Tesla Analysis

Introduction:
Tesla, founded in 2003, is a pioneering company in electric vehicles and renewable energy
solutions. Led by CEO Elon Musk, Tesla is renowned for its cutting-edge electric cars like
the Model S, Model 3, Model X, and Model Y, as well as energy storage products like the
Powerwall. Tesla's relentless innovation and commitment to sustainability have made it a
leading force in revolutionizing transportation and energy.

1. PEST Analysis:
1.1. Political: Government Policies, and Geopolitical Dynamics.
Tesla's success is closely tied to government policies and geopolitical factors in the
regulated automotive industry. Support for clean energy, electric vehicles tax credits, and
emissions standards is crucial. Favorable policies in countries like Norway and the
Netherlands have boosted Tesla's market share, while shifts in government priorities or
trade tensions could impact its global operations.

1.2. Economic: Economic factors heavily influence Tesla's sales and profits. Raw material
prices, currency fluctuations, and consumer purchasing power are key. Stability and
disposable income levels in key markets like the US and China are crucial. Economic
downturns could reduce spending on luxury items like Tesla's electric cars.

1.3. Social: Shifting consumer preferences towards sustainability benefits Tesla. The
growing demand for eco-friendly options and Tesla's image as a leader in sustainable
transportation reinforce its market position amidst the rise of conscious consumerism.

1.4. Technological: Technological advancements present both opportunities and challenges

for Tesla. Innovations in batteries, autonomous driving, and software have made Tesla
a leader, but maintaining this position requires ongoing R&D investment and staying
ahead of emerging trends while safeguarding intellectual property.

2. BCG Matrix:
2.1. Stars: Tesla's electric cars, with their consistent innovations, and its leadership in
sustainable energy services are standout performers in the BCG matrix.

2.2. Question Marks: Tesla's attempts to enter the solar power market face tough
competition, making these products question marks with potential for growth given
increased investments.

2.3. Cash cows: The Powerwall battery stands out as a reliable income earner for Tesla,
even in a slow-growth market.

2.4. Dogs: While there are no glaring dogs in Tesla's portfolio, certain models facing
manufacturing complications may warrant consideration for phase-out.
Done by: Zahra Husain
ID: 00751890