This study uses an integrated model utilizing a small-world network and choice-based conjoint
adoption model to examine the dynamics of consumer choice and diffusion in the
hybrid electric vehicles market. It specifically compares the effectiveness of hybrid diffusion
through the traditional word of mouth and via social media. The results show that
without the advantage of increased gasoline prices, the growth of the hybrid vehicles market
is insignificant, and that the Internet has a significant influence on the word of mouth
effect in the purchasing process. Hybrid electric vehicles market shares decrease dramatically
as a result of negative word of mouth communication via social media. The use of a
higher fuel taxes is more effective than providing a subsidy for disposing of old vehicles
and purchasing a hybrid.