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BUS/475v10
Project Plan
BUS/475 v10
Page 2 of 2
Wk 4 – Apply: Project Plan
Project Title: Tesla ExpansionProject Objectives:
· Establishment of a supply chain in every continent
· Global Marketing Campaigns
· Expansion of Charging facilities globally
Operational Step
Responsible Person
Timeline
Establishment of supply chain in every continent.
Chief Technology Officer
5 years
Global marketing campaigns
Founder
1 year
Expansion of charging facilities globally
Chief Technology Officer
10 years
Project Title: Desert Taco Opportunity
Description: There is an opportunity that exists for Tesla to
expand its operations across the world. There is an increased
awareness of the need for a huge sales volume and this can only
be achieved through a global expansion. It is essential for Tesla
to move away from the United States and China to other areas
of the world including the developing nations.
Establishment of supply chain in every continent.
Operational Step
Responsible Person
Timeline
Analyze sales data for the potential locations to understand peak
sales periods
John (Director of Sales)
4 weeks
Identify ten locations where the pilot stores can be established.
John
3 weeks
Develop marketing strategy for the traditional media and for
social media.
Shannyn Sneed (Marketing Director)
8 weeks
Provide the needed sales capacity and inventory requirements
for the expansion
John
3 weeks
Global Marketing Campaigns
Operational Step
Responsible Person
Timeline
Identify four different target customer bases on categories of
purchase power, location, and brand loyalty.
Shannyn (Marketing Director)
6 weeks
Survey customers on their automobile preferences and
environmental awareness.
Shannyn
8 weeks
Identify brand influencers for the marketing campaign.
Shannyn and John
3 weeks
Share the customer feedback with the operational teams.
John
4 weeks
Expansion of charging facilities globally
Operational Step
Responsible Person
Timeline
Based on market analysis and customer feedback, determine
inventory required to begin piloting in 10 identified locations
globally.
John
9 weeks
Obtain delivery timelines together with availability of supplies
with prices for the charging stations worldwide
JB Straubel (Chief technology officer)
4 weeks
Determine availability of critical support facilities such as
powerlines and security for stations against vandalism.
Shannyn and John
12 weeks
Provide legal guidance on establishment of the charging
stations.
Jonathan Chang (Tesla General Counsel
8 weeks
Justification
It is important for tesla to have a proper plan when looking at
the way ahead in expanding to other areas of the world ahead
from the United States and China. Expansion requires an
organization to have a solid plan which is to be followed
together with the members of staff who are responsible for each
of the tasks. The first thing to note that is establishing a plan to
expand globally is not easy and a supply chain takes extensive
periods to develop. A supply chain requires all parties to be
aware including the suppliers and the authorities in the hosting
countries. It is important to have a distribution mechanism for
all of the consumers to access the product easily as opposed to
waiting for weeks for shipment and incurring numerous costs in
terms of shipping. It is important to look at sales data for each
of the locations selected to understand the purchasing behavior
of all of these consumers. Consumers will buy vehicles at
different times and this will help in knowing the best time to
enter the market where disruption is easy. The consumer data
will also assist in understanding the approach in marketing.
Before beginning with the global supply chain, it is important to
come up with a pilot project with 10 locations. Each of these
locations will be used to test the effectiveness of the global
supply chain and the model which is to be used.
The second thing that the company will do is to engage in
global marketing campaigns. The marketing campaigns will
reach the customers in all parts of the world through both
traditional and social media. The use of these campaigns will
make the market ready to receive the goods. It is important for
customers to be aware that tesla exists and its products are of
good quality. The campaigns around the world should be
engaged in showing consumers about the new improved product
which will protect the environment and revolutionize how
people travel. It is important to understand the global market
and segment it so that targeting is specific to where it is
required. Similarly, it is important to look for brand influencers
who will act as ambassadors of the tesla products. The third
action will be to expand the charging facilities all over the
world so as to support the new products that are coming in. it is
important to have these facilities in various areas around the
world so that a client can move around without worries that they
would need to go home for a charge or they cannot afford to go
for long distances before they need to charge again. It is
important to have the infrastructure ready for the consumer in
all parts of the world to know that they can have the electric
vehicle and use it wherever they are. Legal guidance is also
required so as to understand operations in the different
countries.
Copyright 2019 by University of Phoenix. All rights reserved.
Copyright 2019 by University of Phoenix. All rights reserved.
Running head: TESLA EXPANSION 2
TESLA EXPANSION 2
Tesla Global Expansion
Shawn Cyr
BUS 475
31 March 2020
Mr. Simpson
The opportunity which Tesla needs to exploit is to go into
expand its market into the developing countries. The reason for
choosing this opportunity is that Tesla today operates in a small
market. The company has the majority of its revenues from the
United States with a small percentage from China. The
contribution from the developing world is limited. The presence
in these countries limits the growth of the company and the
economic development of the developing world. The company is
not able to expand into the developing world also because of its
limited supply chain. There are countries around the world such
as India which are experiencing economic growth but tesla has a
limited presence there (Thomas & Maine, 2019). It is important
to have an emphasis on the operations of the company around
the world so that it can compete with other established firms
such as General Motors. The company can go further into the
global market through purchase of other competitors which
already have a footprint in the developing world. Through a
wider market reach, the company will be able to expand its
revenues and have a wide footprint around the world. The
renewable energy wave is everywhere around the world today
but tesla has limited itself to the US market. There are chances
to exploit in renewable energy around the world today.
The opportunity to expand will bring more revenue to the
company as a result of the increased market. At the same time,
there are projections around the world that the battery electric
vehicle industry is to experience the explosive growth. Tesla is
already a well-known brand around the world but its products
are yet to reach the developing world. Tesla is positioned to
capitalise its brand strength to get more expansion and growth
(Gilson & Abbot, 2017). Tesla can go further into the expansion
to become a global icon as the world becomes electric.
Timelines and Responsibilities
Project task or deliverable
Timeline
Founder
Chief Financial Officer
Board of Directors
Investors
Chief Technology Officer
Establishment of supply chain in every continent
5 years
R
C
A
I
R
Global Marketing Campaigns
1 year
R
R
A
I
I
Expansion of charging facilities globally
10 years
A
C
A
I
R
The objectives that have been set are to establish the supply
chain in every continued around the world, set up global
marketing campaigns, and expand the charging facilities around
the world. These objectives are important for the company to
exploit its vision of expanding further outside the United States
and China. The supply chain will make sure the consumers can
get the products as and when they need them as opposed to
waiting for supplies from overseas (Thomas & Maine, 2019).
The second objective is to expand with marketing campaigns
that are global. Manufacturers such as Toyota run global
marketing campaigns and it is important for Tesla to do so as it
seeks to expand its market share. The third objective is to make
sure that the charging infrastructure is available to its new
consumers. It is important for infrastructure to be there around
the world as more consumers embrace the use of the electric
cars. They should be ready so that consumers are convinced that
it is possible to own an electric car especially in the developing
world.
Metrics
The first objective that is there is to establish a supply chain in
every continent around the world. This objective is to make sure
that consumers can access their products when they need them.
It is important to make sure that the supply chain is as strong as
the one already in the United States. The first metric for
evaluation of this objective is by looking at the global
distribution of the supply stores and warehouses. The metric is
appropriate to show if there is progress in setting up shop in
every continent in the world. The second metric to measure this
objective is to measure the amount of time it takes to delivery
the product to consumers in various parts of the world. This
metric is important as it will tell whether the supply is strong
enough and properly established.
The second objective is to set up global marketing campaigns
for the products sold by Tesla. The first metric that can be used
is conducting surveys around the world to understand the brand
awareness. This metric is important as it will show if the
consumers are aware of Tesla and the products and services
which it offers. The second metric to measure achievement of
global marketing campaigns is the amount of orders that are
coming in. The sales and enquiries and their distribution around
the world will tell if the message is reaching the people.
The third objective is to establish charging infrastructure
around the world. It is important to have the appropriate
charging systems around the world so that consumers can
believe that they can survive using the electric cars. The first
metric that can be used to measure is the number of charging
ports that it has either as a company or through third parties.
The number of charging stations is an appropriate metric as it
shows if they are enough to meet the consumer demand. The
second metric that can be used is the increase of sales in areas
where the charging stations are set up. The presence of the
charging stations should be an encouragement for the consumers
to invest in an electric car.
References
Thomas, V. J., & Maine, E. (2019). Market entry strategies for
electric vehicle start-ups in the automotive industry–Lessons
from Tesla Motors. Journal of Cleaner Production, 235, 653-
663.
Gilson, S. C., & Abbott, S. L. (2017). Tesla: Financing Growth.
BUS/475v10
WK 2 Apply: SWOT Analysis
BUS/475v10
Page 2 of 5
Wk 2 – Apply: SWOT AnalysisName: Selected Organization:
TESLA
Complete a SWOT analysis from a global perspective, if
applicable.
Strengths
Weaknesses
· The use of proprietary technology.
· Strong market among millenials conscious about climate
change.
· first to produce fully electric car.
· A variety of models such as model S and X.
· A CEO with a good reputation and track record.
· Use of own distribution channel through its stores.
· Customers are yet to fully adopt electric vehicles.
· High cost of production leading to high price.
· Longevity of batteries.
· Inadequate infrastructure for use of electric cars around the
world.
· CEO is also head of Space X.
Opportunities
Threats
· Unexploited markets in the developing world.
· New advances in technology which can increase battery life.
· Production of new low price models.
· Increased environmental awareness.
· Various lawsuits which delay and inhibit innovations and
global expansion.
· Lack of enough government subsidies which drive up prices.
· Increased competition from established companies with hybrid
and fully electric models.
Analysis
There are several strengths that Tesla has which it can use in
exploiting the opportunities which it has today. Tesla is led by
Elon Musk who has a good reputation and is well known in the
tech industry. The presence of this CEO gives the brand a better
image and credibility as it continues in its quest to make the
world more electric. Tesla can use the strength of such a brand
in the company and the CEO to grow as it exploits the middle
class in the developing nations. This is a market which is aware
of the company and his work and he can be trusted as he
introduces the product there. At the same time, Tesla is popular
among millennials and other younger age groups. These younger
age groups make marketing easy through social media for
promotion of the brand. At the same time, the number of young
people in the world who are environmentally conscious is
growing. Through the cutting down of marketing costs through
use of social media and a larger market around the world, the
company can start enjoying economies of scale (Qayyum et al.,
2020). The company can also license its proprietary technology
to other companies and use the money to subsidize the price of
its products to reach a wide range of customers. Tesla is the
first company to produce a fully functional electric car and is
trusted by the consumer. It should work on getting batteries
with a longer life attracting more consumers who can see the
practical use of the electric car. The distribution using its stores
is a strength which can be exploited through opening up of new
stores in the developing nations and other areas where it is yet
to venture.
One of the weaknesses that Tesla is currently experiencing is
that its CEO is also the CEO of Space X. The company has not
had a good performance for many years and this risks ruining
the image of the CEO. At the same time, there is the perception
that there is conflict of interest and as the leader he needs to
concentrate on one company. The company can convert this into
a strength by separating the top management of the two and
Space X getting a new CEO. The other weakness that Tesla
faces today is that its prices are considerably high. The prices
can be reduced to make them more affordable through expansion
of the market and licensing out the proprietary technology to
subsidize the costs (Ingle & Phute, 2016). The company should
also exploit social media for marketing purposes and work on
getting better economies of scale. Customers around the world
are concerned that there is insufficient infrastructure for use of
the electric cars. Tesla needs to lobby for governments to come
up with infrastructure that will support the use of the electric
cars such as charging stations. Tesla can also do this through
setting the infrastructure themselves through arranging for the
government to give it subsidies. There are customers today who
are still wary of using the electric cars. The company can turn
this into a strength through creation of awareness using
channels such as mainstream and social media.
The threats that the company is facing are substantive and need
to be carefully dealt with. There is competition from the
established manufacturers who are getting into manufacturing
hybrid and electric vehicles. The company can mitigate this
threat through capitalizing on the fact that it was the first to
produce a fully electric functional vehicle. It is important to
show consumers of the quality that the brand brings through
aggressive marketing and continued innovation. The company is
best placed to compete because it is specialized in production of
electric automobiles. There are also lawsuits which delay
innovations and expansion (Ingle & Phute, 2016). The company
can work towards more lobbying to ensure the barriers that it
faces in terms of legislation are minimized. Tesla also needs to
work towards scaling up its operations so that it can enjoy
economies of scale and this will mitigate the threat of loss of
government subsidies.
The action which the company needs to advance its goals and
increase its competitive advantage is to increase its production
capacity. It is only through an increased capacity that the
company can produce mass scale and sell to a wider client base.
The economies of scale will enable Tesla to not only be the
pioneer in production of electric vehicles but also among the
best at considerable prices. The company also needs to expand
its stores to developing nations to capture the growing middle
class in these countries. At the same time, the company must
work towards growth of its infrastructure if it intends to
maintain its competitive advantage (Qayyum et al., 2020). Tesla
needs to take these actions because consumers are conscious
about the environmental protection today more than ever before
and they require a relatively lower priced electric vehicles. The
presence of infrastructure will also gain the confidence of
consumers that they can use the Tesla models for their daily
commute.
Citations
Qayyum, A., Usama, M., Qadir, J., & Al-Fuqaha, A. (2020).
Securing Future Autonomous & Connected Vehicles: Challenges
Posed by Adversarial Machine Learning and The Way
Forward. IEEE Communications Surveys & Tutorials.
Ingle, S., & Phute, M. (2016). Tesla autopilot: semi autonomous
driving, an uptick for future autonomy. International Research
Journal of Engineering and Technology, 3(9).
Copyright 2019 by University of Phoenix. All rights reserved.
Copyright 2019 by University of Phoenix. All rights reserved.
4
Tesla: Degree of Alignment
Shawn Cyr
BUS 475
11 March 2020
Mr. Simpson
Tesla: Degree of Alignment
Description of Organization: Tesla
Element
Description
Mission
Tesla’s mission statement reads, “to accelerate the world’s
transition to sustainable energy” (Tesla, 2020). The
organization emphasizes on sustainability to meet the global
demand for business practices that adopt green energy.
Vision
Tesla’s vision statement reads, “to create the most compelling
car company of the 21st century by driving the world’s
transition to electric vehicles” (Rowland, 2018).
Values
Tesla’s values are not explicitly outlined on the company’s
website. However, the way the organization is run suggest that
the company values “sustainability through innovation”
(Brooks, 2018).
Structure
The organization has a U-form/functional organizational
structure. More so, Tesla makes use of centralization in its
corporate structure (Meyer, 2018). This corporate structure
emphasizes on divisions based on diverse things such as
geographical factors.
Culture
The organization has adopted an innovative problem-solving
culture. There are six major aspects of this culture: “move fast,
do the impossible, constantly innovate, reason from first
principles, think like owners, and we are all in” (Meyer, 2019).
Analysis
Mission
Tesla’s mission is “to accelerate the world’s transition to
sustainable energy” (Tesla, 2020). Currently, the organization is
keeping up with the global demand for business practices to
adopt green energy by emphasizing on sustainability activities.
The company is accelerating the global transition towards the
use of clean energy sources. It has several car models that use
electricity instead of fossil fuel. Tesla has inspired other
traditional car manufacturers to follow suit and start
manufacturing electric cars. Consequently, Tesla contributes
greatly to the community by limiting the environmental
pollution that is caused by fossil fuel-powered vehicles.
Vision
Tesla’s vision is “to create the most compelling car company of
the 21st century by driving the world’s transition to electric
vehicles” (Rowland, 2018). Tesla has managed to be a
revolutionary force in the car market due to its diverse range of
electric-powered cars. In 2018, the Model 3 by Tesla was
ranked the best-selling electric vehicle across the globe
(O’Kane, 2019). Thus, Tesla is living up to the expectations of
its vision by manufacturing vehicles that are leaving the rest of
the manufacturers towards the use of green energy. More so,
Tesla is considered as the electric car pioneer. It has influenced
the motor world so much that even the Formula One vehicles
have a branch for electric car racing dubbed Formula E. Hence,
Tesla is so far managing to lead other car manufacturers into the
future.
Values
Tesla’s values are not explicitly outlined on the company’s
website. However, the way the organization is run suggest that
the company values “sustainability through innovation”
(Brooks, 2018). Field (2019) notes that innovations and non-
stop engineering are Tesla’s lifeblood. These innovations are all
structured towards fighting climate change through the use of
green energy. This is why the company was founded on the
development of electric vehicles and lithium-ion batteries.
Structure
Tesla has a U-form/functional organizational structure.
Currently, the organization uses this organizational structure in
its operations. For instance, it has a structural group of workers
for sales and service, and another one for engineering. More so,
Tesla makes use of centralization in its corporate structure
(Meyer, 2018). This corporate structure emphasizes on divisions
based on diverse things such as geographical factors. However,
this form of structure is less significant compared to the U-form
structure. The U-form structure is based on a hierarchy of
functional teams, which oversee both international and domestic
operations. The functional teams in Tesla’s organizational
structure include technology, engineering, sales and service,
finance, legal, and the chairman and CEO.
Culture
Tesla has adopted an innovative problem-solving culture.
There are six major aspects of this culture: “move fast, do the
impossible, constantly innovate, reason from first principles,
think like owners, and we are all in” (Meyer, 2019). With
regards to speed, this aspect impacts the company’s competitive
advantage (Meyer, 2019). Tesla's corporate culture promotes
speedy responses to diverse issues in the automotive industry,
which in turn facilitates business resilience. With regards to the
aspect of constantly innovating, the organization has
implemented this culture to continuously come up with various
cutting edge technologies. This is why the company is a leader
in the electric car market.
References
Brooks, R. (2018). Workplace spotlight: The challenge of
maintaining Tesla's mission-driven culture. Retrieved from
https://peakon.com/blog/workplace-culture/tesla-company-
culture/
Field, K. (2019). Non-stop engineering & innovation are the
lifeblood of Tesla. Retrieved from
https://cleantechnica.com/2019/04/28/non-stop-engineering-
innovation-are-the-lifeblood-of-tesla/
Meyer, P. (2018). Tesla Inc.’s organizational structure & its
characteristics (analysis). Retrieved from
http://panmore.com/tesla-motors-inc-organizational-structure-
characteristics-analysis
Meyer, P. (2019). Tesla Inc.’s organizational culture & its
characteristics (analysis). Retrieved from
http://panmore.com/tesla-motors-inc-organizational-culture-
characteristics-analysis
O’Kane, S. (2019). Tesla’s Model 3 was the best-selling EV in
the world last year. Retrieved from
https://www.theverge.com/2019/2/22/18236707/tesla-model-3-
2018-best-selling-ev-global
Rowland, C. (2018). Tesla, Inc.’s mission statement & vision
statement (An analysis). Retrieved from
http://panmore.com/tesla-motors-inc-vision-statement-mission-
statement-analysis
Tesla. (2020). About Tesla. Retrieved from
https://www.tesla.com/about

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  • 1. BUS/475v10 Project Plan BUS/475 v10 Page 2 of 2 Wk 4 – Apply: Project Plan Project Title: Tesla ExpansionProject Objectives: · Establishment of a supply chain in every continent · Global Marketing Campaigns · Expansion of Charging facilities globally Operational Step Responsible Person Timeline Establishment of supply chain in every continent. Chief Technology Officer 5 years Global marketing campaigns Founder 1 year Expansion of charging facilities globally Chief Technology Officer 10 years Project Title: Desert Taco Opportunity Description: There is an opportunity that exists for Tesla to expand its operations across the world. There is an increased awareness of the need for a huge sales volume and this can only be achieved through a global expansion. It is essential for Tesla to move away from the United States and China to other areas of the world including the developing nations.
  • 2. Establishment of supply chain in every continent. Operational Step Responsible Person Timeline Analyze sales data for the potential locations to understand peak sales periods John (Director of Sales) 4 weeks Identify ten locations where the pilot stores can be established. John 3 weeks Develop marketing strategy for the traditional media and for social media. Shannyn Sneed (Marketing Director) 8 weeks Provide the needed sales capacity and inventory requirements for the expansion John 3 weeks Global Marketing Campaigns Operational Step Responsible Person Timeline Identify four different target customer bases on categories of purchase power, location, and brand loyalty. Shannyn (Marketing Director) 6 weeks Survey customers on their automobile preferences and environmental awareness. Shannyn 8 weeks Identify brand influencers for the marketing campaign. Shannyn and John 3 weeks Share the customer feedback with the operational teams.
  • 3. John 4 weeks Expansion of charging facilities globally Operational Step Responsible Person Timeline Based on market analysis and customer feedback, determine inventory required to begin piloting in 10 identified locations globally. John 9 weeks Obtain delivery timelines together with availability of supplies with prices for the charging stations worldwide JB Straubel (Chief technology officer) 4 weeks Determine availability of critical support facilities such as powerlines and security for stations against vandalism. Shannyn and John 12 weeks Provide legal guidance on establishment of the charging stations. Jonathan Chang (Tesla General Counsel 8 weeks Justification It is important for tesla to have a proper plan when looking at the way ahead in expanding to other areas of the world ahead from the United States and China. Expansion requires an organization to have a solid plan which is to be followed together with the members of staff who are responsible for each of the tasks. The first thing to note that is establishing a plan to expand globally is not easy and a supply chain takes extensive periods to develop. A supply chain requires all parties to be aware including the suppliers and the authorities in the hosting
  • 4. countries. It is important to have a distribution mechanism for all of the consumers to access the product easily as opposed to waiting for weeks for shipment and incurring numerous costs in terms of shipping. It is important to look at sales data for each of the locations selected to understand the purchasing behavior of all of these consumers. Consumers will buy vehicles at different times and this will help in knowing the best time to enter the market where disruption is easy. The consumer data will also assist in understanding the approach in marketing. Before beginning with the global supply chain, it is important to come up with a pilot project with 10 locations. Each of these locations will be used to test the effectiveness of the global supply chain and the model which is to be used. The second thing that the company will do is to engage in global marketing campaigns. The marketing campaigns will reach the customers in all parts of the world through both traditional and social media. The use of these campaigns will make the market ready to receive the goods. It is important for customers to be aware that tesla exists and its products are of good quality. The campaigns around the world should be engaged in showing consumers about the new improved product which will protect the environment and revolutionize how people travel. It is important to understand the global market and segment it so that targeting is specific to where it is required. Similarly, it is important to look for brand influencers who will act as ambassadors of the tesla products. The third action will be to expand the charging facilities all over the world so as to support the new products that are coming in. it is important to have these facilities in various areas around the world so that a client can move around without worries that they would need to go home for a charge or they cannot afford to go for long distances before they need to charge again. It is important to have the infrastructure ready for the consumer in all parts of the world to know that they can have the electric vehicle and use it wherever they are. Legal guidance is also required so as to understand operations in the different
  • 5. countries. Copyright 2019 by University of Phoenix. All rights reserved. Copyright 2019 by University of Phoenix. All rights reserved. Running head: TESLA EXPANSION 2 TESLA EXPANSION 2 Tesla Global Expansion Shawn Cyr BUS 475 31 March 2020 Mr. Simpson The opportunity which Tesla needs to exploit is to go into expand its market into the developing countries. The reason for choosing this opportunity is that Tesla today operates in a small market. The company has the majority of its revenues from the United States with a small percentage from China. The contribution from the developing world is limited. The presence in these countries limits the growth of the company and the economic development of the developing world. The company is not able to expand into the developing world also because of its limited supply chain. There are countries around the world such as India which are experiencing economic growth but tesla has a limited presence there (Thomas & Maine, 2019). It is important to have an emphasis on the operations of the company around the world so that it can compete with other established firms such as General Motors. The company can go further into the global market through purchase of other competitors which already have a footprint in the developing world. Through a
  • 6. wider market reach, the company will be able to expand its revenues and have a wide footprint around the world. The renewable energy wave is everywhere around the world today but tesla has limited itself to the US market. There are chances to exploit in renewable energy around the world today. The opportunity to expand will bring more revenue to the company as a result of the increased market. At the same time, there are projections around the world that the battery electric vehicle industry is to experience the explosive growth. Tesla is already a well-known brand around the world but its products are yet to reach the developing world. Tesla is positioned to capitalise its brand strength to get more expansion and growth (Gilson & Abbot, 2017). Tesla can go further into the expansion to become a global icon as the world becomes electric. Timelines and Responsibilities Project task or deliverable Timeline Founder Chief Financial Officer Board of Directors Investors Chief Technology Officer Establishment of supply chain in every continent 5 years R C A I R Global Marketing Campaigns 1 year R R A I
  • 7. I Expansion of charging facilities globally 10 years A C A I R The objectives that have been set are to establish the supply chain in every continued around the world, set up global marketing campaigns, and expand the charging facilities around the world. These objectives are important for the company to exploit its vision of expanding further outside the United States and China. The supply chain will make sure the consumers can get the products as and when they need them as opposed to waiting for supplies from overseas (Thomas & Maine, 2019). The second objective is to expand with marketing campaigns that are global. Manufacturers such as Toyota run global marketing campaigns and it is important for Tesla to do so as it seeks to expand its market share. The third objective is to make sure that the charging infrastructure is available to its new consumers. It is important for infrastructure to be there around the world as more consumers embrace the use of the electric cars. They should be ready so that consumers are convinced that it is possible to own an electric car especially in the developing world. Metrics The first objective that is there is to establish a supply chain in every continent around the world. This objective is to make sure that consumers can access their products when they need them. It is important to make sure that the supply chain is as strong as the one already in the United States. The first metric for evaluation of this objective is by looking at the global distribution of the supply stores and warehouses. The metric is appropriate to show if there is progress in setting up shop in
  • 8. every continent in the world. The second metric to measure this objective is to measure the amount of time it takes to delivery the product to consumers in various parts of the world. This metric is important as it will tell whether the supply is strong enough and properly established. The second objective is to set up global marketing campaigns for the products sold by Tesla. The first metric that can be used is conducting surveys around the world to understand the brand awareness. This metric is important as it will show if the consumers are aware of Tesla and the products and services which it offers. The second metric to measure achievement of global marketing campaigns is the amount of orders that are coming in. The sales and enquiries and their distribution around the world will tell if the message is reaching the people. The third objective is to establish charging infrastructure around the world. It is important to have the appropriate charging systems around the world so that consumers can believe that they can survive using the electric cars. The first metric that can be used to measure is the number of charging ports that it has either as a company or through third parties. The number of charging stations is an appropriate metric as it shows if they are enough to meet the consumer demand. The second metric that can be used is the increase of sales in areas where the charging stations are set up. The presence of the charging stations should be an encouragement for the consumers to invest in an electric car. References Thomas, V. J., & Maine, E. (2019). Market entry strategies for electric vehicle start-ups in the automotive industry–Lessons from Tesla Motors. Journal of Cleaner Production, 235, 653- 663. Gilson, S. C., & Abbott, S. L. (2017). Tesla: Financing Growth. BUS/475v10 WK 2 Apply: SWOT Analysis
  • 9. BUS/475v10 Page 2 of 5 Wk 2 – Apply: SWOT AnalysisName: Selected Organization: TESLA Complete a SWOT analysis from a global perspective, if applicable. Strengths Weaknesses · The use of proprietary technology. · Strong market among millenials conscious about climate change. · first to produce fully electric car. · A variety of models such as model S and X. · A CEO with a good reputation and track record. · Use of own distribution channel through its stores. · Customers are yet to fully adopt electric vehicles. · High cost of production leading to high price. · Longevity of batteries. · Inadequate infrastructure for use of electric cars around the world. · CEO is also head of Space X. Opportunities Threats · Unexploited markets in the developing world. · New advances in technology which can increase battery life. · Production of new low price models. · Increased environmental awareness. · Various lawsuits which delay and inhibit innovations and global expansion. · Lack of enough government subsidies which drive up prices. · Increased competition from established companies with hybrid and fully electric models. Analysis
  • 10. There are several strengths that Tesla has which it can use in exploiting the opportunities which it has today. Tesla is led by Elon Musk who has a good reputation and is well known in the tech industry. The presence of this CEO gives the brand a better image and credibility as it continues in its quest to make the world more electric. Tesla can use the strength of such a brand in the company and the CEO to grow as it exploits the middle class in the developing nations. This is a market which is aware of the company and his work and he can be trusted as he introduces the product there. At the same time, Tesla is popular among millennials and other younger age groups. These younger age groups make marketing easy through social media for promotion of the brand. At the same time, the number of young people in the world who are environmentally conscious is growing. Through the cutting down of marketing costs through use of social media and a larger market around the world, the company can start enjoying economies of scale (Qayyum et al., 2020). The company can also license its proprietary technology to other companies and use the money to subsidize the price of its products to reach a wide range of customers. Tesla is the first company to produce a fully functional electric car and is trusted by the consumer. It should work on getting batteries with a longer life attracting more consumers who can see the practical use of the electric car. The distribution using its stores is a strength which can be exploited through opening up of new stores in the developing nations and other areas where it is yet to venture. One of the weaknesses that Tesla is currently experiencing is that its CEO is also the CEO of Space X. The company has not had a good performance for many years and this risks ruining the image of the CEO. At the same time, there is the perception that there is conflict of interest and as the leader he needs to concentrate on one company. The company can convert this into a strength by separating the top management of the two and Space X getting a new CEO. The other weakness that Tesla faces today is that its prices are considerably high. The prices
  • 11. can be reduced to make them more affordable through expansion of the market and licensing out the proprietary technology to subsidize the costs (Ingle & Phute, 2016). The company should also exploit social media for marketing purposes and work on getting better economies of scale. Customers around the world are concerned that there is insufficient infrastructure for use of the electric cars. Tesla needs to lobby for governments to come up with infrastructure that will support the use of the electric cars such as charging stations. Tesla can also do this through setting the infrastructure themselves through arranging for the government to give it subsidies. There are customers today who are still wary of using the electric cars. The company can turn this into a strength through creation of awareness using channels such as mainstream and social media. The threats that the company is facing are substantive and need to be carefully dealt with. There is competition from the established manufacturers who are getting into manufacturing hybrid and electric vehicles. The company can mitigate this threat through capitalizing on the fact that it was the first to produce a fully electric functional vehicle. It is important to show consumers of the quality that the brand brings through aggressive marketing and continued innovation. The company is best placed to compete because it is specialized in production of electric automobiles. There are also lawsuits which delay innovations and expansion (Ingle & Phute, 2016). The company can work towards more lobbying to ensure the barriers that it faces in terms of legislation are minimized. Tesla also needs to work towards scaling up its operations so that it can enjoy economies of scale and this will mitigate the threat of loss of government subsidies. The action which the company needs to advance its goals and increase its competitive advantage is to increase its production capacity. It is only through an increased capacity that the company can produce mass scale and sell to a wider client base. The economies of scale will enable Tesla to not only be the pioneer in production of electric vehicles but also among the
  • 12. best at considerable prices. The company also needs to expand its stores to developing nations to capture the growing middle class in these countries. At the same time, the company must work towards growth of its infrastructure if it intends to maintain its competitive advantage (Qayyum et al., 2020). Tesla needs to take these actions because consumers are conscious about the environmental protection today more than ever before and they require a relatively lower priced electric vehicles. The presence of infrastructure will also gain the confidence of consumers that they can use the Tesla models for their daily commute. Citations Qayyum, A., Usama, M., Qadir, J., & Al-Fuqaha, A. (2020). Securing Future Autonomous & Connected Vehicles: Challenges Posed by Adversarial Machine Learning and The Way Forward. IEEE Communications Surveys & Tutorials. Ingle, S., & Phute, M. (2016). Tesla autopilot: semi autonomous driving, an uptick for future autonomy. International Research Journal of Engineering and Technology, 3(9). Copyright 2019 by University of Phoenix. All rights reserved. Copyright 2019 by University of Phoenix. All rights reserved. 4 Tesla: Degree of Alignment Shawn Cyr BUS 475 11 March 2020 Mr. Simpson
  • 13. Tesla: Degree of Alignment Description of Organization: Tesla Element Description Mission Tesla’s mission statement reads, “to accelerate the world’s transition to sustainable energy” (Tesla, 2020). The organization emphasizes on sustainability to meet the global demand for business practices that adopt green energy. Vision Tesla’s vision statement reads, “to create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles” (Rowland, 2018). Values Tesla’s values are not explicitly outlined on the company’s website. However, the way the organization is run suggest that the company values “sustainability through innovation” (Brooks, 2018). Structure The organization has a U-form/functional organizational structure. More so, Tesla makes use of centralization in its corporate structure (Meyer, 2018). This corporate structure emphasizes on divisions based on diverse things such as geographical factors. Culture The organization has adopted an innovative problem-solving culture. There are six major aspects of this culture: “move fast, do the impossible, constantly innovate, reason from first principles, think like owners, and we are all in” (Meyer, 2019). Analysis Mission Tesla’s mission is “to accelerate the world’s transition to sustainable energy” (Tesla, 2020). Currently, the organization is keeping up with the global demand for business practices to
  • 14. adopt green energy by emphasizing on sustainability activities. The company is accelerating the global transition towards the use of clean energy sources. It has several car models that use electricity instead of fossil fuel. Tesla has inspired other traditional car manufacturers to follow suit and start manufacturing electric cars. Consequently, Tesla contributes greatly to the community by limiting the environmental pollution that is caused by fossil fuel-powered vehicles. Vision Tesla’s vision is “to create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles” (Rowland, 2018). Tesla has managed to be a revolutionary force in the car market due to its diverse range of electric-powered cars. In 2018, the Model 3 by Tesla was ranked the best-selling electric vehicle across the globe (O’Kane, 2019). Thus, Tesla is living up to the expectations of its vision by manufacturing vehicles that are leaving the rest of the manufacturers towards the use of green energy. More so, Tesla is considered as the electric car pioneer. It has influenced the motor world so much that even the Formula One vehicles have a branch for electric car racing dubbed Formula E. Hence, Tesla is so far managing to lead other car manufacturers into the future. Values Tesla’s values are not explicitly outlined on the company’s website. However, the way the organization is run suggest that the company values “sustainability through innovation” (Brooks, 2018). Field (2019) notes that innovations and non- stop engineering are Tesla’s lifeblood. These innovations are all structured towards fighting climate change through the use of green energy. This is why the company was founded on the development of electric vehicles and lithium-ion batteries. Structure Tesla has a U-form/functional organizational structure. Currently, the organization uses this organizational structure in its operations. For instance, it has a structural group of workers
  • 15. for sales and service, and another one for engineering. More so, Tesla makes use of centralization in its corporate structure (Meyer, 2018). This corporate structure emphasizes on divisions based on diverse things such as geographical factors. However, this form of structure is less significant compared to the U-form structure. The U-form structure is based on a hierarchy of functional teams, which oversee both international and domestic operations. The functional teams in Tesla’s organizational structure include technology, engineering, sales and service, finance, legal, and the chairman and CEO. Culture Tesla has adopted an innovative problem-solving culture. There are six major aspects of this culture: “move fast, do the impossible, constantly innovate, reason from first principles, think like owners, and we are all in” (Meyer, 2019). With regards to speed, this aspect impacts the company’s competitive advantage (Meyer, 2019). Tesla's corporate culture promotes speedy responses to diverse issues in the automotive industry, which in turn facilitates business resilience. With regards to the aspect of constantly innovating, the organization has implemented this culture to continuously come up with various cutting edge technologies. This is why the company is a leader in the electric car market. References Brooks, R. (2018). Workplace spotlight: The challenge of maintaining Tesla's mission-driven culture. Retrieved from https://peakon.com/blog/workplace-culture/tesla-company- culture/ Field, K. (2019). Non-stop engineering & innovation are the lifeblood of Tesla. Retrieved from https://cleantechnica.com/2019/04/28/non-stop-engineering- innovation-are-the-lifeblood-of-tesla/ Meyer, P. (2018). Tesla Inc.’s organizational structure & its characteristics (analysis). Retrieved from http://panmore.com/tesla-motors-inc-organizational-structure-
  • 16. characteristics-analysis Meyer, P. (2019). Tesla Inc.’s organizational culture & its characteristics (analysis). Retrieved from http://panmore.com/tesla-motors-inc-organizational-culture- characteristics-analysis O’Kane, S. (2019). Tesla’s Model 3 was the best-selling EV in the world last year. Retrieved from https://www.theverge.com/2019/2/22/18236707/tesla-model-3- 2018-best-selling-ev-global Rowland, C. (2018). Tesla, Inc.’s mission statement & vision statement (An analysis). Retrieved from http://panmore.com/tesla-motors-inc-vision-statement-mission- statement-analysis Tesla. (2020). About Tesla. Retrieved from https://www.tesla.com/about