Following the news that Tesla car demand picked up in Japan after aggressive price cut, an analyst has told just-auto that Japanese OEMs need to take note of Tesla's actions and rely less on hybrids. Bakar Sadik Agwan, Senior Automotive Consulting Analyst at GlobalData, said the uptick in the domestic market for the mid-range electric sedan Tesla Model 3, the company's most affordable EV, is a result of significant price cut of 24% announced last month. "The development signifies the importance of pricing strategy for EV transition and customers' affinity towards cheaper products," Bakar says. "Japan is a strong market for hybrid vehicles with sales soaring nearly a million per year. On the other side, battery electric vehicles (BEVs) sum up to volume of approximately 21,000 units of the total 5.2 million automotive market annually i.e., less than 1%," he notes.