In an era in which disruption is one of the most used words in business, Tesla Motors has been attracting media attention during the last few years, especially in North America and Europe, due to is innovative offering and the fresh air it has brought into the car manufacturing industry. This is the reason why we have decided to choose this company for our reflections on corporate strategy in the MBA.
Our methodology in this assignment will be to critically analyze Tesla’s current market approach as part of its global corporate strategy to be able to latter see how harmonized they both are and how likely they are to finally succeed given the current market conditions and competition. For this task we will firstly determine Tesla’s potential market and then we will use one of marketing’s most known tools, the SWOT analysis, divided up into an internal and external analysis of its strategic advantages and disadvantages, to get a clear picture of the company’s competing position. We will also comment Tesla’s pricing strategy using some of the pricing concepts reviewed during the MBA course syllabus. Lastly, we will adopt the role of a business analyst to make some forecasts on the company future development and recommendations based on the outcomes of our analysis.
Table of Contents
- 1. INTRODUCTION
- 2. THE COMPANY AND ITS PRODUCTS
- 3. MARKET DEFINITION AND POSITIONING
- 3.1. Customer
- 3.2. Market position
- 3.3. Competitors
- 4. EXTERNAL & INTERNAL ANALYSIS (SWOT ANALYSIS)
- 4.1. EXTERNAL
- 4.1.1. Opportunities
- 4.1.2. Threats
- 4.2. INTERNAL
- 4.2.1. Strengths
- 4.2.2. Weaknesses
- 4.1. EXTERNAL
- 5. CORPORATE STRATEGY
- 5.1. Price
- 5.2. Strategy
Objectives and Key Themes
This assignment critically analyzes Tesla's market approach and global corporate strategy, assessing their alignment and likelihood of success. The analysis aims to determine Tesla's potential market, utilizing a SWOT analysis to understand its competitive position, and examining its pricing strategy. The final goal is to provide forecasts and recommendations for Tesla's future development.
- Tesla's market position and competitive landscape
- Internal and external factors affecting Tesla's success
- Tesla's pricing strategy and its effectiveness
- Tesla's corporate strategy and its alignment with market realities
- Future prospects and recommendations for Tesla's development
Chapter Summaries
1. INTRODUCTION: This introductory chapter sets the stage for the analysis of Tesla Motors' corporate strategy. It highlights Tesla's significant media attention due to its innovative approach to car manufacturing, positioning the company as a disruptor in the industry. The chapter outlines the methodology, emphasizing a critical analysis of Tesla's market approach and global corporate strategy to assess their harmony and chances of success. It previews the use of SWOT analysis to gain a clear picture of Tesla's competitive position and a review of its pricing strategy, concluding with a promise to offer forecasts and recommendations based on the analysis.
2. THE COMPANY AND ITS PRODUCTS: This chapter provides an overview of Tesla Motors, its origins in Silicon Valley, and its mission to accelerate the world's transition to sustainable energy through affordable electric vehicles. It details the company's geographical expansion, its initial public offering (IPO), and its significant employee count. The chapter emphasizes Tesla's disruptive influence on the automotive industry, presenting it as an innovative force challenging conventional car manufacturing. It introduces Elon Musk as a visionary leader spearheading this disruption and showcases the limited but impactful range of Tesla's product line (Roadster, Model S, Model X, and the upcoming Model 3).
3. MARKET DEFINITION AND POSITIONING: This section delves into Tesla's market definition and positioning, likely covering its target customer base, its competitive standing within the electric vehicle and broader automotive markets, and a comparative analysis of its key competitors. The chapter would analyze factors such as market share, brand perception, pricing strategies, and technological advancements to understand Tesla's position within this competitive landscape, setting the groundwork for the subsequent SWOT analysis.
4. EXTERNAL & INTERNAL ANALYSIS (SWOT ANALYSIS): This chapter presents a comprehensive SWOT analysis of Tesla Motors, identifying its internal strengths and weaknesses, and external opportunities and threats. The external analysis would explore factors such as market trends, technological advancements, government regulations, and economic conditions, while the internal analysis would focus on Tesla's resources, capabilities, organizational structure, and operational efficiency. This detailed assessment would be crucial for formulating effective corporate strategies.
5. CORPORATE STRATEGY: This chapter examines Tesla's overarching corporate strategy, likely focusing on its pricing strategies and the overall approach it takes to achieve its objectives. Detailed analysis of its pricing models, considering factors like cost-plus pricing, value-based pricing, or competitive pricing, is likely included, alongside an explanation of how these strategies align with Tesla’s overall long-term goals, market position, and brand identity. The significance of its chosen strategy in achieving sustainability and market leadership would be a core discussion point.
Keywords
Tesla Motors, electric vehicles, corporate strategy, SWOT analysis, market positioning, pricing strategy, sustainable energy, disruptive innovation, competitive advantage, Elon Musk.
Tesla Motors Corporate Strategy Analysis: Frequently Asked Questions
What is this document?
This document provides a comprehensive preview of an analysis of Tesla Motors' corporate strategy. It includes a table of contents, objectives and key themes, chapter summaries, and keywords. The analysis critically examines Tesla's market approach, global corporate strategy, and its potential for success.
What are the main objectives of the analysis?
The analysis aims to:
- Determine Tesla's potential market.
- Utilize a SWOT analysis to understand its competitive position.
- Examine Tesla's pricing strategy.
- Provide forecasts and recommendations for Tesla's future development.
What key themes are explored?
The key themes include:
- Tesla's market position and competitive landscape.
- Internal and external factors affecting Tesla's success.
- Tesla's pricing strategy and its effectiveness.
- Tesla's corporate strategy and its alignment with market realities.
- Future prospects and recommendations for Tesla's development.
What is covered in the Introduction chapter?
The introduction sets the stage for the analysis, highlighting Tesla's innovative approach and disruptive influence in the automotive industry. It outlines the methodology, emphasizing a critical analysis of Tesla's market approach and global corporate strategy to assess their harmony and chances of success. It previews the use of SWOT analysis and a review of its pricing strategy.
What does the chapter on "The Company and its Products" cover?
This chapter provides an overview of Tesla Motors, its origins, mission, geographical expansion, IPO, and employee count. It details Tesla's disruptive influence and introduces Elon Musk as a visionary leader. It also showcases Tesla's product line.
What is discussed in the "Market Definition and Positioning" chapter?
This chapter delves into Tesla's target customer base, its competitive standing within the electric vehicle and broader automotive markets, and a comparative analysis of its key competitors. It analyzes market share, brand perception, pricing strategies, and technological advancements.
What does the SWOT analysis entail?
This chapter presents a comprehensive SWOT analysis, identifying Tesla's internal strengths and weaknesses, and external opportunities and threats. The external analysis explores market trends, technological advancements, government regulations, and economic conditions. The internal analysis focuses on Tesla's resources, capabilities, organizational structure, and operational efficiency.
What is covered in the chapter on "Corporate Strategy"?
This chapter examines Tesla's overarching corporate strategy, focusing on its pricing strategies and overall approach to achieving its objectives. It analyzes pricing models and how these strategies align with Tesla’s long-term goals, market position, and brand identity.
What are the keywords associated with this analysis?
The keywords are: Tesla Motors, electric vehicles, corporate strategy, SWOT analysis, market positioning, pricing strategy, sustainable energy, disruptive innovation, competitive advantage, Elon Musk.
- Quote paper
- Santiago Mas Mas (Author), 2016, Tesla Motors. SWOT analysis and corporate strategy, Munich, GRIN Verlag, https://www.grin.com/document/437676
