Tesla In China Case Analysis
With the development of an economy, the global environment is facing the crisis of deterioration. Governments are also actively promoting energy conservation and reduction of the emission. Due to today's energy shortage, the development of the new energy vehicles becomes popular in the industry. Base on the market demand, Tesla produced the electric vehicles by the unique business model to achieve better results in the market and it began to expand in China after its home market was stable.
STEEP analysis for Tesla
Social The sense of environmental protection and high technology recognized by people. Tesla successfully attracted the attention of consumers, increased electric vehicles consumption.
Technological The advanced …show more content…
Tesla believes the exclusive distribution model. The Tesla China team want to cooperate with Tmall to expend the electric business platform to try to sell the customized version of the Model S. However, the director Mr. Musk had pulled back the project, he believes that the marketing for Tesla's "only user word-of-mouth spread, not any paid delivery". As China government has a lot of plan for its mainland electric vehicles production, Tesla as the foreign company, want to set up in China, is better to have a local well-known platform to sell its products. As well as, the top management must empowerment to the local executives because they know more about the local …show more content…
The first thing they need to do is to tell customers what an electric car is, a so-called "primary concern," and then talk to customers about what a Tesla car is. This is because an electric vehicle is a new thing and even now not a lot of people are using the electric vehicles. The most customer just knows the name of the electric car but the consumers don't know really the about electric car's knowledge. Tesla must first cultivate consumer's perception of electric vehicles to let consumers understand, why so much for Tesla and what is the reason behind. There are no cars dealers are willing to spend so much effort to get consumers to know electric cars, which can only be done by the Tesla