We formulated a dynamic marketing model and explored the market share and penetration of HEVs in Taiwan. When the
price of gasoline rises, consumers are more concerned with the fuel cost savings associated with HEVs and less with the increased
price of the HEV, resulting in an increased HEV market share. However, the impact of gasoline price on the HEV market
becomes negligible if the HEV is priced beyond an acceptable level. The evidence indicates that Internet-WOM increases
the market share of HEVs, but when there is negative WOM, the Internet is more influential media than social networking in
spreading negative information. The implementation of additional fuel taxes is more effective for promoting HEVs than providing
a subsidy for disposing of old vehicles when purchasing a HEV. However, the government in Taiwan should pay attention
to any public backlash when implementing a fuel tax policy