Evaluation of the Development Capability of the New Energy Vehicle Industry: An Empirical Study from China

In order to alleviate the pressures of environmental pollution and the energy crisis, and to lay out and capture huge emerging markets as soon as possible, all countries in the world are vigorously developing new energy vehicles (NEVs). This paper analyzes the factors influencing the development capability of the NEV industry from the aspects of autonomy, controllability, and stability, and constructs an evaluation index system. Based on the improved entropy method and the catastrophe progression method, we establish an evaluation model for the development capability of China's NEV industry and comprehensively evaluate the development capability of 15 new energy auto companies. An empirical analysis finds that the outlook for the overall development capability of China's NEV industry is not optimistic, and there is a big gap in the industry, lacking core technology and independent innovation capability. We propose countermeasures such as increasing research and development (R&D) investment and innovation, and improving policy support.