To quote George Carlin: au contraire mon frère, or better put, tout le contraire. They’ll win over senior management with cost savings bonuses, senior management with production bonuses, every shareholder, and all those consumers who place a higher value on things Tesla delivers than things it does not. If and when sales tank, there will be gnashing of teeth and wrenching of hands but that’s today an unlikely happening with so much concentration on the quarter, not the multi-year horizon.
And there’s another more disturbing factor: people don’t seem to care. Other than rants in forums, people are still buying the vehicles even with the perceived lack of quality but with built-in disposability, just like they/we buy computers, washers, HVAC systems, clothing, even homes, etc. One perhaps only remotely relevant example: I have a 48-year-old KitchenAid stand mixer purchased new that is still kicking it with all of its original attachments. 48 years of typical near-daily use. 48 years. A mixer. A friend bought essentially the same mixer five years ago and has had it replaced twice under warranty and twice more not in warranty (really likes the way it works, but….). But 48 years. Who does that today for any consumer product, vehicle or not?
OK, maybe a bit too much caffeine this moring. Oh wait, have I mentioned my mixer has worked flawlessly for almost half a century?
Where I come from the 48 years would be called " built like a Russian tank".
As you can imagine, lack of ingenuity, tools, and independent thinking got replaced with overdoing things to make it like a Russian tank.
Its great, but is traumatically wasteful - both material, and employment wise.
That era has ended.
We are here, because average wealth and related consumer demand globally "traumatically" exceeds manufacturing capacity.
So, we make many more things that are cheap, with an army of employees who have a job that otherwise wouldn't be there for them.
They are colorful, technologically clever - playing right in the hand of a genetically curious human being who has means now.
You know, like Tesla
The circle of life