Applying Tesla's Model: A Case Study on Organizational Strategy

This case study examines how a local organic skin care firm implemented a business strategy inspired by Tesla's model. As a manager, the author was responsible for various tasks, including client meetings and business expansion. Recognizing the challenges in the initial phases, the author drew inspiration from Tesla's approach of launching premium products first. The firm launched a premium night care regime, focusing on scar treatment, anti-aging, and skin rejuvenation, which initially saw success with around 300 buyers. The strategy evolved to include a focus on service and marketing, establishing a dedicated team to handle customer queries. The final step involved maintaining innovation in product design and core materials to maintain a competitive edge. This case study highlights the importance of strategic thinking, customer service, and continuous innovation in business development.

Organizational Strategy and Policy
Organizational Strategy and Policy
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Organizational Strategy and Policy
This incidence is from my workplace when I was a manager at a local organic skin care firm. I
was responsible for a lot of work there. Since the company was new and was currently in its
first phase of establishment, I was responsible for meeting clients, fixing deals and even for
the onsite work as well. My time at this company was most valuable since it gave me some
real time skills to deal with people and clients, dealing with suppliers, working towards
business expansion and promoting the business in the local market as well.
The business was seeing a lot of turbulence in the initial phases and that’s when I got
reminded of the business model of Tesla, and I felt that we could do something like this!
While not a lot of companies try to go head on with premium and elite products, I came up
with strategy (KRISTINA ZUCCHI, 2018). We decided we will be launching a night care
regime. This night regime will be for women and men across all ages and will focus on scar
treatment, anti-ageing and skin rejuvenation. Since our products are cruelty-free and
handcrafted made to order, we let out a lot of word in the market regarding this. So
according to the first phase of the Tesla model, we launched this premium night care regime
costing around $60 for three products. While a lot of people termed it steep, we still did
have around 300 buyers in the first lot itself! This was quite an achievement for our first
order. The number, however, fluctuated till the next three orders but by the end of the year,
we were going steady with around 350 orders in a month. This technique had worked off,
even though it was a pure gamble! With our vegan brand people trusted us for the cost they
gave and the results they saw were gradual and lasting (Musk, 2016).
Following the Tesla footsteps, the next obvious step was to focus on the service and the
marketing of the products. While these products were selling for themselves, we still had
certain customers who needed help in various ways. So the next step was to establish a
team who could handle all the queries (Folagbade, 2018). So this team was eventually
trained. I realized the importance of service and marketing hold for business only now. It
was tough to take on our customers head-on, but eventually, with the right strategic
approach it was quite possible and we successfully managed to retain our customers. The
last step of the Tesla model was maintaining innovation. Our products have been designed
in such a way that we will soon start to influence the market according to our line, especially
because of the materials we use and the way they are made. This innovation in design and
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Organizational Strategy and Policy
the core of the product has helped us maintain its essence and at the same time win over
our competitors in the long run (Leonard, 2019).
Reference
KRISTINA ZUCCHI, C. (2018). What Makes Tesla's Business Model Different? Retrieved from
https://www.investopedia.com/articles/active-trading/072115/what-makes-teslas-
business-model-different.asp
Folagbade, O. (2018). The Business Model of Tesla. Retrieved from
https://www.linkedin.com/pulse/business-model-tesla-omolola-folagbade
Leonard, K. (2019). Importance of Service Marketing. Retrieved from
https://smallbusiness.chron.com/importance-service-marketing-43273.html
Musk, E. (2016). The Secret Tesla Motors Master Plan (just between you and me). Retrieved
from https://www.tesla.com/blog/secret-tesla-motors-master-plan-just-between-
you-and-me
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