What the heck is going on with Tesla?
What do you think about the future of Tesla? With news changing and headlines on a daily basis, are you seeing a future for this company?
Time and time again Tesla has been making headlines on every news story, and while many believe no publicity is bad publicity, in this case I have to disagree. Tesla is not the only thing constantly under fire though, CEO and co-founder Elon Musk seems to be the center that this bad PR is around.
Elon seems to be spreading himself thin between The Boring Company, Tesla, Space X, and many of his other business ventures, and Tesla’s state in the market seems to be doing more and more poorly.
Originally it was announced that Tesla was closing all showrooms/stores and moving solely towards an online platform. The price of the car models was also supposed to remain the stagnant with the Model 3 at the lowest 35,000$ price point. This took a quick turn when it was announced that the stores would NOT be closing, and that although the Model 3 will stay at the originally quoted 35k price, the other models would be raised by 3%.
I don’t know about you, but thinking on the operations, finance, and project management aspect there must be SH*TSTORM going on in there. To announce a decision like that to the public is big enough and then to undo it? That is a sign of failure if I have ever heard one.
One of Wall Street’s favorite Hedge Fund manager and star of “The Big Short” (fan favorite Mark Baum) Steve Eisman, said himself that he will be betting against Tesla. He said that Elon is “a very smart man”, but in terms of future success he has his reservations.
Once again, after reading this I ask, What do you think about the future of Tesla? With news changing and headlines on a daily basis, are you seeing a future for this company?
CBS News. (2019, March 11). Tesla Hits Reverse on Plan to Shutter Most of its Showrooms. Retrieved from https://www.newsr.in/n/Technology/1zkh09aio4/Tesl…
It is surely going to depend on how well they defend their competitive advantage and how quickly they can scale up their production. The entire automotive industry is investing heavily in their R&D and we cannot say they are any less smart, there is more of them and they are predictable. I would not say that Daimler, GM, Volkswagen or Ford do not know how to think long term.
What is the edge of Tesla? Being first, being everywhere, being nerdy? That's all fine and dandy and Tesla sure knows how to play a beautiful game but at some point we need to look up at the score board. Because teams are not individuals and result is the only thing that can get you to the playoffs.
I definitely agree..... and a lot of Japanese companies are innovating rapidly. Tesla will lose its edge sooner or later if things don't change. Many of the employees also report explosive tirades from Elon where he fired people in the production line in front of hundreds of other people. He didn't deny this claim either, and dismissed it as "stress" which makes me think none of his ventures are in safe territory.
https://www.wsj.com/articles/get-ready-for-a-pileup-tesla-11554851747?e…
Tesla’s days of being first and most prominent are about to be gone
Agreed. Even with drastic changes it is hard to imagine Tesla ending up in a position like where they started.
I wonder how this will affect his other companies. Many are also critical of his underground transportation plans because these have also had many drastic plan changes.
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