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Joshua CohenSNHU MKT 222Final Project
Executive SummaryIntroduction:Tesla was founded in 2003, as a company set out to prove that people do not need to compromiseto drive electric vehicles. The goal was to show consumers that electric vehicles can be quicker and more fun to drive than typical gasoline cars (Tesla, “Introduction” 2018). Tesla is the only automotive manufacturer to only offer electric vehicles in its model line and provides the most technologically advanced vehicles on the market today. CEO Elon Musk is not concerned with Tesla making a profit but is concerned with following the company’s mission statement. Objective:The objective of this analysis is to highlight Tesla’s goal and to provide recommendations based on research to achieve this goal. Tesla’s goal to create a sustainable future is filled with strengths, weaknesses, opportunities, and threats. Findings:Tesla is a clear example of an automotive manufacturer that cares about the future and how its vehicles will be used to bring about a bright future. With the sole focus on creating vehicles that only use sustainable energy, Tesla has created a line up of vehicles that surpass what anyone would have expected from a new comer in the automotive industry. However, Tesla has had many set backs that are both internal and external. Internally Tesla cannot keep up with the demand for its newest model, the Model 3. With over 500,000 preorders, Tesla is struggling to make more than 1489 vehicles per week (Morris, 2018)(Randall & Halford, 2018). This means that some customers will be waiting years for theirvehicles. Tesla also struggles with its sales strategy. Unlike traditional automotive manufacturers who usefranchised dealerships to sell vehicles, Tesla sells its vehicles in manufacturer owned stores, which are
illegal in some states. This means that Tesla is unable to sell its vehicles in some states. Tesla also does not market or advertise itself in places other than online. Looking at the big automotive manufacturers who spend millions each year on marketing and advertising, Tesla is losing out. Recommendations:Start heavily marketing Tesla vehiclesReduce production of Model X and Model S to increase Model 3 production to meet demandOpen new manufacturing facilitiesContinue to expand Supercharger networkIncrease available Tesla models and introduce Tesla PowersportsContinue to be a market leader in technologically advanced vehiclesConclusion:Tesla is certainly and up and comer in the automotive industry with its high tech all electric vehicles. However, the company needs to follow and learn from the leaders in the industry and expand its production facilities and market itself in many more medias if the company wants to succeed in such a competitive industry. Tesla also needs to find ways to appeal to more buyers by offering more models.