December 9, 2023

Shameka Sumrall

Electric Drive Systems

The Electric Motorcycle Revolution: Estimating Prices, Profitability and Payback

Introduction

The electric motorcycle market has grown exponentially over the past decade. It is estimated that global sales of electric motorcycles will reach 2 million units by 2020, compared to 163 thousand in 2017. The electric motorcycle revolution has been driven largely by increasing concerns about pollution and fossil fuels, especially in developed markets such as Europe and America. However, the recent drop in oil prices has slowed down this growth considerably. In addition to its environmental benefits, another attractive feature of electric motorcycles is that they can be recharged from any standard electrical outlet at home or work – unlike gasoline-powered bikes which require having access to a gas station at all times for refueling purposes.

Introduction

Electric motorcycles are a relatively new phenomenon, but they have already begun to make waves in the motorcycle industry. There are several different types of electric motorcycles on the market today that vary widely in price, performance and design. These bikes offer riders many benefits over traditional gas-powered bikes: they’re quieter and cleaner than their internal combustion counterparts; they don’t require fuel or oil changes; they’re easier to maintain because there are fewer moving parts; and some models can even go up to 100 miles per hour!

The downside? Electric vehicles tend not only cost more initially than conventional ones (due largely to battery costs), but you’ll also need an outlet nearby wherever you park your bike or risk running out of juice before reaching home base–or worse yet, being stranded somewhere far from civilization with no way of charging up again until morning!

Market Overview

Electric motorcycles have been around for a long time. In fact, the first electric motorcycle was built in 1894 by Dr. Edward W. Bliss and operated on 12 volts of direct current (DC). The motorcycle weighed about 300 pounds and could reach 20 miles per hour (mph).

In recent years, there has been a lot of hype surrounding the potential success of electric motorcycles as they attempt to compete with gasoline-powered vehicles in terms of price, performance and range. While this technology continues to evolve rapidly, many obstacles remain before we see widespread adoption on public roads:

  • Low battery life makes them impractical for long rides; currently they’re best suited for short commutes within urban areas or university campuses where charging stations are readily available.* High initial costs mean that most riders won’t be able to afford even basic models.* Limited availability means most people won’t have access to these bikes even if they wanted one

Product Analysis

Not all electric motorcycles are created equal. In order to find out which ones are most suitable for your needs, you need to assess them on a case-by-case basis.

  • The average range of electric motorcycles is about 100 miles per charge in real world conditions. This means that if you commute 30 miles each way every day and ride on weekends too, then an electric motorcycle may be right for you! However, if your commute is much longer than that (and most people’s are), then it might not be worth it because charging takes enough time as it is without adding in extra hours every week just so that they can go off into town or whatever else they want done during the day while riding their bike instead of driving their car around everywhere like normal people do who don’t own any form of transportation other than their two feet which will never get tired no matter how far away something may be located within city limits due to lack thereof having any sort of distance limit whatsoever…

Production Process

The production process is the first step in creating an electric motorcycle. The production process begins with materials being gathered, then moved to a factory where they are assembled into their final form. Materials can be found all over the world and shipped to one or more factories depending on their location, or they may be locally sourced as well. Once at a factory, parts are cut out of metal sheets using a laser cutter (or water jet), welded together by robots and then painted by humans who have been trained for this specific task only.

Once completed, an electric motorcycle takes about 2 hours from start to finish if it’s only been partially assembled beforehand: If everything has been put together beforehand then it takes closer to one hour! To give you some perspective – if we were able to produce 100 units per day then that would mean 50 days worth of work each year! It sounds crazy but these numbers aren’t far off from reality; many companies have already reached these levels thanks largely due improvements made over time through trial-and-error experience gained during initial production runs.”

Cost Analysis of Production and Procurement

  • Production cost: This is the cost of producing your own electric motorcycle. It includes all of the expenses that you would incur, from purchasing raw materials to hiring labor and paying taxes on your finished product.
  • Procurement cost: The price you pay for parts and materials needed for production as well as any other goods or services required during production (e.g., shipping).
  • Distribution cost: Includes transportation costs associated with getting the vehicle into customers’ hands once it’s built–whether those customers are located near you or far away in another country!
  • Maintenance/repair costs: Any maintenance work required on your bike over time, including regular checkups at service centers and repairs if something goes wrong while riding (or even just sitting idle).

Insurance premiums paid annually based on risk factors such as rider age/experience level; type of bike being insured (e-motorcycle vs gas-powered); usage patterns such as commuting versus recreational riding etc; annual mileage driven per year etc

Payback Time Analysis and Profitability Analysis

The payback time is the amount of time it takes to recover the cost of an investment. It can be calculated by dividing the total cost of an investment by the amount of money earned from that investment. For example, if you buy a $10,000 car and sell it for $11,000 after one year (a 10{a5ecc776959f091c949c169bc862f9277bcf9d85da7cccd96cab34960af80885} profit), then your payback period would be:

10,000 / 11000 = 0.9090909091 or approximately 91 days (rounded). This means that after 91 days you have recovered all your initial costs plus made some extra profit as well!

Payback periods are important because they show how long it will take to recover your initial investment in something like an electric motorcycle if its value decreases over time at some rate known as depreciation (or deprecation).

Electric Motorcycles are still not competitive but are getting closer.

Electric motorcycles are not competitive yet, but they’re getting closer.

There are many challenges to overcome before electric motorcycles can become a viable alternative to gasoline-powered bikes. The technology is still immature, and the market is still in its infancy–it will take time to develop the infrastructure and charging network necessary for widespread adoption.

Conclusion

In conclusion, it is clear that the electric motorcycle market is still in its infancy and has a long way to go before reaching profitability. However, as we have seen from the analysis above, it seems likely that this will happen sooner rather than later.

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