History of Tesla Motors

This article provides a detailed history of Tesla Motors, from its founding by Martin Eberhard & Marc Tarpenning to its current success under the leadership of Elon Musk. It discusses the company's market strategy, competitive advantage, and the role of Elon Musk in its growth. It also includes a SWOT analysis of Tesla Motors, highlighting its strengths, weaknesses, opportunities, and threats in the industry.

Running head: TESLA MOTORS
MANAGEMENT
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HISTORY OF TESTA MOTORS
Tesla Motors is a very well known name in the automobile industry. It is the first
American Motor company that made it public following Ford in the year 1956. Going back to the
history of this company on can see that it was funded by Martin Eberhard & Marc
Tarpenning who was influenced by the ideas of a famous engineer named Nikola Tesla. The
company kept on moving forward by following a proper market strategy, and this helped them
gain a proper competitive advantage in the market (www.tesla.com).
Elon Musk became the CEO of the company in the year 2004. He is one of the most
eminent persons in the industry. He developed a deep insight into computers right from the
young age of 10. He has a brilliant academic record and is a highly talented person to have taken
charge of Tesla. He studied at queen's university (Canada) & Upenn. He did his majors in
Economics & Physics. Elon Musk can also be termed as the founder of Tesla because he has
perfected the Roadster and also kept in mind the sustainable environmental aspect. He has not
only increased the sale of Roadster but also devised the eco-friendly technology and made them
run on lithium-ion batteries. Between the years 2004 to 2008, Elon Musk has brought many path
breaking changes and developments in Tesla Motors. Elon Musk has a huge role in making it
one of the most sought after companies in the automobile industry.
SWOT ANALYSIS
Strength
One of the major advantages is the usage of modern and scientific technology. Tesla
keeps on upgrading their resource base on a continuous basis (Vynakov et al., 10). Tesla enjoys

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stable political support. The Government takes part actively in providing them with the necessary
funds that they need for hiring the best expertise and raw materials from outside. Team spirit and
leadership also help them to follow a proper employee-centric approach. They try to stay true to
their mission that is “To accelerate the world’s transition to sustainable energy”. Brand
recognition is one of their major strengths. Tesla does not believe in advertising rather they carry
on direct marketing for developing a strong connection with their customers.
Weakness
Laying off the workers is one of their weaknesses. They might often lose good expertise
while laying off the employees. The high price of the products often turns out to be their
weakness. Competitors can offer low price and discounts to attract customers.
Opportunity
Tesla must expand globally in order to appeal to all the customers present in different
parts of the world. The company has to look after the opportunities of business diversification in
order to satisfy the changing needs of their clients.
Threat
Stiff competition from outsiders is the biggest threat that Tesla has to deal with. There is
a chance of getting a very tough competition from the organizations like 2018 Kia Soul EV,
2018 BMW i3,2018 Nissan Leaf and many others. These firms will come up with the latest
technology and better affordable price that might win over the customer base. Thus Tesla will
have to follow the method of continuous improvement to stay in the competition.

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References
Vynakov, O. F., E. V. Savolova, and A. I. Skrynnyk. "Modern electric cars of Tesla Motors
company." Automation of technological and business-processes Volume 8 (2016): 9-18.
"www.tesla.com". Tesla.com, 2019. Online. Internet. 29 Apr. 2019. . Available:
https://www.tesla.com/ Available at- https://www.tesla.com/