You are on page 1of 1

5. What other corporate strategies would Tesla have used?

Testa decided to seek to maximize the return on its investment by entering the
segment where the products have higher prices and margins, and at the same
time require a lower production capacity in terms of number of units. These are
the elements that define this entry strategy:

High price and margin product to quickly recover the investment with a
shorter production run.
With more features and cutting-edge technologies
Lower investment
Innovative and environmentally friendly electric vehicles that differentiate
you from the competition.
Competitive pricing in the very high-end market.
To market its product directly starting with the markets with the greatest
potential for high-end vehicles (USA, Northern Europe, and China).

7. What actions did Tesla take to meet the challenge of continuing its
internationalization strategy?

Tesla has revolutionized the automotive market with the development of its
electric vehicle engine. Being a pioneer in its technology, today it is positioned
as a leader in the electric vehicle market, obtaining the "gap" with potential
competitors in this market.

On the other hand, Tesla expands the satisfied needs of its target segment,
betting on technology, through the updates applied by the software incorporated
in its vehicles, which always allow internet connection. It differentiates itself from
traditional car brands by using this innovative technology that takes up less
space than traditional technology.

You might also like