Valencian businessman Manuel Palma (although born in Córdoba) predicts that by the 2030s, combustion engines will be obsolete and is betting on affordable electric cars with high autonomy.
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The entrepreneur maintains that the market will migrate to electric vehicles in the next decade.
Manuel Palma was born in Palma del Río (Córdoba) in 1959. Coming from a humble family, he arrived in Valencia in 1980 to do his military service. There, he discovered his entrepreneurial vocation and, after working as a mechanic, he began buying and selling vehicles. When he finished his military service, he decided to stay in Valencia. He has been involved in the automotive sector for more than four decades.
After selling more than 150,000 cars and managing up to 12 dealerships, he is now convinced that the combustion engine is in its final years. ‘From the 2030s onwards, sales of combustion engine cars will be negligible,’ he states categorically. His next vehicle will be electric, although he issues a warning: ‘We have to wait for prices to fall and range to improve.’ Palma has also made a name for himself as president of the EDEM business school, where he continues to teach and maintains close institutional ties. He is currently a member of the advisory board of Banco Sabadell.
In his lifetime, he has sold more than 150,000 vehicles at his 12 dealerships.
A leading figure in the sector gives his opinion on electric cars
Palma arrived in Valencia in 1980 to do his military service and, after working in a workshop, discovered that buying and selling cars could be a business. Four decades later, his career includes the presidency of the Edem business school, membership of the advisory board of Banco Sabadell and the sale of thousands of vehicles of different brands.
The entrepreneur recalls that in his best years he sold 7,000 units annually. ‘Today that’s impossible: before, the market was divided between six brands, and now between 50. To maintain that structure, I would need to absorb a lot of brands, with a very high risk,’ he explains. In 2024, he chose to lease his facilities to the Marcos Group and leave the direct business.
Convinced that ‘manufacturers who do not commit to electric vehicles will disappear’, Palma points to two key conditions for accelerating adoption: price and range. ‘It makes no sense for an electric vehicle to be more expensive than a combustion engine vehicle when its mechanics are simpler. In addition, the range should increase to 800 or 1,000 kilometres to be truly competitive,’ he argues.
In his opinion, electric vehicles will have reached that figure in five years and the change will be irreversible. ‘All manufacturers are investing in this technology. Those who continue to focus on combustion will be left out of the market,’ he warns.
China and Europe: an uneven race
Palma views the industrial transformation in Europe with concern. “We have shot ourselves in the foot. We were leaders in combustion engines and we have moved on to electric, where the Chinese are the best: they have the technology, the engineers and the factories, without our social costs. Competing like this is almost impossible,‘ he laments.
The businessman also calls for a review of taxation: ’It cannot be that a petrol Porsche pays the same VAT as an electric car. We need to really incentivise the transition.”
Beyond figures and trends, Palma advocates a business philosophy based on customer service. ‘In my group, we give all employees a manual: if the king came to enrol his daughters, how would you serve him? Well, you have to treat every customer the same, whoever they are, without judging them by their appearance or status,’ he explains.
An amateur marathon runner, with some twenty races and ten times under three hours under his belt, Palma finds parallels between sport and business. ‘In a marathon, you learn to enjoy the suffering. It’s the same in business: you have to get up early, train, overcome problems with customers, products and staff. If you enjoy it despite everything, you’re doing well.’
Manuel Palma has no doubts: the transition to electric cars is unstoppable.
‘My next car will be electric.’
After leaving the automotive industry, the Palma group is now focusing its efforts on education, social services and real estate. It manages three schools with more than 1,000 students, several residences and a large portfolio of properties. ‘During the pandemic, we did not have a single death in our residences. We want to continue growing in sectors where we can add value,’ he says.
Palma sums up his management philosophy with a phrase he repeats to students and entrepreneurs: ‘Spend as if you were poor and invest as if you were rich.’ He advocates taking risks in moderation and avoiding debt exceeding 25% of equity. “I’ve had successes and failures. Even in the automotive industry, where I invested a lot and earned little in recent years. But everything is a learning experience,‘ he says.
At 66, the Cordoba-based businessman is clear: the transition to electric mobility is not optional, but an unstoppable process. ’The electric car is fantastic: it doesn’t pollute, it doesn’t make noise and it’s easy to manufacture. All that’s missing is for it to be accessible and for its range to take a leap forward. Change will come and it will be definitive,” he concludes.
