MKT306 Assessment Question

Marketing strategy

Table of Contents
INTRODUCTION ..........................................................................................................................3
PART 1............................................................................................................................................3
EXTERNAL ANALYSIS...........................................................................................................3
INTERNAL ACTORS................................................................................................................5
SWOT ANALYSIS.....................................................................................................................6
ANALYSIS OF COMPETITIVE ADVANTAGE (USP)..........................................................6
TESLA'S VRIO MODEL...........................................................................................................6
MARKETING STRATEGY.......................................................................................................7
TESLA SALES GROWTH.........................................................................................................7
PART 2 ..........................................................................................................................................8
Q. Analyse and describe market segmentation, targeting and positioning ?..............................8
Q. explain objectives and goals for Tesla and describe in deep by using the model SMART ?.9
Q. Describe marketing strategies of Tesla on the basis of marketing mix by explain 7 P's ?...11
............................................................................................................................................12
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing strategy is an approach which is forward looking and set for long term. It
indicates complete game plan for whole business to reach prospective customers and make their
conversion into consumers of brands products. The strategies of marketing include value's of
company's preposition, brand messaging, target audience based data related to demographics,
other elements of high levels are also part of it. The organisation that was selected in this
assignment is Tesla, as it deals in auto mobile industry. Its an American electric vehicle and
clean energy company based in Palo Alto, California. Electric cars, solar panels, solar roof tiles,
battery energy storage from home to grid scale. The Chief executive officer of the brand is Elon
Musk. The company was founded in California, United States. Maxwell technologies, Solar city
are few examples of their subsidiaries. The brand has approx. 48,016 employees. Tesla designs,
develops, produce and sells electric vehicles and to serve the work of energy storage. The report
are divided into two portion that are PART A & PART B. The project covers the topics
PESTLE, SWOT, Analyse competitive advantage after explaining USP, evaluation of current
marketing strategy. In second part of the report analysation of market segmentation Targeting
and positioning is describe. SMART can be explain in detail along with determining goals and
objectives of Tesla. And the topic related to recommendation of marketing strategies on the basis
of P's of marketing mix in respect of selected company is also done in the assignmentSalman,
2019)
PART 1
EXTERNAL ANALYSIS
External analysis includes PESTLE. PESTLE is an acronym for Political, Economical,
Social, Technological, Legal and Environmental Analysis in regards to the forces which is not in
control by any organization but have to accept and adhere to it. It directly affects the company's
performance and its goodwill and also the internal management of the organization.
The PESTLE Analysis for the TESLA is as follows:-
 Political Factor: Political analysis refers to the impact of government and its policies on
industry and on organization which affects the firm externally. Since Tesla operates on
electronic vehicles manufacturing so this function helps the company to get various
incentives from the government as the electric vehicles reduces the carbon emission in
the environment which saves the planet from pollution.
◦ Positive impact:- Since the company is getting incentives from government so the
factor has a positive impact on Tesla.

◦ Negative impact:- If Tesla does not goes with the governments policies then it has to
face severe consequences or may be difficult for it to gain incentives.
 Economical Factor: The economic factors effects the company externally in a way such
as inflation, economic growth, unemployment, interest rates, etc. Economic factor of the
country is in favourable condition for Tesla as the demand of electric vehicles in the
market is increasing continuously and the demand leads to increase in supply which
ultimately helps the economy to boost up. When any economy gets boost up it is a
growth of the nation and growth is always preferable by any country or by any
organization.
◦ Positive impact:- If Tesla continues the production of electronic vehicle then the
factor has a positive impact on company in terms of growth.
◦ Negative impact:- If the country is facing a downfall in the economy then it will
affect Tesla negatively.
 Social Factor: Social factors of any country depends upon the society's culture,
preference, acceptance, ethics etc. since every organization survives within the society so
it has to adhere to the society's culture. Tesla is satisfying the society's preference as
people are now more concern about less use of fuel and focuses on reduction in carbon
footprints. Tesla is offering electronic vehicles in the society which is meeting the
demands of its customers and is accepted by the society.
◦ Positive impact:- Until the company is offering ozone-friendly products to the
society, the factor is in favour of Tesla.
◦ Negative impact:- When the company starts ignoring the society's culture, preference,
ethics then the company have to face disaster and will impact the organization's
performance negatively.
 Technological Factor: Continuous up-gradation in the technological world affects the
company's performance and its quality directly in both the ways that is positive and
negative both. It comprises of Research and Development, ICT innovation, automation
and E-commerce. To Tesla the technological factor is both a friend and an enemy. Friend
in the context as it gives an competitive advantage to the firm over its rivalries. Enemy
in the context that technology is very dynamic,, there is a frequent change in
technological environment in the market and accepting technology so frequently is
sometimes not possible for the company.
◦ Positive impact:- If the company is gaining the competitive advantage over its
competitors then the factor has a positive impact on Tesla.
◦ Negative impact:- If the technological change is very fast then it will be tough for the
company to meet the change and hence will affects its performance.
 Legal Factor: A macroeconomic factor which affects any organization both externally
and internally through governmental rules and regulations and various corporate laws
which is inseparable from any organization and to which every company needs to comply
with, if wants to survive in the market without any disturbance. It consists of various
copyright or patent laws, employment laws, consumer protection laws, etc. Since Tesla
is operating in more than one country so it needs Tesla to abide by the legal rules and
laws of each nation.
◦ Positive impact:- Tesla following rules and laws in every operating nation will
possess a positive impact on the company.