Internal Evaluation Analysis of Tesla Motors
Internal Evaluation Analysis is an important aspect that associated with an organization, and it usually represents the Strengths and Weakness of an organization. The Strengths and Weaknesses of Tesla Motors are as follows (Blog.trejdify.com, 2013)
- The foremost strength of Tesla Motors is that they are the one who invented the full electric sports car, with the name of “Roadster”
- The company has a strong supplier base, like the other car manufacturing companies for e.g. Toyota (Mbaskool.com, 2014)
- Tesla Motors have a great technological expertise in the area of electric transmissions & driven bullet trains
- Tesla Motors has the ability to develop the vehicles completely and comprehensively in house which also includes the sub-assemblies
- The current platform of the company is perfect, and this model has the tendency to be used for the future crossover model of the company.
- Financial effectiveness and large customer based is one of the major strengths of the company
Weaknesses
- The company showed their reluctance to achieve the economies of scale because their cost of production increases heavily after their development of vehicles including the sub-assemblies.
- The pricing structures of Tesla Motors are comparatively higher than that of their competitor, who are even selling combustion engine powered vehicles.
External Evaluation Analysis of Tesla Motors
Likewise Internal aspect, there are external aspects as well that associated specifically with an organization, and it is equally applied over the analysis of Tesla Motors as well. In external analysis, opportunities and threats will be cover accordingly (Mbaskool.com, 2014)
Opportunities
- The support of the government in terms of manufacturing environmentally friendly vehicles are increasing in all over the world as far as exemptions and duties are concerned
- Supporting the cars of Mercedes’ in which the companies can help their passengers to carry their own plan to launch in the near future for the customers of Tesla Motors
- Improvements in the Quality Control process of the company can decrease their operational cost accordingly that leads to improve their future accordingly
Threats
- Tesla wants to be able to produce, sell or distribute their cars to average segments, because of their messing business models and problems
- The company is using Skimming Pricing Strategy, which is not a favorable one in the auto industry
- The company is current competing against such a technology which has been in use from last hundred years; hence it may take several years to Tesla motors to compete with the combustion engine vehicles.
References
Blog.trejdify.com,. (2013). Trejdify Top Stories: A SWOT analysis: Can Tesla Motors save the world?. Retrieved 19 November 2014, from http://blog.trejdify.com/2013/07/a-swot-analysis-can-tesla-motors-save.html
Mbaskool.com,. (2014). Tesla Motors | SWOT Analysis | BrandGuide | MBA Skool-Study.Learn.Share.. Retrieved 19 November 2014, from http://www.mbaskool.com/brandguide/automobiles/4475-tesla-motors.html
