Brief background of ‘Tesla’
Tesla is a futuristic electric autopilot car maker and provider of renewable energy solutions. Tesla’s cars are based on revolutionary high-power battery, which release zero emissions, and possess the autopilot capability. Tesla advocates, the need for the world to completely switch from fossil fuel based automobiles to renewable energy based automobiles. Tesla offers four variants of its electric cars Roadster, Model S, Model X and Model 3 with price ranging from $36,000 to $250,000. All Tesla car models are also equipped with state of the art Autopilot self-driving capability. With a single recharge, Tesla’s different model cars drive about 220-335 miles (Tesla,n.d). Tesla’s models come with a passenger seating
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The marketing mix essentially includes the set of decisions about the price, place, promotion and product(Winer&Dhar,2010). If we look in to the Product aspect of the marketing mix, Tesla’s cars basically fill the gap in the automobile market, by providing range of electric cars. So far, there aren’t any truly viable options to the customers, who wish to eliminate the emissions from their cars completely and willing to patronage electric cars. Tesla started filling this gap. Tesla also provides an opportunity to the customers who aspire to be the first to experience the self-driving automobiles, driven by revolutionary technology. By earning the reputation that Tesla cars have the capability to autopilot, they are well differentiated compared to any other brands in the industry, and users of Tesla cars certainly get the recognition as differentiators, which gives immense satisfaction to the customers who wish to be differentiators with in their reference groups. With respect to the place, Tesla markets all its cars directly …show more content…
Otherwise, it might lead to serious credibility questions and might even make the company a takeover target. To address this severe challenge, Tesla should find reliable suppliers for the crucial components (like batteries) for its cars and focus on assembly. This will also allow Tesla to focus on improving the autopilot capabilities with its cars and be prepared to match the serious competition expected soon, right at its door steps. GM already announced the plan to launch a self-driving car in 2019, without steering or pedals (Sage&Lienert,2017). This showcases the confidence GM has in its self-driving car. Though, the model is targeted as a robo-taxi, it can easily be converted as a sedan, which can easily compete with Tesla’s models. To sustain in the automobile market, Tesla should come up with a solid plan to mass produce its cars, at different locations. It shouldn’t expect its customers to wait for a year to get delivery of a car. This will enable Tesla to capture the market on a huge scale and firm up its position. On achieving mass production capabilities, Tesla should be open to use traditional distributional channels for sales and service, which not only do the sale, but also support throughout the life of the car. If Tesla doesn’t address the pitfalls in its implementation strategy, it might be the innovator, but the market might be captured by someone else. Tesla
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.
Nikola Tesla was a Serbian American inventor, electrical engineer, mechanical engineer and physicist. He was also considered an eccentric genius and recluse. Tesla is best known for his feud with Thomas Edison over AC power Versus DC Power. He was also well known for inventing the Tesla Coil which is still used in radio technology today. Nikola Tesla was mostly forgotten until the 1990’s when there was a resurgence of interest in popular culture.
Tesla motors is a company that produces and sells automobiles. Tesla is not any old automobile company. Tesla specializes in all electric cars that run 100 percent on battery and focuses on the future. Tesla is looking into the future and realizes that fossil fuels will eventually run out. Tesla is moving toward a zero-emission future for the better. A tesla is a vehicle, an all-electric vehicle that combines safety, performance, and efficiency. In 2016 Tesla’s annual revenue totaled to 7 billion dollars. Tesla is a profitable company. Tesla has seen potential growth in annual gross income, since 2012 from earning 30 million dollars to 2016 earning 1.5 billion in annual gross income. (1) The Tesla factory is located
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).
In the recent past, Tesla has been noted as a great competitor in the automotive industry. This is attributed to its three huge competitive advantages. Generally, the advantage lies in its ability to bring about innovative disruption in the industry. This include; a strong battery supply chain that is sustainable in itself, a supercharger network celebrated by the customers and a software system several leagues ahead of its competitors (Zach, 2015).
Tesla’s autopilot system comes with benefits and harmful effects. The benefits are the number of automobile accidents go way down. This was one of the main reasons the car is being produced. The car can sense every obstacle around it and change itself to better the situation. For example, if someone doesn’t know the speed limit in a certain area the car will automatically go that speed. It creates less stress for the human in the vehicle. Often when driving, sometimes people get stressed out or tired while driving and that could lead to accidents or deaths. A few harmful effects could also hold off certain buyers to the car. Even though the car is much safer than any normal driver, it’s still a computer based program driving it and programs can have bugs. For example, if something happened to the program it might not see the car in front of it and end up hitting it or hit someone crossing the street. [3] Another example of a bug leading to disaster took place in Florida this year. A man named Joshua Brown was enjoying a ride in his Tesla when the car’s sensors didn’t pick up a white semi-truck that was directly by him and the car attempted to drive under the truck and ended up getting torn to shreds. The sensors on the car couldn’t pick up semi because the sun was glaring off the semi and the sensors could not see it. However, this was the first related death in a Tesla using the autopilot feature. [3] The cars impact on society could be huge once it comes out
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 will help improve the environment by reducing air pollution and by reducing fossil fuel usage by using electricity instead of gasoline. This will make the world a safer and more efficient environment. This will further improve how our future
2. What were the critical marketing decisions that helped Tesla stand out among other companies and become the lead innovator in its
This has resulted in exposing many automobile users to unpredictable prices of fuel. These issues were, however, the reason for the inception of Tesla Motors so as to bring into existence another set of automotive which serves the similar purpose but uses another form of energy that is electricity to drive them instead of the disadvantageous gasoline-powered engine. This invention was influenced by a number of factors in terms of its planning and performance (Hunger, 2010). Factors affecting Tesla’s planning and performance. The success of any organization, just like the Tesla Motor, largely depends on the planning of the activities by the management team in the company.
The existing companies will do everything they can to prevent you from getting started. The Tesla automobile brand is perhaps the most well known company to have suffered from corruption and unfairness in the automotive industry. Back in 2014, Tesla was restricted in several states from selling their cars directly to customers. The only thing holding them back was an automotive conglomerate made up of GM, Ford, Chrysler, and others. This conglomerate is called the National Automobile Dealers Association(NADA).
Sitting behind the wheel of a car that drives itself, safely checking emails on the commute to work or spending precious family time while on the way to another state for the dreadful yearly holiday dinner. The self-driving car is the most luxurious and convenient way of mobility to date. In 2017, the fully autonomous vehicle is not quite here. For now, the closest autonomous car that is available at the fingertips of the wealthy is the Tesla automobile vehicle. Tesla’s auto pilot allows the driver to sit back and enjoy a carefree ride while the car drives itself.
Tesla has managed to build a notable brand name for itself not in the electric car market, but in the overall automotive industry. Its brand performance offers a robust, reliable and unique image that gives customers the satisfaction that electric cars can be stylish, reliable, hassle-free and much less bulky than internal combustion engine vehicles.
The mission of Tesla Motors is creating affordable, fully electric, earth-friendly and sustainable vehicles. The aim of this mission is to influence and transition masses away from the excessive usage of natural and valuable resources to a cleaner and more sustainable future. As Tesla continues with its pursuit of going green, it also seeks a place in the highly competitive and lucrative car industry. The company has developed breathtaking designs that people keenly look for in...
The Capital investment, skilled and licensed labour force, technological advancements, working with good quality suppliers is considered big barriers of entry into this industry. The future requirement of electric cars and hybrid vehicles has opened this industry to some new entrants like Tesla.