Contemporary business issues

This report discusses the impact of sustainability on Tesla, UK economy and society. It also explains the importance of stakeholders and the challenges faced by investors. The report provides recommendations for the company's opportunities within the market.

Contemporary Issues in Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Impact of sustainability on Tesla,................................................................................................3
The impact of sustainability on the uk economy,.......................................................................4
The impact of sustainability on the society.................................................................................5
Importance of Stakeholders.........................................................................................................6
Stakeholder categorization and strategy programmes.................................................................8
Recommendation.......................................................................................................................10
CONCLUSION..............................................................................................................................11
REFRENCES.................................................................................................................................11
Books and Journal......................................................................................................................11

INTRODUCTION
Contemporary concerns are defined as problems that have recently impacted individuals
or communities and are still unresolved. Furthermore, these are the challenges that include
human resource management, technology and processes, branding, and financial issues that
affect the firm's and business's success. TESLA, which is renowned as one of the major
automobile manufacturers, is tasked with completing this report. Furthermore, it is an American
electric vehicle and clean energy company situated in Palo Alto, California. Furthermore, the
corresponding organization manufactures and develops electric automobiles, battery energy
storage from the home to the grid, solar roof tiles, solar panels, and related goods and services. In
addition to this, the report also explains about the impact of sustainability on the society. There is
description about major stakeholders of the organization. There are recommendations for the
company’s opportunities within market (Kovaitė and Stankevičienė, 2019)
MAIN BODY
Impact of sustainability on Tesla,
According to the view point of Romānova and Kudinska (2016), Tesla has an objective
of accelerating globe transition by using sustainable energy. This company aims for providing
clean Energy generation and storage products. This works for protecting environment by
reducing the total carbon footprint and also help the society to overcome the problem of air and
noise pollution. Electric vehicles produce no air pollutants and reduce the emission of Co2 in the
atmosphere. EVS that are considered by the tesla organization helps in reducing total carbon
footprints. These are helpful for supporting society in managing pollution free environment.
Tesla takes into account needs of energy and automobile stakeholders. Tesla has a plant that
makes solar panels and other energy accessories in addition to automobiles. Furthermore, the use
of solar panels reduces dependency on non-renewable energy sources such as nuclear and coal.
Tesla energy products operate together to provide power in house and charge their electric
vehicle. TESLA is continually looking for ways to power facilities with renewable energy. This
is accomplished through the use of solar energy systems and battery storage. In terms of
TESLA's CSR, it has reliance on petroleum cars which promotes the use of renewable energy

sources to power car engines. Moreover, the creation of electric vehicles reduces carbon
emissions in the environment, resulting in climate change, global warming, and acidic rains.
Solar generates clean energy throughout the day, while Power wall stores it for use at night even
during a power outage. Social responsibility is defined as the management part of a company's
business activities and relationships with its customers that incorporate environmental and social
considerations. TESLA is continually looking for ways to power their facilities with renewable
power. It accomplishes this by making use of solar energy devices as well as battery bank. Tesla
is an undeniable leader in the production, innovation and style which is associated with energy
efficient cars.
The impact of sustainability on the uk economy,
As per the opinion of Romānova and Kudinska, 2016, Sustainability is an essential factor
every country’s economy. Each and every individual has the right to stay in a clean, healthy and
safe environment. Within UK, government tries to maintain sustainability which is done by
reducing pollution, poverty and poor housing. Sustainable development is a very effective
strategy for economic growth of United Kingdom. There is need for this country to adopt
sustainable activities in order to grow and develop. There are basically three pillars of
sustainability that is economic, environmental and social. For future generation, UK has to adopt
usage of sustainable resources. The goal of sustainable development is to strike a balance
between economic, environmental, and social needs. This will allow UK to succeed now and in
the future. Sustainable development is a long-term, integrated approach for growing and
achieving a healthy community by tackling economic, environmental, and social challenges. By
gradually modifying the ways and producing new products using technologies, sustainable
development pushes UK to protect and increase its resource base. UK is able to meet
fundamental employment, food, energy, water, and sanitation requirements. SDIs (Sustainability
Development Indicators) of the UK government is collaborating with DEFRA to develop a list of
indicators for the UK's long-term sustainability. It has helped in enhancing UK economy. The
metrics show how far the country has come in terms of achieving a more sustainable economy,
society, and environment. With three main goals in mind, Recycling for London collaborates
with the Greater London Authority and the Waste and Resources Action Programme is also
initiated. Waste reduction, reuse of some waste goods, and recycling (the conversion of waste
materials into new products) are all examples of waste reduction which are done in UK for

sustainability. Every year, landfills in the United Kingdom emit around 460,000 tonnes of
greenhouse gases. Such examples helps to enhance economic status of UK across the world.
The impact of sustainability on the society
As per the views of Nguyen and Huong, 2020, viewpoint, it is clear that incorporating
sustainability into company strategies can stimulate economic growth, assets ratio, earning per
share, rate of return, and stock market index. Sustainability enhances the life quality. It
maintains our ecology, and ensures that natural resources are preserved for future generations.
Sustainability is the concept which affects the society and at the same time the actions which are
taken by the organization in order to accomplish social system integrity help the organization to
unlock the new market and also support the company to retain and attract more business partners
towards the organization. The Sustainable Development Goals are a bold pledge to address the
world's most pressing issues. They want to make a difference by leading the world along a more
sustainable route. They also want to make certain that no one gets left behind. In many aspects,
humanity's growth aspirations (and commitment) to live a better life within society have been
realized. Going green and sustainable is very beneficial for the society as well as for the
organization because it helps them to maximize the advantages from an environment and also
helps them to concentrating in the long term. In the developed world, there is modern,
consumerist, and primarily urban existence. There is utilization of tremendous amount of natural
resources on a daily basis. There is also usage of more power in cities than in rural areas. There
is usage of lot more power than the average to keep streets and civic buildings illuminated, to
power our appliances, to heat our homes, and to meet other public and domestic power needs.
The sustainable living should not be limited to city dwellers. There are improvements to be made
everywhere and it is estimated that there is usage of 40% more resources each year for
replenishing the sustainability.
Importance of Stakeholders
Stakeholders have a significant impact on the company's valuation. Stockholders are
interested in the company's profitability and expansion. Shareholders, executives, workers,
vendors, investors, partnerships, authorities, financial institutions, and the general public are
among Tesla's important stakeholders (Pitts and Zhang, 2020). Tesla has been successful for
consumers, who are probably the most significant stakeholder for the company because they are

the end - user who decides desire and, by consequence, profit, through reliability, innovation,
and economy. Tesla Motors faces numerous obstacles like lack of funds. To sustain in market, it
is essential to develop strong strategies.
Tesla has recently begun delivering models of its cars in Europe and China in order to
maintain market profit volumes. The company's role in communicating performances to
stakeholders extends to sharing the company's vision, goal, strategies, targets, and milestones for
achieving targets. Tesla is also obligated to share the company's recent achievements. The
company's decision to let other companies and individuals to use its innovation licenses is
expected to increase market interest in electric vehicles, resulting in more opportunities for Tesla
car sales in various countries. The organization's viability and inherent coordination’s ideals are
also in sync with current socio cultural norms, hence facilitating company success (KOSHY and
KUMAR, 2020).
Employees:
Stakeholder relationship
Employees are critical to Tesla Motors' development since they have an impact on the firm's
earnings and efficiency. Tesla promotes staff morale through paying competitive compensation,
creating opportunities for professional advancement, and so on. Tesla thrives on keeping its staff
satisfied by paying them on a regular basis and offering them appealing compensation plans
(Kundi, 2021). Elon Musk has a leadership style that encourages employees to be creative and
imaginative; as a result, employees are an important component of the company. Employee
competency plays a critical role in ensuring the business's long-term viability; it allows the
company to gain a competitive edge in the industry.
Stakeholder analysis
For the organization it is very important for the company to considered some Strategies
for their employees like they have to assist their employees that how to interact and
communicate and engage with each identify stakeholders during the different kind of phases of
the project. Employees are very important part of the organization and it is very important for the
company to maintain effective connections with them so that they can feel more valued in the

organization and give their efforts in order to achieve the targets and objectives of the
organization.
Challenges
The main challenge for employees as the stakeholder is that if the product reviews are biased,
then company will not be able to provide effective products and services which can actually
enhance profits for the company. There should be strong relationship between employees and
companies so that it is easy to provide them product or service which can fulfill all demands and
needs.
Strategy
The stakeholder strategy helps the organization to gives appropriate approaches so that
they can build and maintain effective connections with their employees in the organization.
Effective relation with employees can help in getting in depth knowledge about needs and
demands for the product. It is very important for the organisation to improve their connections
with their employees so that they can bring more opportunities and overcome the challenges in
context of their requirements and their want. As it is very important for the organization for
manage that employees for considering corporate social responsibility so that they can provide
appropriate satisfaction towards the society and achieve their goals and objectives in order to get
more competitive advantages.
Customer
Stakeholder relationship
Customers have the greatest influence on the quality of products as well as Tesla's profits. The
company determines client demand and devises a strategy to meet it by building a profitable
industry. The value of the work and its cost are two of the most important factor that affects a
company's bottom line. Customers play a critical role in influencing the organization's product
pricing.
Stakeholder analysis

Tesla is mainly concerned with its consumers, and the corporation is working hard to cut
costs while preserving quality (VIJAYALAKSHMI and RAMAN, 2021). For example, in order
to cut product costs, the corporation is attempting to replace its batteries with more cost-effective
batteries. Tesla Motors makes certain that its consumers are happy with their purchases.
Challenges
The main challenge is to evaluate actual needs of customers and provide them product or service
as per their requirement. It is necessary to take surveys and feedbacks to get correct information.
Strategy
It is very important for the company to consider the importance of the stakeholders in the
organization so that they can create positive impact on the organization and create positive
culture in the company (Šimelytė and Dudzevičiūtė, 2017). Tesla can develop effective strategy
for analyzing and evaluating the factors which can help to analyze needs of customers.
Investors
Stakeholder relationship
Tesla was initially heavily reliant on stockholders, who played a critical role in
maintaining the company's cash flow. Shareholders are chiefly worried with the growth and
productivity of the company. Investors Societies have a significant impact on Tesla Motors, as
the company's corporate image is largely impacted by them. Investors include environmental
activists as stakeholders, thus they play an important role in promoting Tesla. Elon Musk
announced in 2014 that other groups can use Tesla's patents, as part of a marketing campaign to
showcase the company's innovations and benefits to customers. Investors have the capacity to
promote the firm, resulting in increased revenue for the company (Muir and Harris, 2017).
Stakeholder analysis
Tesla's investors play an essential role in improving the efficiency of the company's
operations. The organization is able to regulate their numerous business activities with the

support of investors, resulting in excellent business outcome. This vehicle company receives a
lot of help from its investors at the start of the business process. Furthermore, in today's
atmosphere, investors contribute all types of funds to this organization, and as a result, there has
been no banking meltdown in this firm. It is also very important for the company to conduct
stakeholder mapping in every project so that they can identify their effective stakeholders and
identify the triggers of the organization which are facing by their customers as well as their
investors. As a result, it can be concluded that with the help of investors, businesses in various
local and worldwide sectors have been able to expand their operations. Investors are very
important part of the organization because they help the organization to maintain the financial
stability of the organization. There are different kinds of investors who are engaged to the tesla
organization because the company wants to improve their capabilities and maintain their
financial stability. That is why it is very essential for the company to maintain the effective
Challenges
Investors are always one of the most important stakeholder a company requires. That is why it is
essential to impress the investors so that Tesla can have enough funds to start it’s new projects.
One of the biggest challenge is to develop creative ideas for which investors allow to provide
funds.
Strategy
Strategies and the connections with them so that they can achieve their goals and
objectives and overcome the problems and threats facing by the company. In context of the
investor's the organization. Tesla Motors is currently a public firm, which means it is extremely
dependent on public acts. The fact is that the government, as a shareholder, has a significant
effect on Tesla Motors. Legal activities, as well as commercial compliance, play a critical role in
the state's economic success. As a result, the government is one of the most important
stakeholders who have a significant impact on the business. Strategic management is an
important aspect of an organization that focuses on the influence of stakeholders who have the
ability to influence or threaten the business strategy. In order to maintain the company strategy, it
is critical to understand stakeholder power. (LAKSHME, SASANKA and PRIYA, 2020).

Recommendation
From the above mentioned analysis there is little recommendation to the company which
is mentioned below:
 To market the economy of its autos, the corporation should maximize its ties with
environmental groups.
 If there is a competitive danger to the organization Tesla needs to keep a clear line of
communication open with its workers and build a favorable connection with them.
 If any governmental standards or laws have a stronger impact on Tesla, the company
should use swing techniques. The business should strive to alter some of the rules and
make modifications to the descriptions.
 Tesla should ensure that, as a public company, they strictly adhere to all government
rules and laws.
 Finally, if Tesla discovers a stakeholder group with limited cooperative capability and
little competition risk, it should pursue hold methods.
 Tesla could establish a clear communications network with them and offer them good
returns.
CONCLUSION
From the above mentioned report, it has been analyzed that Communities, government,
people/customers, suppliers, financial institutions, shareholders, and employees are all
significant stakeholders in Tesla's expansion and sustainability. Each component makes a
substantial contribution to Tesla Motors' performance, as they are principally responsible for the
company's long-term viability and competitive edge. CSR and environmental initiatives have
significant business implications. For any company it is essential to have proper stakeholder
analysis in order to maintain profit ratio and sustain in market successfully.

REFRENCES
Books and Journal
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attitude & behavior. Journal of Contemporary Issues in Business and Government, 27(5),
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