CEC of Strategic Management

Submitted To

 
Under Guidance Of Dr. Subhash Yadav

Submitted By: -
Vanza Dhruvkumar Sanjaykumar (217370592010)
Chauhan Khushbu Hemantbhai   (217370592011)
Yadav Vrajeshwari Arjunsinh(217370592063)
Mothay Renuka (217370592066)
MBA Sem-3
Academic Year 2021-23
 THE PROBLEM

Gas = Expensive  Earth = In danger  Electric Cars = Boring

 INTRODUCTION TO TESLA

• Founded in 2003 by Silicon Valley Engineers.

•Tesla designs, develops, manufactures electric cars.
• Named after inventor Nikola Tesla.
• Headquarter is located in Palo Alto, California, US. 
• 99,920 Employees in 30 countries in 21 offices.
• 20,000+ Superchargers station
• Tesla’s brand value is 76 billion.
• 4M Teslas are sold.
• Revenue = $21,454 Million.
• Share value = $ 122 per share.
 LOGO
EXPLANATION
HISTORY:

March 2008
2003
The Tesla Roadster hit the June 2008
Founded by Elon Musk,
streets as a car with no equal.
Martin Eberhard, and Marc Announced Model S 
Eventually sells 2,150 of
Tarpenning.
Roadsters. 

May 2010
2 years later
Jan 2010 Tesla buys GM factory in
over 1,650 Roadsters drive Fremont.
Tesla registered for an IPO  emissions-free in more than
31 countries. CA and Toyota signs deal to
cooperate in EV development
 TEAM
MEMEBERS OF TESLA
 Elon Musk
Robyn M. Denholm
Ira Ehrenpreis
Hiro Mizuno. 
James Murdoch
BOARD Kimbal Musk
OF Kathleen Wilson-Thompson
DIRECTORS: Joe Gebbia
Area North America
served
Europe
East Asia
Middle East
Southeast Asia
Oceania
TESLA GROWTH:
TESLA PROFILE

• In the year 2010 if you invested

4 Lakh In Tesla Company
shares, that 4 Lakh Rs. share
value on today value is
66,10,00,000 Rs. 
COMPETENCY
Tesla’s Mission
• to accelerate the advent of sustainable transport
by bringing compelling mass-market electric
cars to market as soon as possible.
Tesla's Vision
• To create the most compelling car company of
the 21st century by driving the world’s
transition to electric vehicles.
COMPETENCY

Goals:
Create affordable mass market electric vehicles
1. Selling their own vehicles
2. Selling patented electric power train
3. Serving as a catalyst and positive example to other automakers
COMPETENCY

Manufacturing & Designing Battery Technology Software

 PESTLE ANALYSIS
P: Government support of green environment project product.
E: Growth rate of markets and value of markets
S: Leading environment culture
T: Dynamics of technology innovation
E: The tendency of companies and individuals towards litigation
L: Geographic distribution of possible markets and suppliers
 Strengths Weaknesses

Market leader in electric

cars in U.S.
• High cost structure
Powerful brand and
marketing power. • Low Production volume
Elon musk- gifted entrepreneur. • One man show
• Low volume production
Innovation
• Shortage of Batteries
Construction of new facilities such as
Gigafactory Shanghai, Gigafactory Texas,
Gigafactory Berlin, etc.
 Opportunities Threats
Large
international
market • Material shortage
potential.
• Competition 
• Limited EV support infrastructure
Introduce in-
Less expensive in North American and Asia
house battery
car
production
• Limited mineral resources
• Customer adaptation
Set of Gov. • Self-driving cars are still a concern
Incentives for
electric cars.
TESLA MOTORS STAKEHOLDERS' ANALYSIS:

1.Communities (highest priority) :  2.Customers:  3.Employees: 

• Tesla’s electric cars perfectly • Influence Tesla’s income • Tesla to accommodate its’
addresses environmental concerns, • Are concerned about quality of the employees’ concerns, that
so we can see that communities are product and justified pricing level.  consist of, first of all, a
pretty satisfied with Tesla’s • To satisfy such a demand company competitive salary and the
ecologically clean and zero-emission right now is trying to reduce the ability for professional
products.  cost of batteries to reduce the growth.
overall cost of the finished product. 
• Also Tesla is trying to satisfy the • So, instead of buying batteries from
communities’ interest in society Panasonic, Tesla is trying to
usage of new and advanced establish the production of its’ own
technologies. batteries. 
4.Investors/Shareholders:   5.Governments: 
• Highly dependent on such stakeholder groups as • Tesla Motors, Inc. is dependent on government
Investors. actions.

• They are crucial to fro the company’s capitalization and • As a stakeholder , governments are concerned
cash flow.  about the legal actions and compliance of the
company and the contribution to the State
• Investors and shareholders are concerned about the economic growth. 
profitability and business growth.
• Strategic plans of global expansion and an
• If the image of the company is positive then it can be excellent record of Tesla perfectly satisfies such
growing and stay focused on new products or government interests.
increasing quality that would allow it to sell more
copies of the cars and stably increase its’ profits,
satisfying investors and shareholders as a stakeholder
group.
TESLA COMPETITORS
Company Market Share
Tesla Inc. 13.84%
Volkswagen Group 11.28%
BYD 8.84%
General Motors 7.64%
Stellantis 5.74%
Hyundai Motor 5.12%
BMW Group 4.82%
Renault-Nissan-Mitsubishi
4.26%
Alliance
Mercedes- Benz Group 4.15%
SAIC Motor 3.5%
Gelly-Volvo Car Group 3.22%
Toyota Motor Corp. 1.9%
BAIC 0.85%
Others 24.84%
 Latest Acquisitions: Siilion
(Nov 2021), ATS Automation
Tooling System (Oct 2020),
Hibar Systems (Oct 2019)
Key Acquisition : SolarCity (Acq.
for $ 2.60B in Jul 2016), Maxwell
Technologies (Acq. for $ 218M in
Feb 2019), Grohmann (Acq. for $
136M in Nov 2016)
Sector Distribution : Energy
Storage Tech, Autonomous
Vehicles, Electric Vehicles
 • The main competing strategy that is adopted by Tesla in
COMPETING the market is broad differentiation and market
penetration.
STRATEGY
• The main sources of competitive advantage to Tesla
include full self-driving models, effective supply
chain practices, vertical integration, and
gigafactories.

• Tesla targets premium as well as low price buyers in

the automobile industry through its wide range of
product offerings.
• Tesla supplies high-quality products in the market. Also, the map includes several other
competitors of Tesla such as BMW, Volkswagen, and NIO, etc. that are also known for supplying
high-quality products at high prices in the market.
Targeting:

• Targets the high-income group and environment-conscious people

• Furthermore, the Tesla products are considered as expensive for the average customer due to the
premium price being charged for various car models.
• However, the Tesla Model 3 targets middle-class customers due to the low price being charged.

Positioning strategy of Tesla:

• Tesla has been positioned as an environment-friendly car company due to a range of electric.
 CONSUMER
ANALYSIS OF TESLA

• The demand mainly

driven by the two main
factors:
1. Rising prices of fossil
fuels
2. increasing desire for
environment-friendly
vehicles among customers.
PARTNERSHIPS:
Water Consumption by Tesla
• Annual water usage per Tesla vehicle was reduced from 5.2 cubic
meters in 2018 to 2.9 cubic meters in 2019. This accounts for 45%
reduction in a year.

Waste Reduction and Recycling by Tesla

• In 2019 Tesla recycled 1,000 tons of Nickel, 320 tons of Copper and
110 tons of Cobalt.

Carbon Emissions by Tesla

• It has been estimated that internal combustion engine (ICE) vehicles,
i.e. vehicles that run on petrol produce 69 tons CO2 emissions during
their lifetime. 
• Tesla electric cars, on the other hand, produce only a small fraction of
these.

Tesla other CSR Initiatives and Charitable Donations

• Tesla served more than 16,000 individuals through its disaster-relief
projects in 2018-2019
• The electric automaker serviced 40 individual sites after major
disasters in 2018-2019
LEARNING

1 2 3
They change their After every 1 year or They are very much
product according to 2 years, they aware of their
changing the world.  innovate new customer's tests and
designs.  preferences.
CONCLUSION

In conclusion, Tesla proved that people don’t need to compromise on

any other front to drive an electric vehicle. 

Electric vehicles could give a better driving experience to the user, and
be quicker and more fun to drive than gasoline or diesel cars.