SwedishAdvocate
Active Member
A big issue I see is that how to make a killer product that doesn't eat into the sales of the premium product./...
I’m sure this has been stated many times in several places across this forum… But anyways…
As I understand Elon Musk this is not what Tesla is about. He has clearly stated that the goal of Tesla (paraphrasing) is to get to a compelling mass-market EV: The GEN III car. Once he and Tesla are there and manages to sell that car in the quantities they want/need to sell, in order for the company to be profitable, I honestly don’t think they’ll care if the GEN III eats into the sales of the Model S. And by that time they’ll also have the Model X. And I don’t think that many people that either need or want (and can afford) a Model X are going to see the GEN III as a viable alternative. But even if I’m wrong about that:
…They (Tesla) are aiming for a BMW 3-Series entry price level at like what? Ballpark 37K$? I don’t see why Tesla will stop using the BMW pricing approach for the GEN III. And the top of the line 3-Series retails for what? Around 70K$? I’m guessing there will be quite a few that’ll be willing to pay even more than that for the top of the line GEN III AWD P+ with the biggest battery and ALL the bells and whistles. So I don’t really see any reason for Tesla to be concerned at all with the GEN III ‘eating’ into the sales of the Model S. And I don’t think Elon is either.
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Also, and probably pretty important, but something I somehow managed to leave out above: The reason that Teslas goal is to get to a compelling mass-market EV is: A more sustainable way of personal transportation. And a GEN III will be more sustainable than a Model S or X. Unless perhaps the S/X is carrying seven people…
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