lead a nation to achieve the best results when establishing an emerging industry.