Analyzing the Factors Influencing Electric Vehicle Adoption in Indonesia: An Interpretive Structural Modelling (ISM) Approach

Abstract

The automotive industry plays a crucial role in Indonesia's development, by contributing to economic growth and employment. However, the environmental impact of conventional vehicles necessitates a shift to more sustainable alternatives. This research helps identify and analyze key factors influencing electric vehicle adoption in Indonesia, focusing on supply chain challenges, policies, cultural preferences, logistics, and infrastructure. Using CVI as a validation method and an Interpretive Structural Modelling (ISM) approach, this study offers a systematic understanding of the interrelationships between these factors. These findings will help policymakers, manufacturers, and supply chain operators formulate effective strategies to address these challenges. This research is crucial for accelerating the transition to electric vehicles, reducing carbon emissions, and promoting a more sustainable transportation system in Indonesia. Based on the results provided, several key factors were found that the connectivity of the items was interrelated.