Tesla Strategic Management Analysis

Running Head: TESLA 0
STRATEGIC MANAGEMENT

TESLA 1
Table of Contents
Introduction................................................................................................................................2
Question 1..................................................................................................................................2
Question 2..................................................................................................................................3
Question 3..................................................................................................................................5
Conclusion..................................................................................................................................5
References..................................................................................................................................6

TESLA 2
Introduction
Tesla Motors designs and manufacturers electric vehicles and bringing new ways of
transportation. Tesla facility is located at California focusing its assembly and manufacturing
operations. Currently, Tesla has 45,000 plus employees and their income for the last quarter
in 2019 was $4.541B, a 33.23% rise annually (macrotrends.net, 2019).
Tesla operates 200 stores plus stores all over the world and one of its finest electric four-
wheeler i.e. Model S was founded by the company in 2012. This report outlines the
company’s strategic position and action including the market reaction to Tesla strategy. It
will help the management to develop relevant strategic management for the purpose of future
direction.
Question 1
Tesla mission is to speed up the world transition to sustainable energy. The company also
targeting luxury market segmentation by producing electric vehicle and endeavour in creating
innovation in relation to continuous innovation. In 2008, the enterprise come up with its first
car, the completely electric Roadster. It was formed no tailpipe emissions as it did not use an
internal combustion engine (Armand and Tarascon, 2008). However, the company, later on,
stopped manufacturing of Roadster in 2012 and emphasis on its new Model S sedan. At the
beginning of 2012, the company also built several stations termed Superchargers in the
Europe and United States and later on those stations was known as Tesla Stations. The
enterprise company also produce solar energy products that can be used in both home and
businesses.
Tesla corporate strategy statement is related to creation of most compelling car enterprise of
the 21st century by pushing the world transition to electric vehicles. In order to achieve this,
Tesla is making various substantial incremental improvements and tweaks to the traditional
way and developing broad ways to their business model. In relation with growth strategy,
Tesla Motors has a concentric diversification and market penetration strategy and they are
adopting this strategy for recently purchased Solar City. The company also formulate
strategies to integrate energy generation and storage. Tesla Motors already manufacturers