The understanding of the marketing concept has been evolving through time as firms seek to flourish in the long-term. The marketing concept is an aspect of the marketing philosophy that implements a solution to customer needs. On a basic level the marketing philosophy is comprised of three parts: customer orientation, integrated effort, and profit direction. When aligned with corporate values and vision, the marketing concept 's strong consumer focus can help a firm stay competitive while reaping organizational success. The importance of the customer and satisfying their needs is crucial to a firm’s cash flow and survival. In today’s ultra-competitive society, failing to acknowledge consumer desires and trends can ultimately lead a firm to …show more content…
These benefits result from intensive target market research and involving the consumer’s input into product design. Consumer feedback can help a firm identify new product opportunities or improve existing ones. Being more receptive to consumer preferences help create and maintain satisfied customers. Furthermore, satisfied customers increase a firm’s brand name and attract new customers by spreading positive publicity. The marketing concept is essential for a firm’s survival since it establishes lasting relationships with the right customers based on the foundation of customer value satisfaction (Keelson, …show more content…
Instead of focusing on selling units and converting the world to electric cars, top management should focus on maximizing profit and customer satisfaction. Consumers are ready to move away from the typical dealership car buying experience, but Tesla’s biggest obstacles are consumer confidence in the product and lack of service centers. Tesla should concentrate on fully leveraging the competitive advantages they do have and fully embrace their niche market. If top management shifts focus to these factors, they’ll have a much better chance for success into
The marketing concept is producing a product that people want to buy and that the business is not selling because it likes making the product there doing it because they know people will buy their product. The marketing concept can be looked as a philosophy that potentially determines what type of marketing tools/ strategy can be used a company.
Tesla Motors initially gained widespread attention by manufacturing the Tesla Roadster, the primary totally electrical sports automobile. The company's second vehicle was the Model S, a completely electrical luxury sedan. Tesla additionally markets electrical powertrain elements, as well as lithium-ion battery packs, to automakers, as well as engineer and Toyota. Tesla's CEO, Elon Musk, has said he envisions Tesla as an independent maker, geared toward eventually providing electrical cars worth cheap to the typical client.
Tesla growth is highly dependent upon the adoption by consumers of alternative fuel vehicles in general and electric vehicles in particular. If the market for electric vehicles does not develop as we expect, or develops more slowly than it expects, business, prospects, financial condition and operating results will be harmed.
The contraposition for Tesla Motors is the rapid service received. Despite not having a traditional infrastructure, the company beats it opponents in its operational expeditiousness. The Palo Alto automaker’s response time for issues is often overnight, and always beyond convention. One customer with some play in his gears had his entire drivetrain replaced.
Tesla Motors, Inc. is an American company that designs, manufactures, and sells electric cars and electric vehicle powertrain components. Tesla Motors first gained widespread attention by producing the Tesla Roadster, the first fully electric sports car. The company's second vehicle was the Model S, a fully electric luxury sedan. Tesla also manufactures and sells electric powertrain components, including lithium-ion battery packs, to automakers, including Daimler and Toyota. Tesla's CEO, Elon Musk, has said he envisions Tesla as an independent automaker, with the goal of eventually offering electric cars at a price affordable to the average consumer. Lithium- ion cell commoditization and high-end product strategy shield the company from significant interdependence and integration risk.
Chiefly, and most apparently, it is the goal of Tesla Motor to generate demand for Tesla vehicles (Andrade, Holloway, Payne, Roy & Sheffield, 2015). In turn, demand will drive leads to the Tesla sales team (Andrade, Holloway, Payne, Roy & Sheffield, 2015). Tesla will continue to build long-term brand awareness, in addition to continual management of corporate reputation (Andrade, Holloway, Payne, Roy & Sheffield, 2015). Tesla Motors will expertly manage the existing customer base to create loyalty and increase customer referrals (Andrade, Holloway, Payne, Roy & Sheffield, 2015). Additionally , Tesla Motors hopes to enable customer input into the product development process (Andrade, Holloway, Payne, Roy & Sheffield, 2015).
Manufacturing will run on 100% renewable energy helping our environment a lot. As of the year 2018 almost 500,000 cars should be produced. Tesla’s market value is $33.5 billion. Tesla’s stock market has risen over 1000% since 2012. To start tesla Elon Musk invested $70 million of his own money. Elon Musk is a successful businessman with 4 companies valuations over $1 billion. Elon Musk has a networth of $12.1 billion. Many of the Tesla sale models are illegal in many U.S.
On top of product innovation, Tesla would also open more sales center. As “Tesla markets and sells cars directly to consumers through an international network of company-owned stores and galleries, the stores and galleries are highly visible, premium outlets in major metropolitan markets” (Tesla Annual Report). Customers will experience a different purchasing style from traditional automobile dealership by dealing directly with Tesla’s own sales staff. On 2012, Tesla opened eighteen other locations operated with this concept in order to satisfy growing customer needs. In total, ...
In fact the electric vehicle has been regarded as the best alternative to fuel cars in the future. Because the electric vehicle will not run by fuel which has been considered by many experts in many years later will be exhausted. As a result, world’s auto giants competitively invest heavily in electric vehicle research and development. For instance Tesla Motors which has been the pioneer of electric vehicles in the world is now gaining ever-increasing popularity globally. Tesla Motors change the global energy structure and provide a paradigm shift to the automobile industry. Other than that it contributes a lot to solving dependency of global transportation on oil which is one of the most important culprits for global climate change. However Tesla also suffers from some flaws that hinder the development of electric vehicles. For example the expensive production costs make the market price of the Tesla is difficult to achieve expected standard. Consequently the electric vehicle is difficult as popular as a normal car. In fact ordinary consumers will pay more attention to the economy of a vehicle but not whether it is environmental friendly. In addition the low battery life cannot meet the needs of people travelling long distances. Actually Tesla Models has promised that they would establish rapid charging stations network across the United States and all of Tesla 's electric car charging stations can be quickly filled with
The political system in Singapore is highly conducive to the development of enterprises and new businesses entering the market. One of the reasons for this is the fact that Singapore is considered to be one of the most transparent nations in the world (Transparency International Survey). The Singapore government has an initiative called the PS21 (Public Service for the 21st century), which is in place to ensure that the legal system remains transparent for all business, local or foreign. As a result, the low level of bureaucracy makes it very easy for new business to enter the market and compete with the existing industries. Tesla will not be held back by large amounts of red tape and can immediately be competitive in the electric car market. The Singapore government has enforced a Competition Act through the Competition Commission of Singapore to ensure that any competition that takes place in the market is fair. Consequently, Tesla will not have to be concerned about competing against opponents in an unfair environment.
Tesla is will begin production of the Model 3 in 2017 and the vehicle will be delivered to consumers in 2018. Tesla also produces batteries for residential, small businesses and commercial industries. “Tesla batteries integrate with solar to harness the abundant power of the sun and reduce our reliance on fossil fuels” (Energy, Tesla, 2016). Tesla Motors has expanded and developed the Powerwall and Powercharge, which are Tesla batteries that integrate with solar power to store energy. These batteries are available for residential, small business and commercial use. This is a recent add on for Tesla and they plan on expanding this section of their company, as the world moves towards sustainable
Tesla Motors Inc. (Tesla) is a company based out of Silicon Valley that designs, assembles and markets battery electric vehicles (BEVs), in addition they produce lithium-ion battery packs, and electric vehicle powertrain components. Founded in 2003, Tesla was the first new American automobile manufacturer to appear in years. It was the first automaker to manufacture and sell proficient BEVs in production. The company’s tactic is not really that of the “Detroit” approach more of a one of a kind “Silicon Valley” style, self-reflected of a method that is remarkably hi-tech and innovative, tremendously assertive and very efficient. They have grown from one retail store to 18 stores worldwide, a 350,000 square-foot production facility and global sales in at least 30 countries. Tesla successfully debuted its opening public offering, raising over $226 million on the 29 of June 2010. Tesla was founded by Martin Eberhard (CEO), and Marc Tarpeninning (CFO), and was named after Nikola Tesla, to begin the development of an original electric sports car. Elon Musk creator of PayPal funding the company $30 million in 2004 to kick it off, and was named chairman of the board. In 2007 Eberhard resigned as the CEO of the company and president of technology and joined the advisory board. Proceeding in 2008, he left the company completely, and remained as trophy shareholder. Tarpenning who was CFO, VP of electrical engineering, and development of electric and software systems for the Roadster; resigned from his positions in 2008. Musk then took over as CEO in 2008. In 2008 Tesla released its first car, the Roadster; which could travel 245 miles on a single charge and travel 0-60 mph in less than 4 seconds, ...
Despite its success, Tesla Motors has been facing serious challenges throughout its history, for example:
For years, Tesla has struggled to achieve and maintain profitability, despite a soaring stock price in recent years. That profit level would suggest that Tesla as a company is still in the Introduction phase of its life cycle, even though they’ve been around for almost 15 years. On top of their longevity, Tesla has become increasingly relevant in the automotive industry, most likely aided by a societal shift in thinking about conservation, and leading technological advancements. We believe that Tesla exists in a unique space between the Introduction and Growth stages of the textbook-defined product life cycle. More profitable results in a foreign market like Japan may not require a drastic shift in distribution strategy, however. As we’ve covered,
Marketing concept is built on four pillars namely; target market, customer needs, integrated marketing, and profitability. Marketing concept relies upon marketing research to define market segments, their size, and their needs. The needs of the marketing segments are satisfied through marketing mix decisions made by the marketing team.