Innovation created from differences in regulations: A case study of the electric-assist bicycle

Electric assist bicycle (e-bike) technology was developed by various companies around the world. Although Swiss company Dolphin E-bikes has started the development of this technology first in the world, Japanese company Yamaha motor was first launched electric-assist bicycle product in the world. In Japan, the targets of this product are women and elder people who have weak physical strength. However, this technology which accomplished in Japan is progressing in the European sports type bicycle. Another Swiss company Biketec entered the European market by using the Japanese unit. This is because the Japanese e-bike technology has been developed to pass the regulation in Japan. Japan's Road Traffic Act relates to a bicycle is the most stringent in the world. In order to clear this regulation, Yamaha developed some of the advanced control technologies. China-made electric bicycle which runs by pressing a button can not be sold in Japan. In Japan, when the regulation of road traffic law has changed, the market of e-bike has e,panded for people with weak e,ercise capacity. Despite the China made electric bicycle is selling in Europa because of la, regulation of e-bike, e-bike technology developed by Japan is e,panding in the sport area of Europe. From this case, I will discuss the importance of companies to management regulations as a technology management.