Development of Danish e-bikes and its impact on New York City

1. Abstract 

An electrical bicycle is a tool that is produced with the combination of a bicycle with an electric

component as a means of transportation. Promovec is a Danish company which produces electric

bikes. In New York, as in many other cities, Promovec's goal is to increase the use of e-bikes. This

paper examines different strategic aspects of New York which gives us better understanding and

knowledge about launching e-bikes in New York. By the usage of qualitative methods this paper

examines the impact of e-bikes in New York City. It has been argued why separate lanes for the

bikes in the city are necessary. Little is yet known about the substitute of Danish e-bike, this paper

also discusses the advantages plus disadvantages of e-bikes. Overall, the result suggests that it is a

great opportunity for the Promovec company to expand e-bikes to New York city. 

2. Introduction 

E-bikes are in constant development both in terms of design but also in terms of sustainability, due

to the increased focus on green energy and a healthy lifestyle on a daily basis. An electric bike is a

bike with an electric motor and a battery. 

Promovec is a danish company that offers environmentally friendly e-bikes with a new form of

technology that can take you from A to B in an alternative way as the following quote elaborates:

“We constantly improve and assess the quality of our products and services by recruiting talent and

ensuring that all materials and products comply with international tests, resulting in satisfied

customers…” (Promovec, 2022). 

 
Promovec has already expanded their products to Pennsylvania successfully and are now

considering expanding further into the American market to increase their influence on e-bikes. “We

are expanding our presence in North America for several reasons… Firstly, service is imperative for

both us and our continuously growing portfolio of customers. Many of which are international

cargo bike manufacturers experiencing massive growth in the American market.” (Sørensen, 2022). 

In order to expand its products to North America, Promovec has chosen to enter a collaboration

with PeopleForBikes which is a private organization that claims to be responsible for prominent

places for bikes in transportation and mobility. Promovec is very proud and happy about the

cooperation with them since they are chasing the same goals as the quote here supports: “Promovec

and PeopleForBikes share many of the same values, such as improving people’s health and focusing

on better and more sustainable ways of transportation.” (Promovec & PeopleForBikes, 2022.)

An advantage of Promovec’s expansion and launch of e-bikes in New York would be that the

majority of the residents of the state are financially stable (Elkins, 2019) and can therefore buy the

products. Furthermore, New York is characterized as a ‘blue state’, better known as the Democrats,

which are closer to the western ideals that we are supporters of. New York is one of the states where

a trend is quickly created, such as owning an e-bike and driving around the street scene, since they

are open to innovative ideas. 

Accordingly, the purpose of this paper is to investigate a new market strategy for Promovec’s

expansion in North America, as well as to identify a state where e-bikes will sell successfully so

that a future expansion may be possible in the future for the company. Which state in North

America is the most beneficial to expand to? In the meantime, we are getting one step closer to a

sustainable world. 
 3. Theory

An increased number of e-bikes can support an active and sustainable transport system. In our

analysis, we talk about the cultural, geographical and historical aspects of New York, as it outlines

the potential of Danish e-bikes for the different groups of users that have not adopted this way of

transportation. For all groups, different advantages and limitations should be identified to

implement the Danish e-bikes model in New York in the future. Therefore, it is essential to look at

New York's geographical and historical aspects. 

New York City has the highest population. The city is saturated with traffic which causes problems

for both people and authorities. E-bikes can reduce the number of cars on the road which will not

only reduce traffic jams but also lower the air and noise pollution. To keep our analysis consistent,

we examine New York's business, infrastructural and strategic aspects. However, with so many

advantages of Danish e-bikes, there are also some disadvantages which we discuss later in our

analysis. 

Our data collection is based on internet sites, articles and blogs. By using a phenomenological

qualitative method, this analysis is expected to provide relevant information, knowledge, and effects

on the environment and travel behavior by using a Danish e-bike. The main aim of a qualitative

method is to understand the social and cultural phenomena or a deeper knowledge of the research

object. (Bhandari, 2022) Qualitative research is necessary to investigate norms, background

information and institutional perspective to analyze text and documents. The phenomenological

method helps us to describe experiences, events, and situations from different angles and

perspectives. We use this method to understand why New York is a suitable place for Promovec to

expand its business. Moreover, it also identifies the reason behind the rise in the number of e-bikes
in the last few years. (Nova, 2022) It should however be noted that qualitative research includes

small group discussions for investigating beliefs. (Anas & Ishaq, 2022) But qualitative methods

help us to investigate the issue from an in-depth perspective. To discuss and analyze the expansion

of Danish e-bikes in New York, we used a descriptive qualitative method. 

4. Analysis

Most of the states in the USA have been a colony, including New York. The state was colonized by

Dutch people and a settlement called New Amsterdam was established. The Dutch took over, with a

different kind of mindset of thinking technology. They were open minded and wanted to get along

because of the state's value of its location in northeastern America. They saw the state as a great

opportunity to trade.

In 1664 the colony surrendered to the British and was renamed New York. It was one of the 13

colonies that battled for independence from England during the American Revolution. (refere) New

York city was the first capital of the United States.

In 1825 the city's economy grew by building the Erie Canal. The canal runs from the Hudson River

to Lake Erie, thus connecting the Great Lakes to the Atlantic Ocean. The result of building the canal

made New York the leader in population, industry and economic strength.   “Steamships, cheap

transportation by rail and canal, abundant labor, and professional expertise made New York

increasingly dominant.”. It is closest to Europe and the Atlantic ocean and therefore became the

trading center for the United States. The state is surrounded by rivers, mountains, and ocean which

plays a huge part in the way it has developed over the years. It illustrates how important the correct

location can make a business opportunity fruitful. New York is now one of the wealthiest states.

Besides New York's huge success in the trade market, they are also known for many cultural

movements which makes the state unique. With a population of 19.5 million with 783,8 km^2 the
state is one of the most popular cities in the world. Not only did they develop within trade, but also

in a cultural way. When the Dutch colonized the state, they entered the land with a different and

innovative mindset. This has followed the state from the very beginning, which resulted in huge

tourism. Several millions visit the states and its five boroughs: Bronx, Brooklyn, Manhattan,

Queens and Staten Island. The State is known as the city that never sleeps due to its diverse culture

and myriad of entertainment options. (refere). In the 20th century Irish, Italians, Jews, Asians and

Hispanics migrated to New York. The state’s long history of immigration and diversity is what

makes the state exceptional. The state's society and identity are made of the different cultures

merging together through time. “New York is now one of the leading financial and cultural

centers of the world.”

It would be a great strategic move for Promovec to take on the New York City market now before

all the new “upgrades” are done. There will be some infrastructural upgrades for bike lanes all over

New York City which will benefit the biking market, so by infiltrating the market now and getting a

grip of it, before all the new improvements, will only benefit the company in the long run. The

Department of Transportation in New York City is currently replacing over 20 miles of old plastic

bollards with new concrete made barriers, which will make it safer for the bikers to cycle in the city.

(Rajamani, 2022)

These news will make a larger number of  New Yorkers willing to cycle around the city, as they can

feel a bit safer in the traffic especially during rush hour, where the traffic can be really cramped up. 

This type of strategy is also known as market development which is about penetrating a new market

with an existing product assortment. The goal of the strategy is to get a higher revenue and to make

the brand stronger by making it more well-known among a new audience, which in this case are the

New Yorkers. The strategy could also be market penetration, because Promovec is trying to get a
better grip of the whole American market including getting a higher market share. For these reasons

Promovec's entry into New York can have these two types of growth strategies. 

New York City could be a big opportunity for Promovec. Promovec bikes could do incredibly good

in this city, even though there are already so many substitute “products” or solutions for the

consumer to choose from in the market. These substitute products include public transportation,

taxis, private cars and so on. The reason is that the consumers are slowly moving to a more

sustainable and environmentally friendly mindset and they’re more willing to choose the more

expensive choice for that purpose, which in this case could be a Promovec bike. A substitute

product which could be a problem for Promovec for this target group, is the electric scooter, which

currently is booming in popularity. This product tends to be easier to move around and is small

enough to take within a building, while a bike can’t. But there is also the consumer that still would

prefer the bike, on the grounds that it’s the healthier choice. 

Another cause could also be that the metro and bus options are currently outdated, and the metro is

especially known for how dirty and packed it is. In 2021 the public transportation of New York had

a revenue of 5.775 million dollars, which is much smaller than it used to be pre the Corona

pandemic. The public transportation had a revenue of 9.043 million dollars in 2019 before the

pandemic and it will properly get to that number again in the near future, since the covid-19 virus is

no longer a life threatening sickness and therefore the pandemic is no more. (Salsa, 2022)

Nevertheless, that is a huge amount of money, which Promovec could try to take a cut of. They

could try to take advantage of the poor performance of public transportation and the ongoing

upgrades of the bike lanes and launch their product line on the New York City market. 

It is also a better choice than buying or leasing a car, because of the extent of the enormous traffic

which occurs daily, the lack of parking spaces and the prices for parking in the city, which is

ridiculous. (Spot Hero, 2022)

 5. Conclusion 

As a result we conclude that Promovec’s expansion would be a great opportunity for the company

in the state of New York, considering it would be a perfect match for them both. The NYC

Department of Transportation has invested in improving cycling opportunities for their citizens in

hopes of ensuring a better sustainability footprint. New York has previously had problems with an

overworked transportation system that couldn’t handle the pressure of the large population.

Therefore is it a priority for the Government to provide a better, sustainable and cheaper way for

their citizens to commute through the city. Promovec could therefore successfully market their e-

bikes because the demand is exactly what New York needs to be an improved and sustainable state

in the future.   
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