Student Seminar by Ms. Busra Bayrak on Jul 29, 2026, 3:00PM

Title: HFCV Adoption Under Externality: Low- and High-Travel-Distance Consumers

Speaker: Ms. Busra Bayrak (Management School, University of Liverpool)

Date: Jul 29, 2026 (Wednesday)

Time: 3:00 pm - 4:00 pm

Venue: Tam Wing Fan Innovation Wing Two, G/F, Run Run Shaw Building, HKU

Registration Link: https://forms.cloud.microsoft/r/sh8i2iympQ

ITS Student Committee will provide a beverage for registered participants.

Abstract: Hydrogen fuel cell vehicles (HFCVs) are increasingly viewed as a viable low-carbon option for transport decarbonization. Yet, HFCV adoption remains limited, mainly due to consumer anxiety associated with safety and convenience under an underdeveloped hydrogen refueling infrastructure. This paper studies HFCV adoption when consumer utility is shaped by network externalities. We develop an analytical adoption model with two heterogeneous customer segments, high-distance fleet users and low-distance private users, and derive equilibrium prices, demands, and profits. Our results show that (i) adoption can progress more rapidly among low-distance users, as segment-level usage intensity and perceived inconvenience shape adoption differently in the presence of externalities, (ii) the equilibrium can exceed the socially optimal adoption level depending on consumer patience and infrastructure maturity, (iii) the planner’s policy should combine infrastructure investment to resolve over-adoption with demand-side subsidies to close the residual under-adoption gap; neither instrument alone is sufficient. The analysis offers insights for manufacturers and policymakers seeking to accelerate HFCV adoption and address infrastructure related anxiety.

Bios: Busra Bayrak is a PhD student in the Department of Operations and Supply Chain Management at University of Liverpool Management School. Her research interest focuses on sustainable operations and supply chain management, particularly the interplay between the triple bottom line, government interventions, consumer behavior, and product adoption/diffusion processes.