Tesla Case Study Questions Case Study material is provided on canvas in the case

Question

Tesla Case Study Questions

Case Study material is provided on canvas in the case study folder. However, you are also encouraged to collect more information in addition to the reading material provided. If you use outside material, please be sure to cite it properly.

Please provide answers to the following questions in one page, single space,

1. What trends in the general environment have influenced the growth of Tesla?

2. What are the five forces Tesla faces in its industry? Which seem(s) to be having the most influence on Tesla’ profitability? Why?

3. Identify resources, capabilities, or core competencies that are valuable, rare, difficult to imitate, and non-substitutable (at least 2).

4. Conduct a SWOT analysis for the company.

5. If you were Tesla’s CEO, based on the analysis you conducted so far, what strategic direction do you think the company should head towards?

Explanation / Answer

People are looking for eco friendly way of their transportation. This is specific mind that has involved as one of the main factors for the need of electrical cars and created a positive impact on the overall availability of opportunities for the companies like Tesla. As people are turning towards eco friendly solutions, tesla is consistently gaining growth in their respective market segment.

The company faces threat of new entrants, rivalry among competitors, bargaining power of the customers, bargaining power of the suppliers rate of substitution as main five forces.

The most prominent factor that the company is facing is rivalry among competitors. Nissan and Volvo is aggressively entering the same market segment affecting the marketing opportunities for Tesla. As Tesla has Limited production capabilities, these companies are directly affecting overall business of Tesla in the operating segment.

Tesla has an advantage of extensive technology which is being implemented in their vehicles. This technological advancement is there core competency that is differentiating the company from its competitors. Their technological advancement is turned on substitutable and very hard to imitate competency that is being implemented in their operation structure.
Tesla also has state of the art design for manufacturing facilities as well as uses advanced Lithium technology to build their batteries which is also a non substitutable property.

SWOT analysis for Tesla is as follows.

Strength

Company has a very strong brand image as well as the technological advancement provides it an edge over its competitors. As company has availability of very diverse product segment it directly increases their overall availability of operation.

Weaknesses

Weaknesses include Limited market of operation as Tesla is very limited to its origin country and does not have much manufacturing capabilities that could be used for its expansion market. Weakness directly poses a threat of substitution in international markets where the company is not operating adequately.

Opportunities

Tesla has an opportunity to expand its business to the international market as well as to provide adequate support to it operational capabilities. Company can also advance its products into cost effective region by application of such a specific strategies in developing countries where availability of the products can make a huge difference.

Threats

Company has the biggest threat of substitution as different competitors are acting against the company in international as well as the national market, availability of business operations is indirectly posing a great threat due to incremental competition.

If I was the CEO of Tesla then I would have decided to expand the business operation to International markets as well as to increase the overall manufacturing t of company. This type of approach would have provided extensive support to the overall business operation in international as well as national environment and this type of approach would definitely enable overall business opportunities as well as revenue generation for the company.

P.S.- please leave a comment if any explanation is needed.

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.