Tesla Core Competencies

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Tesla Motors Inc.

Formed as a legal corporation, Tesla Motors, Inc. was founded on July 1, 2003 which designs, produces, and sells vehicles which are empowered by the use of electricity, and not the usual vehicles which are gasoline-empowered (Reuters n.d.). The group of engineers in Silicon Valley who founded Tesla Motors, Inc. wanted to prove that electric cars are way better than cars which are powered by gasoline (Tesla 2015). The company further designs, produces, and sells components of electric vehicle power train to other manufacturers (Reuters n.d.). It is through the use of energy management technologies and manufacturing processes that those stationary energy storage products are produced (Reuters n.d.). Such produces are used
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has unique resources and core competencies which help the said organization achieve competitive advantage over other companies. According to Shahan (2015), Tesla’s huge competitive advantages are as follows: (i) the batter supply chain is building for itself; (ii) its wonderful supercharger network; (iii) its software is several leagues above the competition; (iv) it has a reputation of building superb products that amaze people; and (v) it has a want to serve customers in a direct and honest way. One unique resource of Tesla is its batteries. These batteries are routinely estimated to be a good tier cheaper than other EV batteries (Shahan 2015). The company constantly works to improve its batteries over time and the latter are valuable far beyond electric vehicles. It is of but consideration that consumers want ubiquitous fast-charging stations (Shahan 2015) and Tesla was able to build its own supercharger network which is incomparable. Another competency of Tesla is that fact that its approach to software is a tier above the competition (Shahan 20215). The usual cars were big machines with small computers in them. However, the future poses a possibility that care are going to be computers on wheels and this is where Tesla is leading the transportation system. With an electric car, the improvement capabilities that come from better software are beyond what one can imagine (Shahan 2015). Aside from the tangible ways that Tesla has able to set apart itself from the competition, there are couple of "intangible" strengths that the company was able to develop. This "intangible" strength is how Tesla amazes people with its products (Shahan 2015). The Tesla Roadster was able to transform the image of electric cars form small, slow vehicles to blindingly fast vehicles people desire. Furthermore, Tesla was able to produce cheaper Model S sedan that ended up winning just about every big auto award (Shahan 2015). Such reputation of excellence made Tesla

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