Innovation and Sustainable Business Development: Tesla Case Study

Desklib provides solved assignments and past papers to help students succeed.

Innovation and Sustainable Business Development
Assessment 1 - Individual Report

Executive summary
The innovation is the rapidly increasing way of dealing with the business operations. This is
majorly necessary for the business to build some innovative approaches which helps to
expand the business in significant manner. There will be the discussion about company tesla,
that is one of the large organization of automotive industry based in California. There will be
the discussion about innovative idea of non-stop engineering which have been implemented
by the company to attain advanced approaches. The main objective of this research is to
understand about the innovation in more brief. This innovation will help to resolve the issues
which faced by organization.

Table of Contents
Executive summary....................................................................................................................2
Introduction................................................................................................................................4
Overview of Tesla......................................................................................................................5
Problem to be solved..............................................................................................................5
Problem insight......................................................................................................................5
Portfolio of generated solution concepts................................................................................5
Solution selection analysis.....................................................................................................5
The disciplined entrepreneurship canvas...............................................................................6
Raison d Etre..........................................................................................................................6
Initial market..........................................................................................................................7
Value creation........................................................................................................................7
Competitive advantages.........................................................................................................7
Value proposition canvas...........................................................................................................7
Provide Assumptions for the following points...........................................................................8
Customer desirability.............................................................................................................8
Technical feasibility...............................................................................................................8
Financial viability...................................................................................................................8
Recommendation........................................................................................................................9
Self-reflection...........................................................................................................................11
Conclusion................................................................................................................................12
References................................................................................................................................13

Introduction
The business development is essentially required for each organization and this needs to have
proper balance of different factors. There is different type of innovations which can help to
attain growth and development. The report will discuss about the company tesla, which is
situated in California. The company is one of the largest organization of automotive industry.
This is one of the automobile organization which deals with the electronic cars with the help
of solar city and solar panel. The company works on the concept of engineering and make
innovation. There will be the discussion about non-stop engineering concept which have been
used by the company.

Overview of Tesla
Tesla existed established in July 2003, by engineers Martin Eberhard and Marc Tarpenning,
entitled Tesla Motors. Tesla Inc. is an automotive and energy based company situated in Palo
Alto, California. The company is the manufacturer of electrical cars which with the help of
solar city and solar panel. Company deals with different type of automotive sector facilities.
Problem to be solved
The problem which have been faced by the organization was related to catastrophic climate
change. The internal performance of company was getting affected due to the lack of
engineering concepts (Osterwalder, et. al., 2010). That was affecting the productivity and
made negative impact on the performance of company. These are some of the issues which
needs to be resolved with the help of innovation.
Problem insight
The major problem was related to the lack of innovation and advancement in the latest cars
which have been initiated by the company. After analysing the internal structure that has been
observed that the major issues were related to the use of good and innovative engineering
approaches. That was the reason the innovation of non-stop engineering had been used.
Portfolio of generated solution concepts
 Artificial trends: The artificial intelligence is one of the concept which showcase the
machine intelligence or working.
 Augmented, mixed and virtual reality: Virtual reality is the concept which makes
some innovation to changes the traditional environment.
 Non-stop engineering: Non-stop engineering is one of the innovation which works
on the concepts and theories of different engineering concepts.
 Smart connectivity: This innovation is showcase the digitalized and advanced
mechanism which helps human begins to connect easily (Manyika, et. al., 2013).
 Automation: This is one of the technology which helps to invent different innovation
with the lack use of human resistance.
Solution selection analysis
There are several concepts which can be used to attain resolution regarding the issues. Tesla
is one of the largest automobile organization which majorly deals with the concepts of
engineering. The current issues of company also revolve to the lack of innovation in the

productivity. The analysis over company help to understand that the innovation of non-stop
engineering can be beneficiary in context of organization growth and development.
The disciplined entrepreneurship canvas
Raison d Etre
 Mission: The mission of company is to attain customer trust and values. They also
aim to attain the effective employment relationship.
 Passion: The passion of organization relates to do the innovation and modification
with the available resources to build impactful electrical cars.
 Values: The major values of company are related to the satisfaction of their
customers. To attain the same organization always looks forward to build balanced
structure of the organization.
 Initial assets: Initially the company had started with the idea to build the automotive
products with the help of lithium-ion and electric motors (Porter & Heppelmann,
2017). The business was started with the use of relevant material and assets in
California itself.
 Initial idea: The initial idea of the business was to change the innovation and use of
cars and vehicle. The company planned to make the automotive vehicles popular.

Initial market
Beachhead: The beachhead market of the company was youth and sophisticated people. The
company is making the innovation of electrical vehicle and these requires digitalized people
to understand the concept.
End user profile: the end user needs to be much understandable to all the techniques which
are inserted in the particular vehicle.
TAM (Total Available Market): The total market of specific products includes several type
of customers which are basically car lovers. Racers, sportsmen, youth and so on (Yao, et. al.,
2014).
Persona: The persona of company is related to the customer values and requirements.
Value creation
 Use case: The company is looking to attain more innovative ideas tom improve the
productivity. One of the idea which have been used by the company is non-stop
engineering.
 Product description: Company Tesla is the largest manufacturer of electronic
vehicle and deals with the solar panel.
 Quantified value proposition: The value proposition of organization is
comparatively large and affordable for the customers.
Competitive advantages
 Moats: The major moats of company are the rapid innovative changes build by the
organization.
 Core: The concept of company includes the concern over values and requirements of
customers.
 Competitive positioning: The organization comes under the top most automotive
organization overseas (Bartnik, et. al., 2018).
Value proposition canvas
 Key partners: More than 150 suppliers, approx. 2000 of resources, GARMIN
navigation system, car leasing company, Panasonic, government etc.
 Key activities: research and development, innovative design, software expansion,
sales and marketing, construction and conservation and innovative approaches.

 Value proportion: The value proportion relates to their customers and employees.
This is the major concern of company to provide values and good environment to
their employees. This is one of the concept of organization that if the employees will
have benefits from company (Osterwalder, et. al., 2014). Then they will perform well.
On the other hand, customers also need to be treated valued and company is looking
to make some approaches which can be helpful to attain customer’s attraction.
 Customer relationship: Good and effective customer services, stable and efficient
relation with customers, provides good and effective products in low cost.
 Customer segments: Company provides highly innovative vehicle on effective price,
affordable and effective
 price, targets to works for both shipping and transportation, also plans to sell battery
packs independently.
 Key resources: electrical vehicle and good knowledge of technology, inverter,
battery co-ordination, automation and engineering.
 Channel: Retail stores and galleries, self-service online stores, sales and campaign
events (Du, et. al., 2016).
 Cost structure: Labour cost, manufacturing, selling and administrative, interest and
taxes, other expanses.
 Revenue system: licencing and electric design, energy generation and storage
segment. Main competitors of company like Nissan.
Provide Assumptions for the following points
Customer desirability
This is necessary for the customers to have good and effective quality product. They also
want to have the proper balance of innovation and modification.
Technical feasibility
The company deals with automotive industry and also attain the innovative idea of electrical
vehicle. To accomplish the objective this is necessary for the company to have impactful
technical feasibility (Shyu & Ding, 2017).
Financial viability
That has been observed that the company is looking to attain the innovative idea of non-stop
engineering. This concept requires to have the good amount of cost and innovation to be
spread on the idea.

Recommendation
The adaption of innovation is large and tricky task and in context of company tesla this sis
necessary to use all of the effective innovations. There is the discussion about some of the
tools which can be helpful to attain resolution regarding any of the issue or challenge which
the trend can occur. One of the tool which can be used is Advanced analytic is one of the
part of data science. This tool can be used in the implementation of non-stop engineering
(Wu, 2017). As this is necessary for the company to have an idea about the innovation future
trends, events, and comportments.
While implementing the innovation this is also necessary for the company to analyse the
market segment as the innovation will make some major changes in the concept. This is
necessary for the company to understand about the needs of current market and have to
analyse the market related to the business. The innovation will make the market enlarge and
needed to understand the requirements of customers. This is also necessary to understand the
pricing values of the innovative product. The main reason of using the technique of non-stop
engineering is to build the most innovative product.
This innovation will enhance the value as well as price of the vehicle as this is necessary to
make balance between the modification and cost of the vehicle. Benchmarking can also help
to resolve the issues related to the implementation of innovation. As while implementing the
this is necessary to understand the internal value of the organization. this tool can help to
analyse the different factors of company (Chen, et. al., 2018). After implementing the plan,
the further concern is related to the understanding the sales channel. As there are several type
of sales channels which could be used to introduce the product or innovative vehicle. Some
of the examples of sales channel are like online availability, stores and so on.
Furthermore, customers can only attract towards the product if they have the idea about
changes and modifications. This is necessary for the company to define the changes of in
significant manner. This will help to get justification and relevance about the innovation
values. Each of the change and innovation always build for the use and satisfaction of the
customers. The customer’s satisfaction analysis one of the way to understand the and
determine the results and success rate of the innovation (Yao, et. al., 2014). It can be
understood that if the customers will be satisfied from the innovation that will surly get the
success.

One of the major element of concern is related to the execution of innovation. The benefits
and concerns of the innovation of non-stop engineering have been defined in the above
research. But this is also necessary to understand the right way to evaluate the innovation in
appropriate manner (Manyika, et. al., 2013). These are some of the recommended tools and
techniques which can helps to execute and implement the innovation in significant manner.

Self-reflection
This case study helped me to enhance my study regarding the needs of innovation. Initially I
was quite unaware about the right way to use the innovative strategies. But the critical study
of mine assist me with the advantages of innovation. There was the discussion about the
innovation of non-stop engineering in context of growth of organization Tesla. I have
analysed that the tool significantly helped to enhance the company performance and attracted
large amount of customer.
Initially, I had some sort of issues related to the communication and some of the aspects of
technology. That was one of my drawback and I personally needed to resolve my weakness.
The study of this case made me understand about the concepts of technology and also
enhanced my knowledge regarding digitalization. This analysis also made my learnings
enhanced and throughout the work I talked to different people which enhanced my
communication skills.

Conclusion
This is concluded from the report that the innovation is necessary for any of the organization
to attain growth and development. There was the discussion about one of the innovation that
is non-stop engineering which is use by the company Tesla. The report had also discussed
about some sort of tools which can be helpful to attain the advantages from the innovation.
Thus, there was the brief discussion about the innovation and also made an understanding
that how can company use it in context of growth and development.