TMC is an independent, primarily volunteer organization that relies on ad revenue to cover its operating costs. Please consider whitelisting TMC on your ad blocker or making a Paypal contribution here: paypal.me/SupportTMC

Tesla VS BMW: ridiculous article from CNN/Fortune

Discussion in 'Tesla Motors' started by PhilBa, Jul 25, 2013.

  1. PhilBa

    PhilBa Active Member

    Joined:
    Apr 20, 2013
    Messages:
    1,355
    Location:
    Seattle
  2. rolosrevenge

    rolosrevenge Dr. EVS

    Joined:
    Feb 7, 2009
    Messages:
    1,851
    Location:
    Right behind you...
    But their conclusion was advantage Tesla.
     
  3. PhilBa

    PhilBa Active Member

    Joined:
    Apr 20, 2013
    Messages:
    1,355
    Location:
    Seattle
    huh? I see no overall conclusion. In fact, the most telling line (about the authors bias) is "That's all about to change", implying that high flying tesla is about get grounded.
     
  4. evme

    evme Member

    Joined:
    Jul 5, 2013
    Messages:
    616
    Location:
    NY
    The doesn't help when they write fud like this:
     
  5. ElSupreme

    ElSupreme Model S 03182

    Joined:
    Jan 13, 2012
    Messages:
    4,279
    Location:
    Atlanta, GA
    WTF? No mention of Model S $90k price tag, and head AND NECK snapping acceleration -- zero to 60 in around 4 seconds? Not to mention it is already in market?
     
  6. dm33

    dm33 Member

    Joined:
    May 10, 2013
    Messages:
    84
    Location:
    Raleigh, nc
    Incredibly bad article. I do wonder what it takes to get published these days. Or maybe these folks are totally over their heads if there's anything remotely having to do with technology.

    I lost it when they said tesla hasn't been through a downturn. Like 2008 didn't count but was enough to make GM and Chrysler go bankrupt, yet tesla survived... just barely.
     
  7. brianman

    brianman Burrito Founder

    Joined:
    Nov 10, 2011
    Messages:
    15,487
    Well which is it? Are they "upwards" of $72k or $90k? WTB consistency in professional publications.
     
  8. Soflason

    Soflason Member

    Joined:
    Feb 19, 2013
    Messages:
    544
    Location:
    FL
  9. PhilBa

    PhilBa Active Member

    Joined:
    Apr 20, 2013
    Messages:
    1,355
    Location:
    Seattle
    #9 PhilBa, Jul 26, 2013
    Last edited: Jul 26, 2013
    There is another point that I think bears much closer scrutiny - distribution. The old model is the dealer network. However, the Tesla model of direct to consumers is totally disruptive which is why the dealers are fighting it. The author clearly sees this as a big negative for Tesla. But, the direct model leaves more profit in the automakers pocket so it is highly desirable. Also, the process of buying a car online is something that I believe most Americans (most consumers anywhere for that matter) will come to expect. Being able to pick out your features and order your car just the way you want it is such a fantastic experience. I didn't have to take the blue one because it was on the lot - I got exactly what I wanted. Once there is real competition, at least in theory, direct sales should benefit the consumer in lower prices. But until that point, it looks like an advantage for Tesla.

    Edit: I forgot to mention, the other automakers can't move to the direct model easily because they need to keep their dealer networks happy. It's very hard to pivot your distribution model when billions in revenue are at stake.

    I believe that in 10 years, this change in distribution will be viewed as equally significant as any of the technological innovations of Tesla.
     
  10. jkirkebo

    jkirkebo Model S P85+ VIN 14420 EU

    Joined:
    Jun 13, 2010
    Messages:
    950
    Location:
    Fredrikstad, Norway
    Starting at $72k and selling for an average of $90k is probably not far from the truth. That's how I read it anyway.
     

Share This Page