Expansion

[DDB]

I've been following Aptera for a while and am curious as to why this company does not start to expand in to other states or markets in general.

Is it that the product isn't developed yet? The capital isn't there? The infrastructure for service and retail just not available?

There's obviously a demand... Anyone have thoughts on this?

[KarenRei]

This is how investment normally occurs in businesses like this -- they go through rounds where they raise private VC funding. In each round, they need to meet their goals to earn enough investor confidence to get the next round, which is usually a significantly larger amount of money.

There is a fair amount of risk with each step. Investors like to see that risk retired before they throw more money in. But believe me, if they can get a line working, they'll have tons of money thrown at them.

[SpyderMike]

I think it has to do with being smart and keeping the first gen close to home. This greatly reduces the service cost potential. Service under warranty is a bottom line loser, and service/support costs can get out of hand pretty quickly when you establish bases at distant locations. Think of facilities, inventories, dedicated techs, etc. waiting for things to break.

They are best to handle things closely until the reliability is established and the cash flow is quite positive. Dispatching someone from OC into CA to fix something is a lot cheaper. They should open a place in northern CA if sale dictate a base there and then work the bugs out of the support system required and branch from there (or sign with preestablished service centers).

Mike

[swinti]

Originally Posted by DDB

I've been following Aptera for a while and am curious as to why this company does not start to expand in to other states or markets in general.

Is it that the product isn't developed yet? The capital isn't there? The infrastructure for service and retail just not available?

There's obviously a demand... Anyone have thoughts on this?

In my opinion APTERA follows under the reality circumstances exactly the right strategy.
Developing quiet, starting pragmatic in the neighbourhood and then maybe expanding.
The constant capital raising is also absolutely normal for a high risk venture like APTERA.
If, how and when it will end is an other story.
I hope it will come to a great success and not end like the sad SWISSLEM.