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Ford Exits India badly burned. A warning for Tesla?
- Thread starter Ciaopec
- Start date
Tam
Well-Known Member
I think it could be argued that Ford is considered as for middle class while Tesla can be considered as a competition for the luxury class.
The problem with Ford is: the US middle class is not the same as Indian's so it's a misapplication. There's a big demand for 2 wheelers and 3 wheelers in India.
Companies who can survive with 4 wheelers have to make them tiny and dirt cheap.
On the other hand, the luxury market is small but stable. There are still people who want to pay for expensive cars even though most others can't afford them.
So, it's a good trial to enter into India's market.
Once Tesla can confirm that there's indeed a Tesla cult for the rich, it can certainly open up a gigafactory with government subsidies. It does not have to exclusively sell it to India's middle class. It can export to the world for cheap due to plenty of labor and government subsidies.
