Coordinating Installation of Charging Stations between Electric Vehicle Manufacturers

Abstract

This study aims to analyze the cooperation and competition between electric vehicle firms on the decision of the charging station investment considering its network effect. The strategies of electric-vehicle firms include collaborating on the building charging station and independently investing in charging stations. Based on different competition cases and electric-vehicle firms' strategies, this study examines the optimal strategy for firms and the influence of the network effect of charging stations on firms' decisions. This study provides important managerial implications that can be utilized as strategic guidance for electric-vehicle firms to gain profits and for government to promote electric vehicles deployment.

Keywords: Electric-vehicle, Charging Stations, Cooperation, network effect