Speeding Ahead to a Better Place

By: Alison Berkley Wagonfeld and Elie Ofek

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Synopsis: In mid-2008, Shai Agassi, CEO of Better Place, is in the midst of planning a paradigm shift in clean transportation. In an attempt to wean the world from using gasoline-powered vehicles, his company is playing the role of innovator and integrator for new vehicles, charging spots, and battery switch stations. The effort also requires aligning various parties, from governments to auto manufacturers to consumers. The fledgling company has made good progress in both Israel and Denmark as the first two launch locations but faces a series of decisions on the best course of action going forward. Agassi must decide how best to market in these two countries given the likely adoption challenges once the infrastructure and cars are ready, as well as decide how quickly to begin pursuing other countries (and if so, which ones). A big part of the Better Place solution relies on a novel business model that needs to be evaluated for its attractiveness and feasibility.