Tesla Company Market Analysis

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Kashmir Education Foundation, Rawalpindi *

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Marketing

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Nov 24, 2024

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docx

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1 Tesla Company Market Analysis Student’s Name Institutional Affiliation Course Date
2 Tesla Company Market Analysis Introduction Tesla creates and markets energy storage technologies as well as electric automobiles (EVs). It was established in 2003 by Jeffrey Straubel and Elon Musk. Tesla wants to aid in the global switch to renewable energy. Reuters reports that the company's home market, the United States of America, generates more than 60% of Tesla's revenues. However, the business has grown abroad because it thinks there is a rising need for electric vehicles on a global scale. In fact, Tesla wants to boost and broaden its revenue sources in the European and Asian markets. This article will examine Tesla's current global presence, highlight adaptations made in various consumer markets and countries, and make recommendations regarding the company's corporate social responsibility. Traditional Global/International Marketing Methods Tesla Target Audience   The marketing mix's four Ps that promote growth are Product, Price, Place, and Promotion. Sharp minds are complex at work in the background at Tesla to keep the company profitable (Amad and Khan, 2020). This is also Tesla's marketing strategy. Tesla's three main car models are the Model S, X, and 3. Each powerful engine can accelerate to 60 mph in less than three seconds. Each of them is distinguished by distinct eco-friendly characteristics. This brand is significantly improving by incorporating solar-powered technologies into its primary energy frameworks to create better products and provide better performance. Franchises are not available from Tesla. This brand eliminated the support structure of third-party communication by claiming storefronts through its online- based organization. Tesla is always open with its audience and honest about its plans
3 (Waller, 2020). Due to its launch operations, which included real autotests and online audience engagement, the brand is present in the market. Digital Global/International Marketing Methods Tesla Marketing Channels Tesla sells to clients directly, as opposed to through franchised dealerships, unlike other automakers. The majority of the company's showrooms and galleries are located in well-known urban regions and are part of a vast network. As a result, under their recently expanded retail model known as Service Plus, they have coupled their direct sales strategy with service centers. Compared to other conventional automakers, Tesla has a unique operating style. Investors are not sold franchises by it. They have set up sales centers where both sales and customer care are handled. Because Tesla manages these sites, franchise owners receive fewer performance-based incentives (Amad and Khan, 2020). Some franchisees put in more effort to earn their rewards than to promote the company. Digital Marketing Strategy of Tesla  Tesla's CEO, Elon Musk, has considerably raised brand awareness among consumers. He constantly engages in small arguments and communicates on social media. His large following and cheery demeanor have led to the development of his social media account into a Tesla marketing tool (Pathak et al., 2023). The robust social media presence of Tesla will eventually assist with marketing. Online hype has previously piqued Elon Musk's curiosity. His most recent media appearance was to test the newly introduced cyber truck's window glass, which produced a lot of buzz even though it wasn't meant to break and helped Tesla advertise the car (Pathak et al., 2023). Tesla operates differently from other traditional
4 automakers. Investors cannot purchase franchises from it.They have set up sales centers where both sales and customer support are carried out simultaneously. Example of adaptations Tesla has done in different Consumer Markets and Countries to consider market conditions and Cultural contexts. Cultural Distance To help people comprehend culture and relate their behavior, Geert Hofstede created the most well-known framework, the Hofstede Model of Cultural Dimensions (Hofstede, 1984). Power distance, individuality, masculinity, uncertainty avoidance, long-term orientation, indulgence, and monumentalism are the seven characteristics of the Model that provide cultural comparisons and contrasts (Hofstede, Hofstede, and Minkov, 2005). Additionally, Ugrin, Pearson, and Nickle (2018) looked into how cultural differences and workplace preferences among employees vary using the Hofstede Model of Cultural Dimensions. As a result, I made the decision to analyze the German and Canadian markets in accordance with tried-and-true principles. German Markets Long Term Orientation Germany has a high pragmatic score of 83 out of 100, according to Hofstede Insights (n.d.), where individuals are adaptable to change and believe that time, circumstance, and context are interconnected. Additionally, they tend to save and invest money. They typically advocate using this realistic perspective to be thrifty when making future plans (Hofstede Insights, n.d.). As a result, Tesla will be able to sell more vehicles in the German market if customers can adapt to the change. Individualism With a score of 67, German society is categorized as individualist (Hofstede Insights, n.d.). People appreciate the relationship between parents and children and prefer small
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