Tesla's Sedan Case Study

Improved Essays
Tesla Model S Sedan: An example of ad Project Management

(Disclaimer, I am a huge fan of the Tesla product line)

Elon Musk, CEO of Tesla Motors, has put together something no one previously thought was possible. An electric car that is practical and luxurious. Tesla sales have increased, 52% in Q2 2015 and are expected to continue to rise as more people become fed up with the oil industry and want to make a positive impact on the environment. Additionally Tesla cars have scored the highest safety ratings both domestically and internationally. But this path has been fraught with delays and cost overruns the whole way.

In 2008, Tesla Motors announced the production of the Model S, a full size family sedan. Taking what Tesla learned and developed while building the Roadster, Elon Musk wanted to build a family friendly all
…show more content…
The initial offerings were not what Musk had envisioned, and massive amounts of time and money were wasted on designs that did not meet the expectations or vision. When von Holzhausen was hired in 200, Tesla was near bankruptcy. Once he had presented a concept that Musk was pleases with, the changes started. Make a sedan that fit 7, as Musk had 5 youg children. Make a master touchscreen to handle the majority of the cars functions, this was years before the iPad was released. The touch screen had to be designed from scratch and capable of withstanding the rigors of the being part of an automobile. The car had to be made of aluminum in order to be light enough to be powered by batteries. Equipment to tool and stamp the redesigned Model S had to be purchased and fitted and the technique to stamp aluminum bodies that not only were strong but good looking had yet to be perfected (aluminum body cars made up less than 5% of the market at the time). The pop out door handles mentioned earlier were another concept introduced, that had never een attempted

Related Documents

  • Decent Essays

    Ford's Model T was a car produced by Ford Motor Company from 1908 to 1927. This car is most known for being the first affordable car to the average middle class Americans. The Model T opened the door to travel for most Americans. Although cars had already existed well before Ford Produced the Model T they were scarce and really expensive for the average American. That all changed when Ford produced the Model T due to Ford's efficient fabrication and assembly line production instead of hand assembly that other car manufacturers used.…

    • 246 Words
    • 1 Pages
    Decent Essays
  • Decent Essays

    The Model T changed the world at the time and the future now because now we have so many different cars for different purposes. For example. Pickup truck and a mini van. A pickup truck is meant for big items you need to take somewhere and a MiniVan is meant for a bigger family. Some bad improvements that were made to the car were, about a hundred pounds added to the weight of the car, placing an additional burden on the already overworked, 20-bhp Ford engine.…

    • 220 Words
    • 1 Pages
    Decent Essays
  • Improved Essays

    Ford designed the Model T and started the production ins 1908. With cars constantly improving, they are useless on roads that are sub par. Funding for highways soon began and they changed the face of…

    • 441 Words
    • 2 Pages
    Improved Essays
  • Superior Essays

    However, Henry Ford announced that Ford will discontinue the Model T and release a completely new model. In December 1927, the new model, Model A, was released. To everyone at Ford motors, they knew it was Edsel’s style and design which created the most popular car. To Edsel’s disillusionment, Henry took all the credit. Henry…

    • 845 Words
    • 4 Pages
    Superior Essays
  • Great Essays

    1920s Cars Essay

    • 1421 Words
    • 6 Pages

    Cars of the 1920s started the age of the automobile which over time became faster, stronger, more fuel efficient and more reliable. Henry Ford plays a major role in the automotive industry in this time period. His model-T was and still is a very popular car. The cars of this time period could not reach very high speeds and the safety of these cars were dangerous. Cars were a new thing during the 1920s and have forever changed transportation and life of the average american.…

    • 1421 Words
    • 6 Pages
    Great Essays
  • Decent Essays

    This automobile was built mainly for people to drive every day. The Model T put the United States on wheels, it made mobility easier than ever, and it established the American middle class. This automobile may not have…

    • 267 Words
    • 2 Pages
    Decent Essays
  • Improved Essays

    Tesla Mission Statement

    • 1103 Words
    • 5 Pages

    The Model X would become the first SUV to be rated a perfect 5 in all categories, including rollover risk, by the National Highway Traffic Safety Administration (Isidore). Although proven successful, Tesla still had one major obstacle: price and distribution. Electric vehicle technology was and remains a newer exploration for the automotive market. Therefore, the cost of Telsa’s vehicles are higher than that of gasoline automobiles. However, Elon Musk, the current CEO, hopes to change this with the introduction a friendlier mass market option known as the Model 3.…

    • 1103 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    While Tesla designs, manufactures, sells and services their own vehicles they recognize that due to the company being one smallest auto manufacturers in the world that they needed strategic partnerships to stay in business. The first partnership that Tesla entered into was being with Daimler in 2010. For a 10% stake in Tesla, Daimler got Tesla’s lithium-ion battery packs into 1,000 of its electric smart cars. With the infusion of capital from Daimler, Tesla could continue with their research and development and stay in business. The investment also enables the two companies to work together further on the battery systems and electric drive systems.…

    • 1793 Words
    • 8 Pages
    Improved Essays
  • Improved Essays

    Corporate Level Strategy and Business-Level Strategy, Tesla Motors is a company that has known how to well penetrate in the car industry and in the market. According to Liu, Kang, Wu, Chen & Hon “Tesla is pursuing market penetration strategy and related constrained. Tesla intends to enhance their influence on the current markets with their current products. They also market their electric powertrain components to other automakers (2014).” Tesla is really focusing on working on market penetration and all related to it, so the company wants to penetrate in the market using their current products and offering tis product to other car companies.…

    • 722 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    The company has had both successful and unsuccessful when it came to developing and researching. It is at this stage where Tesla Motors and other companies find new ways to promote to different segments with its features and promotions. Tesla is known to produce eco-friendly electric cars and is considered to be one of the most dominant companies within that part of the market. The company is still testing out the waters for its automotives while at the same time developing and growing its brand and…

    • 1028 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Of the three models that Tesla has produced, each has been more successfully designed than the previous. Not only has the team out designed themselves they have out designed their competition. With world class efficiency and aesthetics, the design team has differentiated their product. Engineering and design is not the only way that Tesla has differentiated themselves from the competition. Customer service is another facet of the business that allows the company to propel itself beyond the competition.…

    • 1053 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Tesla Target Market Essay

    • 1100 Words
    • 5 Pages

    Therefore, Tesla wanted to introduce an alternative in this specific market segment as there were no high end fully electric cars at that time. Tesla has developed a line of luxurious electric vehicles that combines performance and style, while still maintaining a competitive price. Tesla’s Model S and Model X were designed to be the best electric performance cars on the market and still are one of the most affordable vehicles in that specific market segment.…

    • 1100 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    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…

    • 1059 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    BMW: The Ultimate Driving Machine BMW produces vehicles that exceed the average customers’ expectations of luxury. With the slogan of, “The Ultimate Driving Machine,” BMW has become extremely popular both nationally and globally. BMW customers, the rich, with lavish lifestyles of luxurious collections, became loyal in between the 1980’s-1990’s when they introduced 3 series that were differentiated only by size. What about the consumer that couldn’t afford that type of luxury? This paper will discuss how the critical issue BMW faces with marketing strategies is overcoming the one negative label of luxury, alternatives BMW created and recommendations to improve their marketing strategies.…

    • 837 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Case Study: Elon Musk

    • 1369 Words
    • 6 Pages

    Elon Musk has never been shy to spend an exuberant amount of money in order to fulfill his ambition. Musk spent over $100 million in SpaceX, over $70 million in Tesla Motors, and over $10 million in Solar City upon entry into these markets without foreseeable returns (Vance, 2015). Musk dedicates large sums of money towards creating production facilities. Making up for the equipment expenditure relied on profits made from the Tesla electric vehicles and investor confidence (Vance, 2015). The companies typically faced similar issues: while employee costs were low, equipment and material costs were extremely high (Vance, 2015).…

    • 1369 Words
    • 6 Pages
    Improved Essays