Case Study : Marketing Foundations And Planning

As the EV and HEV trend strengthens, key industry players are offering models that directly compete with Tesla. Competing models include the Chevy Volt and Spark, Nissan Leaf, Toyota Prius, Ford Focus, Honda Fit, Smart Car, Volkswagen Golf, BMW i3, and Mercedes Benz B-class EV (Grant, 2015). However, Elon Musk does not view these offerings as Tesla’s competition. With only 1% of total vehicle sales going to non-hydrocarbon burning cars, Musk identifies Tesla’s true competition as the gasoline cars with production rates of about 100 million per year (Musk 2014).

Tesla Motors, Inc. is an American company that was founded in 2003. The driving idea behind the venture was proving electric vehicles could be a viable substitute of the gasoline powered cars without sacrificing comfort, performance or luxury. Apart from the core function of designing and producing electric cars, Tesla also provides advance electric vehicle powertrain components and know-how to other automakers, which are looking into venturing in the EV (electric vehicles) market, such as Daimler, Toyota and others. The company’s headquarters are located in Palo Alto, California. Due to their specific business and marketing model, namely, no middle-man and little-to-no mass scale

Not only does this provide the company an opportunity to focus all their efforts on the brand image, but it creates a loyal and devoted customer base, in a sense. Drivers with the mindset that electric vehicles are the future, like Tesla Motors, will share that vision with Tesla and continue to support and buy from them.

The purpose of the article is to explain to the reader that battery technology is a huge technology that has hit our market. The article mentioned how Tesla as a company markets their product in a successful manner. The audience for Tesla is generally people who are considered wealthy. Tesla should be careful being a luxury brand when manufacturing cheaper versions of a product, because they may lose brand loyalty. For Tesla being successful, it must be kept as a luxury brand designed for premium users. The article is an excellent detailed source, because it explains in depth their marketing strategies.

I look at some of the vehicles and think of toasters” (Spector). This article discusses the pending issues, and the hurdles Tesla still has to overcome. They recently purchased a new warehouse for battery production, which will address consumers concern about taking long trips without having to stop for long periods of time to charge their vehicles. Tesla also stresses their push to have more charging stations placed throughout the country that will charge vehicles faster, allowing for road trips. According to the Alliance of Automobile Manufacturers, “The 15 fully electric vehicles on sale last year registered 0.4% of overall auto purchases in the U.S.” (Spector). With fully electric vehicles still being so new it is expected to be a small portion of the total vehicles

Tesla Motors is located primarily out of Palo Alto, California. Its main priority is to push the transition from gasoline cars to electric cars in the immediate future. Their vision states, “Create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles.” In order to take on such a daunting task, Tesla is faced with the creation of an improved car that is affordable and can run solely on electric capabilities. But to begin, Tesla realized that they couldn’t begin with an inexpensive electric car because it would have been too expensive to manufacture. So Tesla began working with an expensive sports car: the Roadster. The idea behind this decision from upper management was that profits from the Roadster would pay for a less expensive car. Once the Roadster was created, about 2,500 models were sold in 2012 and 4,900 in 2013, allowing the car to be the top-selling plug-in electric car in North America. The Model S, the next cheaper version of the electric car, won the 2013 “Motor Trend Car of the Year”, the “World Green Car”, “Car of the Year”, and Time Magazine Best 25 Inventions of the Year 2012 award. With these achievements, Tesla Motors has promised to design and sell high-performance vehicles with highly efficient electric motors with no compromises. Tesla

Tesla electric cars first appeared as small, sporty two-seaters. On March 26, 2009, the Tesla Model S was released and marketed as the top-performing all-electric luxury SUV in its class. Considering the Model S’s impressive performance capacities, they make a sound argument. David Ener, writer for Canada’s “The Globe and Mail” newspaper describes his experience of driving the Model S

The company leans towards not only manufacturing electric vehicles, but also producing and selling components of electric vehicles such as Lithium-ion batteries. In 2008, the company produced the Tesla Roadster, its first all-electric sport car. The vehicle is a high performer and can drive up to 250 miles with the use of one lithium-ion Polymer battery pack, which has the capability of stringing twice the energy of a conventional automobile (Mangram, 2012). In addition, the vehicle is capable of accelerating up to 60 mph within four seconds and has a limited top speed of 125 mph. Another car option, the Tesla Model S, aimed at targeting the middle-class customers, starts at a much lower price when compared to the Roadster. The company has

The car business, including manufacturing, distribution and service, is one of the largest industries in the United States. Ford, General Motors, and Chrysler make up 49% of this market and are known as the “Big Three”. Since WWII, no U.S. company, including the Big Three, has been successful in mass-producing a vehicle in the car industry. Perhaps with Tesla’s Blue Ocean Strategy, their innovative way of designing, developing and marketing the electric vehicle, most likely will continue to be successful in this market.

Tesla is a world-famous luxurious car brand which is known for its electric vehicles and energy. The founder of Tesla is Martin Eberhard and the co-founders are Elon Musk, Marc Tarpenning, and Ian Wright, and it is founded on July 1, 2003 as Tesla Motors. Furthermore, the main industries of Tesla are automotive and energy storage. Nowadays, Tesla has their three types of cars that are noticed by the car freaks word-widely. The first one is Model S, known as the safest. The reason why it is, because the performance has been redefined to the “Tesla’s all-electric powertrain” (Tesla). What’s more is that it can be accelerated from 0 to 60 mph. The main concept of Model S is to be the safest type. However, another type of Tesla is the Model X.

The American engineers that formed Tesla Motors wanted to prove that electric cars could be better than gasoline powered cars. Tesla’s products would be cars without compromise and the mission was “to accelerate the world’s transition to sustainable energy”. Since they launched their first car, they have only improved their products and today Tesla have three electric cars on the market

The electric car market highly relies on the capacity of the battery that is used to fuel the vehicle and battery costs said to be the biggest components of electric vehicles. In this regard, the recently opened Gigafactory dedicated to high-efficiency battery production would help benefit Tesla to provide high-performance electrical cars unmatched with other

Tesla Motors Incorporated, an American company that designs, produces, and sells electric vehicles and their electric components, has become one of the fastest growing car companies in recent history. The company’s main goal was to start creating electric vehicles that were accessible and affordable to the public. Founded in 2003 and taking off successfully by 2009, Tesla Motors started selling the first mass-produced vehicle to use lithium-ion battery cells and hold a range of greater than 200 miles on just one charge. Along with building their own electric vehicle models, Tesla also builds electric powertrain components for vehicles from other automakers including cars such as the Toyota RAV4 electric vehicle. Tesla has begun to maximize

Tesla Motors Inc. was founded in 2003 by a group of engineers, one of whom is now the current CEO, Elon Musk. The company was founded on the ideals of not having to compromise to drive electric. These vehicles would be “better, quicker and more fun to drive than gasoline cars” (About Tesla). Tesla launched its first car in 2008, the Tesla Roadster. It is known as the first car to use a lithium-ion battery and revealed Tesla’s cutting-edge electric powertrain. Since then, Tesla has been able to expand with the Model S, Model X, and Model 3 (that has just begun production this year). Not only do they build electric cars but have expanded into scalable clean energy generation, storage products, and charging stations.

Unique position in automotive industry: there is public excitement for the vehicles Tesla manufactures. Tesla has a climbing interest among investors as that population continues to grow and the company’s value is increasing with the development of a sound financial strategy for future value. The intangible appeal of the Tesla car product is the high-value of a new company projecting market confidence.