Teslas core competencies are innovative manufacturing

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Tesla’s core competencies are innovative manufacturing techniques, vehicle engineering and power train while the company’s distinctive competency is battery pack technology, safety design and distribution. Through competencies, Tesla has engineered the business to become a category king giving the business a big competitive advantage by gaining prospective customers looking for the leader in the electric vehicle market. Business Model The Tesla business model is exceptionally unique in the automotive industry through distribution. Tesla’ vertical integration in vehicle sales makes the vehicle price non-negotiable which is a competitive advantage however, Tesla uses direct sales through company-owned galleries and online sales to create a distinctive customer experience with Tesla sales and service staff which creates an appealing value proposition for customers looking for expertise, customization and luxury. Tesla has also built Supercharger stations to charge Tesla vehicles to increase the rate of electric vehicle adoption and provide innovative connective services to customer’s enhancing the overall value proposition. SWOT Analysis Tesla’s advancements in delivering innovative technologies is starting to transform the automotive industry due to strong investors and partners. Tesla’s ability to offer long-rage, energy efficient, environmental friendly electric automobiles with continuing sales growth is a major strength for the business. Unfortunately, the company has as strong weakness due to the cost of research and development causing debt. Tesla is heavily invested causing high long term debt while the high price tag of the vehicles also limit the customer-base. Even with Tesla being in a unique position offering innovative environmentally friendly vehicles, the automotive

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