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Tesla Go To Market Strategy

Discussion in 'Tesla Motors' started by daytonatom, Sep 30, 2013.

  1. daytonatom

    daytonatom Member

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    Don't know whether it has ever been discussed anywhere before, but why is there this insistence that Tesla needs to build a mass market vehicle? There are numerous ICE car manufacturers that are able to thrive and survive without one, and with Tesla's innovative approach to marketing and service, I don't see why they can't. I've personally had experience of owning a vehicle from one of this type of manufacturer, albeit from a particularly small one, Ariel. The ownership experience was exemplary and I sold the car for as much as I had paid for it after four years of ownership. Discuss.
     
  2. Benz

    Benz Active Member

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    Have you read Elon Musk's blog: "The Secret Tesla Motors Master Plan (just between you and me)"?

    The goal of Tesla Motors is to accelerate the advent of sustainable transport.

    First an expensive low volume EV (Roadster), then a mid-price mid-volume EV (Generation 2 platform: Model S/X), and then a low price and high volume EV (Generation 3 platform: Model E). I personally even think that about 5 years after the Generation 3 platform Model E there just might be a unveiled a Generation 4 platform EV by Tesla Motors, which then will be even smaller and lighter and cheaper than the Model E.
     
  3. GlennAlanBerry

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    Exactly! Elon has a larger personal mission with Tesla, so he is not going to be content as some low volume, boutique auto manufacturer. Tesla, SpaceX, and even Solar City are all part of his larger vision. Many people would have happily retired after selling Pay Pal, but Elon has more work to do.
     
  4. ItsNotAboutTheMoney

    ItsNotAboutTheMoney Active Member

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    The strategy is that the Model S be profitable. In fact even in the Roadster step they aimed to be profitable (cash flow positive). A profitable Model S means they will have time and money to get the E right, and then they'll only need to borrow for the production itself. So, yes, they don't have to, but the company's mission is an affordable, long-range electric car. However, Tesla's idea of affordable is $35k+. After that, I'm sire the plan is to license the drivefrain to other manufacturers rather than take them on in the mass market (although depending on option pricing the Model E could sell in large numbers.)
     

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