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Should auto makers be spending more money on research and development? Recently, I was asked this question. Well, if we are asking should car manufacturers be mandated to spend more on research, well, I'd say no, they should be doing what's in the best interest of their shareholders, and that means delivering products to their customers which are desired at price points they are willing to pay. If the consumers are demanding hybrid or electric cars, then they should be making more of them, but only if they can do this and still retain a profit.
Another issue is the reality that with electric and hybrid cars we need better battery technology, which has been steadily forthcoming, I am happy to report. Indeed, I've poured through on the discoveries and our think tank has closely examined all the data. Good progress is being made. Still, I was after explaining all this I was asked again; "Absolutely that is a fact for sure. But are the car companies putting down as much energy as they could do in that research?"
Well, why should they? I retorted. You see, cars run really well on diesel and gasoline already. Electric cars often cost more to make, and so people can't always afford them. Plus, elements like Lithium are expensive too. And who has the Lithium, we have a bunch in the US, but we have very restrictive mining regulations here. Bolivia has some but Evo Morales, the President of Bolivia, is a not very predictable. And there is socio-economic turbulence in that country, and they have nationalized (stolen) equipment from foreign corporations running their other mining operations.
It doesn't help to have an unstable government in a country with a good chunk of the natural resources the world needs to bring electric and hybrid cars into fruition to enjoy such an alternative future in transportation. The President of Bolivia is an elected president, but some say he acts more as a dictator there as he puts his opposition in prison. Other say that he's not even a good sportsman, after he kneed a fellow soccer player in the groin during an exhibition match for the Bolivian people.
The entire supply chain has to be in order to produce hybrids and electric vehicles, just as the funding for research must be in place, along with buyers lining up to buy them once they are produced, so it's just not as simple as demanding that companies spend more on research and development. Luckily, however most are already. Ford, GM, Tesla, Volvo, Toyota, Honda, Hyundai, Daimler, Chrysler are all working on these things, have been for years.
Did you know that we've had electric cars and such technology since 1900. Incidentally, I've visited several research facilities of major auto manufacturers, both foreign and domestic. We have all the technology we need now to do everything we need, but the cost due to REE (Rare Earth Element) spikes, and resource wars has check-mated the transition. Indeed, some of the biggest research money donators have been Oil Companies, along with the DOE here in the US.
That's all for now, I hoped I've answered your questions. Please consider all this.
Lance Winslow is the Founder of the Online Think Tank, a diverse group of achievers, experts, innovators, entrepreneurs, thinkers, futurists, academics, dreamers, leaders, and general all around brilliant minds. Lance Winslow hopes you've enjoyed today's discussion and topic. http://www.WorldThinkTank.net - Have an important subject to discuss, contact Lance Winslow.
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