SWOT Analysis - Tesla

Extract

[...] Supply chain, sales and service network in Asia • Major opportunities in the Chinese and Indian markets • Focus on strengthening its sales, supply and service network in Asia to help the brand to increase sales faster More affordable models to take advantage of the rising middle class • Rise of the middle class in the 19th century was an important factor that brought great growth opportunities for international brands • Tesla's products are not so affordable to middle-class consumers in developing countries • Continued efforts towards reducing its manufacturing and operating costs • Goals mass-produce low-cost vehicles This will help the company produce affordable products and make them available to middle-class consumers. Autonomous driving technology • Major vehicle brands are working to get their autonomous vehicles on the road by 2020 or sooner • Tesla also plans to bring fully autonomous vehicles to market • Current vehicles are equipped with the autonomous driving equipment required for fully autonomous driving capability at a level of safety far superior to that of human driving. Mobility Service • Tesla plans to set up a carpooling service D. [...]

[...] Threats The following external factors are threats that prevent the company from maximising the benefits of its strengths and opportunities. Growing competitive forces in the electric vehicle, battery, and solar panel global market could limit the company's revenue potential. Tesla needs to address the following threats in order to maintain its resilience in the face of changing conditions in the automotive industry: Aggressive competition • Automotive companies compete aggressively in the market • Current efforts of other companies in the production of electric vehicles pose a significant threat to Tesla • Intense competition from luxury and environmentally friendly brands • Audi and Porsche and other luxury brands are now producing environmentally friendly vehicles and are a competitive threat Fluctuations in the price of materials • Fluctuating material prices is another threat identified in this SWOT analysis • Fluctuating and generally increasing cost of lithium, a material used in the company's energy storage products, is the most significant Legal and Regulatory Issues • Legal and regulatory issues can be costly and lead to increased costs • Operating in several countries it is therefore subject to legal and political regulation in those markets • For Tesla to remain profitable, despite aggressive competition from large automotive companies, it needs to maintain a competitive advantage III. [...]

[...] SWOT Analysis - Tesla I. Introduction A. Tesla Inc. [...]

[...] • Estimated that the world market for electric vehicles (EVs) is expected to grow at a CAGR of 21% by 2026 • Growth is expected to be driven by rising CO2 and greenhouse gas emissions, the low cost of Li-ON batteries and government measures encouraging the use of electric vehicles. C. Global Energy Markets Industry • The solar energy market is estimated to reach $ 223.3 billion by 2026 • Growing at a CAGR of from 2019 to 2026 • Influenced by increased environmental pollution and the provision of government incentives and tax reductions related to the installation of solar panels (Figures on 24 February 2020) D. [...]

[...] • Strong vehicle sales growth of approximately 47% from 2012 to 2019 • Tesla's automotive revenues increased to almost US$ 24.6 billion from 2018 -2019. • Significant growth supported by a strong marketing strategy Technical and technological expertise • Tesla is renowned for expertise in engineering and technology • The brand has created significant in-house capabilities in the design and engineering of electric vehicles and their components and systems • Designs and builds bodies, chassis, interiors, heating and cooling systems and low-voltage electrical systems internally and to some extent in cooperation with suppliers. [...]