The research and data will provide clarity of

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The research and data will provide clarity of opportunities, determined calculated risks and strategic determinants. The foundation of internal analysis will involve detailed performance of the human resource department, monetary resources, operations portfolio as well as technological competences. “The various components of the external and internal factors tell you where to go to get the factual data needed to drive the thinking and results of the strategic plan.” (Strategicplantool.com, n.d.)The automotive manufacturing business remains highly competitive and ease of entry remains difficult as businesses and consumers pursue for the markets most efficient vehicles
STRATEGIC PLAN PART 1: ENVIRONMENTAL SCAN5competitive prices. Because, of increased concerns for environmental aspects evaluating Tesla’s strategic positioning must incorporate PESTEL’s framework to analyze and monitor macro-environmental dynamics directly influencing the organization’s political, economic, social, technological, and legal factors. “The PESTEL framework evaluates the external environment variables to identify general opportunities and risks of particular strategies, because changes in these factors can lead to the significant transformation of industries, especially over the long run”(Witcher and Chau, 2010).Marketing and selling vehicles in over 17 countries, Tesla must deal with distinct politicalguidelines that will influence business operations. One example includes the laws protecting the environment and cars must meet or exceed regulations of carbon emission levels. Economic factors consist of expansion and growth of the alternative energy production industries as well as the short period gains of losses based centered on oil and fuel prices. Purchasing power also relates to recovery of recessionary periods and inflation rates. Social influences pertain to increased environmentally friendly concerns in addition to emphasis placed on standpoints over ecofriendly products. In addition, the type of vehicles people own speaks volume in judgements of social status and wealth. Continual technological improvements have allowed for full electrical cars and the driver automation to prevent recurring accidents, thus reducing costs and improved efficiencies. Legal regulations derive from green movements and apply pressure on the production processes on alternative automobiles as taxations may increase to allow for market expansion. Other areas of concern include direct selling of cars to the consumers by Tesla as well as tax incentives to increase demand.

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