Tesla Motors Swot Analysis

Good Essays
Tesla Motors, Inc Strategic Audit
Current performance
Tesla Motors, Inc deals with designing, manufacturing and selling of automobile items such as electric cars, batteries and train products. It is a public company listed in NASDAQ securities exchange and has enjoyed record profits in the recent times. It currently has received global attention for its innovation approach to remain competitive. It is the company that pioneered electric cars purposely for sporting events.
The innovation approach has placed them at a very favorable position amongst the consumers of its products. They project to make record sales of the electric sporting car by end of 2015 as well as in the next five years. Toyota and Daimler are their major consumers of the
…show more content…
The company faces stiff competition from Chevrolet, Toyota, Honda and smart car. This has forced them to be highly innovative to remain profitable in the industry. The current business model is not and will not offer solutions needed in the production and selling of the Tesla products. Their needs to be a strategically minded business model because to some extent it determines the success or failure of an organization. The reluctance to be the pioneers in implementation the affordable prices may make them face the threat of losing its market share to their competitors. The application of an already outdated technology means more budgetary …show more content…
For the company to strategically progress it must revise their mission since a lot has changed in the industry in that time span. Technological wise we have seen a lot of developments that may make the mission look like just another statement in a sentence form.
I recommend that the business model be revised in order to accommodate the changes the industry has undergone. This will help tesla to increase its level of profitability and receive great approval ratings among its consumers.
Implementation
Tesla should use an innovative business model that embraces modern technology and allows sharing of information. This ought to be done by a well trained employees supervised by an experienced management.

Evaluation and

Related Documents

  • Decent Essays

    Pierre Lys Tesla Motors Tesla is quite an interesting company that seems to be ahead of the game In terms of car manufacturing. They have set out to try to be the most cost efficient company there is. CEO Elon Musk has a wide range of great ideas that have to do with saving our ecosystem and our money due to the use of solar panels. Although Elon Musk is trying to save us money is he really benefiting his company along the journey? Join me as we take a deeper look into the company Tesla one of the few motors that are 100 percent made in the US.…

    • 1713 Words
    • 7 Pages
    Decent Essays
  • Decent Essays

    Ferrari Case Study

    • 1499 Words
    • 6 Pages

    The cars produced by the Ferrari are also very innovative and often exceed the customers’ expectations. Innovations are important part of Ferrari’s value proposition. As per the company’s official website, Innovation is part and parcel of Ferrari’s DNA. Innovations are essential part of every Ferrari segment, product, process, working method. The market segment and targeted customer satisfaction make it complete working solution for the company.…

    • 1499 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    Tesla Motors is taking the world by storm. Cofounder and CEO Elon Musk has helped the company be one of the most talked about motor vehicle company. A major focal point of Tesla is to produce environmentally friendly cars that are also tech savvy. Starting as a small company back in 2003 Tesla has since grown exponentially thanks to Elon Musk. He is a mastermind when it comes to marketing and bringing in funds.…

    • 1080 Words
    • 5 Pages
    Decent Essays
  • Decent Essays

    Tesla Swot Analysis Essay

    • 875 Words
    • 4 Pages

    The Tesla Motors, Inc. has dominated the automotive business in the U.S. The long-term profit for the Tesla can be maintained since the company has several strength that are portrayed in the SWOT analysis. However, Tesla uses various strategies to cope up with the global market competition as suggested by the SWOT analysis. Moreover, the global market has continued to expand, and this has favored Tesla since it manufactures electrical cars. The growth of the business/firm and the international competitiveness of Tesla can be achieved if the weakness identified by the SWOT analysis is addressed.…

    • 875 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    What is your brand objective? Tesla’s objective is to create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles and to expand the Tesla’s vehicle market geographically. The CEO of the company, Elon musk states in the company overview “Our goal when we created Tesla a decade ago was the same as it is today: to drive the world’s transition to electric mobility by bringing a full range of increasingly affordable electric cars Tesla Motors is putting its fullest potential to create innovative changes in cars. They are not only putting their efforts in marketing their product but also making them enough great and attractive that customers are looking forward them only. This is why I bet that Tesla Motors is the future of car industry and you will witness it very soon.…

    • 1312 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    By having a new target market, it will allow Tesla Motors to continue expanding into the future, and attract more consumers. (Slideshare.net, 2015 pg. 5, para 1) Tesla Model S has shown to have many advantages for a prospective user. With its unique car features that allows autopilot, parallel parking mode and auto steering as well as the exterior metallic built of Model S coupled with the latest, innovative safety technological aspects for the car, Model S is built for the user to enjoy a revolutionary driving experience on the safest premium electric car model in the world. Although the Tesla Model S still represents a miniscule segment of the automobile market, the potential demand for is likely to increase in the future.…

    • 1262 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    Tesla Core Competencies

    • 1392 Words
    • 6 Pages

    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…

    • 1392 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    The annual fuel costs for average gasoline cars in USD is $1245 whereas annual running costs for Tesla is $423. The business has successfully gained a sustainable competitive advantage in the market due to their ability to differentiate their products from other businesses in the industry. This is complimented by their consumer focus in terms of their marketing strategy to align the company vision to that of its consumers. The business is very determined and has achieved what they have put their focus to. Tesla’s goals for within the next four years is to severely increase car…

    • 1833 Words
    • 8 Pages
    Decent Essays
  • Decent Essays

    Tesla Case Study Essay

    • 1104 Words
    • 5 Pages

    Tesla culture driven success was first proven by the success of Model S, which has been the awarded the best car in categories like safety, efficiency and performance. Model S also holds the record for fastest 0-60 mph acceleration time of 2.28 seconds (Tesla Inc. 2016). Similarly, Model X, which was launched in 2015, became the safest, fastest and most capable Sports Utility Vehicle produced in automobile production history (Tesla Inc. 2016). Tesla Motors also launched Model 3, an affordable electric sedan for the mass market, demonstrating innovation to expand its vehicle product line to address most of the consumer market (Roy 2016). Another demonstration of Tesla’s organizational values would be its transition from an electric automobile company to further integrating sustainable energy solutions in its product lines.…

    • 1104 Words
    • 5 Pages
    Decent Essays
  • Decent Essays

    In “Accepting or Rejecting Innovations” by Jared Diamond he explains that new technology can be accepted or rejected by people. Technology is not an easy factor to be ready acceptance, but he says that they need to persuade society to adopt it first. Diamond states the factors that cause people to adopt technological innovations into their lives are a relative economic advantage, social value and prestige, and compatibility with a vested interest. Profoundly, I think his ideas explain why people reject innovations in the way that new ideas and new products come to exist. If people are not able to purchase cars or any other technology because economic issues then why set a high price?…

    • 963 Words
    • 4 Pages
    Decent Essays