It's not that we don't want the P1-E to succeed. After all, it will probably be a blast to drive and it'll be the first British car ever built that has no possibility of leaking oil. The problem is, it's really hard to start a car company. "Cars are really difficult to build, the supply chain is long and complicated, and it requires tons of capital," venture capital investor Christian Reitberger told WSJ.com, speaking of why Think failed.
In addition to the general lack of available capital, Think suffered particularly when oil prices dropped and funders weren't willing to back an electric car that had lost some of its advantage against gas-based competitors. Even if they could've raised the cash, their suppliers couldn't. American manufacturers of panels and electronics shortened payment delays and demanded money upfront. While JJAD is offering something far more desirable than a $30,000 plastic subcompact, we fear they'll still suffer from the same lack of buyer interest that all car companies face. Just look at Tesla. They gained a stronger foothold than any other EV maker, but recently raised prices to shore up financing for future production.
