Title: Improving electric vehicle economics | McKinsey
Headings: 
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An industry in a jam
Consumer preferences on electric vehicles
Product availability
Electric-vehicle economics
Regulatory tailwind
Accelerating toward profitability
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Optimize electric-vehicle designs for the market
Exhibit 2
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Design simplifications and value-neutral decontenting
Optimizing for urban mobility
Final assembly optimization
Partnership during the transition
Boosting margins beyond cost cutting
Communicating electric-vehicle economics to customers
What a teardown of the latest electric vehicles reveals about the future of mass-market EVs
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Exploring new business models
Operating in an increasingly complex environment
Product design
Capital allocation
Changing mobility dynamics in cities: Micromobility’s role
Fast forward to 2025: Electric-vehicle cost parity
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Content: Improving electric vehicle economics | McKinsey
Making electric vehicles profitable
Most OEMs don’t profit on selling electric vehicles. But addressing elements of the product and business model can put them on a better path. We have a clear roadmap for EV profitability. The future looks bright for electric-vehicle (EV) growth. Consumers are more willing than ever to consider buying EVs, and sales are rising fast. Most major markets have consistently registered 50 to 60 percent growth in recent years, albeit from small bases. More new models from a growing cadre of automotive OEMs make finding a suitable EV easier: in 2018 alone OEMs launched about 100 new models and sold two million units in total globally. Likewise, performance improvements continue with respect to range, performance, and reliability. Regulations in major car markets—namely China, the European Union, and the United States—compel OEMs to produce more EVs and encourage consumers to buy them.