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PESTE Analysis out of Canada Essay

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3. PESTE analysis

3.1. Political and Legal factors

The company debuts on the Canadian market and more precisely in Toronto. This decision is considering the political climate, whereby the political factors associated with Tesla Motors may focus on the extend of intervention by the Canadian government and the economy. Canadian and American governments have had great influence on withholding the electric car on the market using such factors as tax policy, labor laws, and environmental laws. Moreover, hybrid vehicles have been seriously pushing in the North American market and electric vehicles are gaining traction.
Another factor is that the city council of Vancouver requires all new condominiums to install the 240 volt outlets needed to
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In fact, these trends have an influence on the demand for the products and operations of Tesla Motors. For example, the company has offered a product with 0 emissions that is a viable alternative to gasoline cars, even if they are still a little too expensive with an approximate cost of $60000 (Blog/ 2013 Model S Price Increase, 2012). Consumers focus on purchasing products that are environmentally friendly, though this is finite since the prices are still playing a substantial role in the customer’s decision.

3.4. Technological factors

The technological factors entail the incentives that are mentioned in electric technology that powers the Tesla line-up. The maximum range of the Tesla cars is fairly big with its 300 miles (over 450 kilometers), but a charging station network is still required. Canada is already “plugged-in” for electric charging stations as many cities already have 120-volt outlets. In California, the department of Transport has created charging stations throughout the state, too.

3.5. Environmental factors

The company operations and the products offered by the company are affected by the environmental factors like the growing awareness of the climatic change. These factors are also affecting the consumers due to increase in awareness of the environmental impacts on production. Hence strengthening the environmentalism as the ideology prevailing among the society. Tesla takes part in this ideology by maintaining a low carbon
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