Tesla Motors Market Analysis

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Introduction
The association between the car industry and the electric industry cannot be ignored. However, one would consider a higher level of association between the two industries, which extends beyond the manufacturing stages and the repair stages. This concept has not been fully met, but stands to be disrupted with the development of the electric car, which seemed but a dream in not so long ago. The growth of the electric car industry is championed by the Tesla Motors, which follows in the footsteps of billionaire founder Elon Musk and stands to scale the car industry market (Carlson, 2013). This report analyzes and describes the market opportunity presented by the electric car industry using the Tesla Motors case study.
Concept and Vision …show more content…

The existence of stock market analysis for electric car companies such as Tesla Motors, as well as financial reports including the Forbes financial reports, amount others present a transparent channel of analyzing the electric car industry in depth. The industry is still considered a luxury car industry but it grown and penetrated other markets. For example, Tesla surpassed its target of 21500 units in 2013 to reach annual sales of 22477 units in North America and Europe. The global sales in 2013 reached 25000 units. The company anticipates a 55% increase in tis global sales in 2014 with annual sales of 35000 units as the company seeks to expand into the Asian market having achieved success in Europe and North America (Carlson, …show more content…

The difficult part of this venture is making it a reality considering the high cost of production and challenging market. Investing in an electric car industry may require business to be conducted the old-fashioned way, which is getting people to pay for the business. In addition, setting up the company as a public company has the benefit of increasing investment and market share on the company even though the public will also hold the management of the company accountable (Osterwalder et al., 2010).
Collaborating with other Motor companies such as Toyota and green energy companies such as SolarCity to provide power for charging the company appears to be a viable option towards establishing an electric car company. In addition, working with states with the promise of creating jobs, injecting economic growth and reducing environmental pollution will compel states to offer their support towards the establishment of facilities necessary for the establishment of an electric car company (Cravens & Piercy, 2009). States will be willing to lease out facilities at affordable prices while other facilities may be offered free of charge with or without lease-buyback deals. Such deals are bound to expand the production capacity of the company, which will subsequently benefit from the economies of large scale. In addition, such deals are well-placed

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