ZAP (OTCMKTS:ZAAP): Time To Accelerate?

Boston, MA 03/10/2014 (wallstreetpr) – ZAP (OTCMKTS:ZAAP) is still convinced that despite setbacks in its three-wheeler electric car that ended up with costly buyback, there is lots of opportunity in its business plan.

The company has said that it is going to bring to the market a new electric car that can be powered by both lithium-ion battery and lead acid. The car will be competitively priced, taking advantage of the incentives from the Chinese government. But with memories of the past attempts to take the company’s performance to the next level being punctuated with failures, it is worth asking if this time around it will be different.

Can ZAP to it as peer Tesla?

ZAP (OTCMKTS:ZAAP), like Tesla Motor Inc (NASDAQ:TSLA), is playing into the concerns of global warming and the whole idea of having cars on the roads which contribute towards preserving the environment. The other aspect is the safety of the cars.

In developing electric cars, manufactures set to kill several birds with a single stone. So far it can be said that Tesla is executing well. The company is not only winning a lot of investor confidence, but it is witnessing increasing orders for its cars. Thus, indicating that it is possible to generate revenue and profit in the electric vehicles market.

However, as for ZAP (OTCMKTS:ZAAP), many questions linger. Can the company develop car with wide market appeal? How will the U.S. market react to its upcoming commuter car? And so forth.

Getting the new car to the market

ZAP (OTCMKTS:ZAAP) has announced that its coming-soon car will first be available to Chinese consumers. Note the car is being launched by the company’s Chinese subsidiary. Chinese customers will hopefully get a test of the car from June. The management also has its eyes set on taking the car to other commuter car markets like South America, Eastern Europe and the U.S.

We can clearly see that ZAP (OTCMKTS:ZAAP) has big ambitions and this is something for investors to cheer about. However, good plans are far from realities. It will be all good news if the car turns out to be successful to help the company to generate stable revenue flow that has eluded it for quite some time.

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Published by Flavia Carruth

Hi, I am Flavia and have done my MBA with finance as specialization and a Bachelor in Economics with 4 years of experience as Financial Analyst in leading Software Firm. I have passion for article writing, report making and stock market Analysis.

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