Business Strategy: Tesla's Pestle Analysis, Porter's Five Forces, and Swot Analysis

BUSINESS STRATEGY
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Table of Contents.
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
. Pestle analysis of TESLA ........................................................................................................3
Porter's five forces .....................................................................................................................5
Swot analysis of Tesla.................................................................................................................7
Ansoff Matrix and BCG matrix.................................................................................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13
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INTRODUCTION
Business strategy is considered as the set of competitive moves as well as action where a
business attracts customers,strengthening performances. It also achieves goals of the company
(Chang, 2016) . . Present report lay emphasis on the Tesla which was founded within 2003
through a group of engineers. It also evaluate the influences on the macro environment such as
pestle analysis of Tesla company. The goal of this company is to prove people didn't required to
compromise while driving electric cars as they are quicker,better and posses more fun through
gasoline cars. Roadster is the main product of Tesla. To take entry within a new market Tesla
needs to prepare a premium and It also include the Swot analysis of the Tesla of the behaviour
of the organization's success as well as behaviour. It focuses on the Porter's five forces to the
provided market of Tesla. It also applied a range of theories such as Ansoff matrix and BCG
theories.
MAIN BODY
. Pestle analysis of TESLA
Political factors
Political factors such as government influences such as policies that effects the business
of the Tesla Company as well as industries. Such that policies have limit the performances of the
revenue of the company (Lehmann, 2016) Tesla is a forefront of the electric vehicles. Unlike the
traditional cars it sued those cars which have both electricity and gas. These kinds of vehicles do
not nearly as same as the traditional car. Most of the drivers of Tesla use electronic stations so
that they can refill their cars.
Positive impact – now, many countries' government is trading with developed nations. So, it
will allow Tesla to expand in those countries.
negative impact – Any change in political situations will highly impact on tesla's operations.
Economic factors
The rise in Asia, United States of America and Europe from 2017 is 3.5 percent grow
leads to the more development of electric cars. These are the conditions which includes such as
market growth, currencies ,trade level as well as other variables that impacts the business of the
auto mobile industry like Tesla. Firm like Tesla needs to be address economics extra factors such
as decrease renewable energy cost, Economic stability issues (Lehmann, 2016) Tesla get benefits
from the low battery costs .according to this Pestle analysis it consider the decreasing renewable
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resources as it makes the Tesla product more attractive. Thus the economic stability threatens the
financial performance such as in Asia as well as in Europe.
Positive impact - Rise in developing nations GDP such as India will allow tesla to expand their
market.
Negative – Downfall in GDP of developed nations like Germany ,US etc will impact on Tesla's
growth.
Social factors
Social factors that affect the Tesla Company such as enhancing popularity fall under the
opportunity. It also enhances preferences related to the renewable energy. The managers of the
Tesla must apply these strategies of that benefits must be maximized due to such external factors.
These firm analyses about the opportunity to grow within the business called Multinational
automotive business (Chang, 2016) . Tesla is a brand that is environmental sustainable. it is
also considers as the new.
Postive- Now people are besoming more environment friendly so there needs had changed. It
will rise in company growth.
Negative- If companies are not able to sustained environment this will impact negatively on
people's perception.
Technological factors.
Tesla is considers as the both a foe and friend for example it assist the company to
maintain a competitive edge within the market. It enables Tesla to be fuel efficient. But at the
same time Tesla doesn't make so much obsolete regarding technology. Thus, Tesla relies on
technology both as positive as well as negative regarding vehicles.
These factors determines that how technologies impact the macro environment (Collins,
Worthington and Schoen, 2016)Such as material engineering technology depends on the cost-
effectiveness as well efficiencies of the Tesla batteries. Mention below are the external
technologies that are considered to be significant within Tesla. Such as enhancing automation
within businesses (Chang, 2016) . Enhancing popularity of smartphones as well as technological
change at high rate. Tesla High rate increases its market boast the luxury as well as power. Tesla
has done an amazing job through maintaining their place within the people's mind as that of the
electric car.
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