Abstract Electric vehicle (EV) charging is still time-consuming compared with traditional vehicle refueling, making many consumers hesitant to make the switch. As a solution, battery swapping allows EVs to get energized within minutes. As economies like China embrace the emerging battery swap market, relevant automakers face strategic choices between self-operation and authorization. This study establishes game-theoretic models of a duopoly EV market comprising two automakers and a battery swap market involving an additional third-party operator. Each automaker may run its own battery swap service entirely or license at least part of it to the third-party operator. The results suggest that authorization is typically optimal for a competitive automaker, as its collaboration with the third-party operator enhances both EV market demand and battery swap serviceability, leading to increased social welfare in 99% of simulated cases. Practical implications are discussed for promoting EV industry chain development with the new link of battery swapping.


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    Title :

    Strategizing battery swap service: Self-operation or authorization?


    Contributors:
    Yang, Zhaojun (author) / Lei, Quanlong (author) / Sun, Jun (author) / Hu, Xu (author) / Zhang, Yali (author)


    Publication date :

    2022-01-01




    Type of media :

    Article (Journal)


    Type of material :

    Electronic Resource


    Language :

    English




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