Fuel Efficient Vehicles

Abstract

Consumers have been slow to switch to more fuel efficient vehicles, in spite of the threat of a future global shortage of fossil fuels. To understand consumer reluctance to adopt hybrid automotive technology, this chapter begins by reviewing consumer decision-making with regard to consumer automotive purchases. We examine the market for fuel efficient vehicles (FEVs) and alternate fuel vehicles (AFVs), including a discussion of consumer willingness to trade personal comfort in order to buy more fuel efficient vehicles, and consumer price sensitivity with regard to purchasing higher-priced alternative fuel vehicles including hybrid-electric vehicles. We discuss the tenuous link between environmental attitudes and behavior, and outline the role of social marketing in creating behavior change relating to automotive purchase decisions.