1.

By conducting a PESTEL analysis, assess how the general environment would impact the
strategies of Mahindra Electric Mobility Limited (MEML).

A:
Political:
1) Multiple Government departments were presenting disparate views on EV road map, creating
confusion among the stakeholders.
2) With rising India’s oil import bill and international carbon-reduction commitments, Government
has introduced National Electric mobility mission plan 2020 (NEMMP) to promote EVs in India.
3) Energy Efficiency Services Limited was formed under Ministry of Power to influence reduction of
energy consumption.

Economical:
1) Indian Automobile Industry contributed almost 7 percent to the country’s GDP.
2) Batteries - Usage of lithium ion batteries was far more economical than usage of oil in the
vehicles.
3) Battery manufacturing was deemed necessary since it constituted almost 70% of the total cost of
EVs.

Social:
1) Rising income levels and aspirations of the Indian consumers were clearly visible through the sales
numbers in the Automobile Industry.
2)Electric Road transportation was yet to become viable due to dearth of infrastructure such as
charging stations.
3) There was need for fast chargers, parking spots, and swappable batteries that required robust
solutions and public-private partnerships.

Technological:
1) It was technically challenging for companies to electrify small cars and make them affordable at
the same time.
2) Indian consumers were showing a preference for SUVs and companies such as Volvo and BMW
were leading towards manufacturing electric SUVs.

Legal:
1) Various EV friendly offers such as fiscal incentives and facilitated land acquisition for those
interested in setting up EV-charging infrastructure.
2) Subsidies were also provided to public sector companies in the energy saving sector like NTPC,
Power Grid, IOCL.
3) Offering of about 250000 rupees for those who would scrap their existing petrol-diesel vehicle
and purchase EVs.

Environmental:
1) With regulations that required conventional vehicles to comply with Bharat Stage VI emission
standards, demand for EVs would become larger due to cost benefits.
2) Lack of clarity on various micro and macro environmental factors that needed to be addressed to
make the EV dream successful in the country.