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Corporate Strategy.................................................................................................................10
Conclusion..............................................................................................................................12
References..............................................................................................................................13
Introduction
With the help of strategic business analysis, it becomes easier to stress the
outcome-focused thinking that will make it easier to manage the challenges and the
business contexts along with the complexities of the external and the internal environment
of the company thereby assisting in the transformation process (Ogbari et al. 2018). The
main purpose of strategic business analysis is to help the company in carrying out the
delivery related to the factual aspects supporting the decision-making process. There should
be careful attempts made in checking the supply of the essential components that is vital for
manufacture of solar panels, electric cars along with roof tiles. Tesla can also be regarded as
one of the most valuable automakers in the world (Tesla, 2021). The company is one of the
largest suppliers in the provision of global battery energy thereby playing a vital role in
managing different controversies that arises from different types of problems linked to the
accounting process (Tesla, 2021)). This study will discuss the internal as well as the external
environmental analysis of TESLA considering the SWOT and the PESTLE analysis, the varied
competitive advantage that is to be discussed considering the strategic purpose and the
growth.
There are chances for Tesla to enhance its
2021).
Tesla.
needs of Tesla.
by Tesla
SWOT Analysis
With the help of the SWOT analysis, it will be easier to get an overview of the
Strengths Weaknesses
Tesla has occupied the top three The company has imposed a penalty
proving as the best car managing a production line without carrying out
The company also possesses a There are chances for the company
Opportunities Threats
Tesla has tried its best to expand The company has also witnessed a
the global market taking care of the higher level of competition due to
effective role in reducing production vehicle has also stated varied flaws
great extent.
The three vital factors that are essential for conducting the internal and the external
competition in plug-in hybrid cars, the hybrid and electric cars. There has been fierce
competition between Tesla with other brands such as BMW, Mercedes, Audi,
General Motors, Toyota, and Volvo (Dixit et al. 2019). To check the launch of other
vehicles, it is important to keep an eye on the proper planning which is one of its
weaknesses of Tesla (Tesla, 2021). This can be considered to pose the most unique
b. Increased production of eco-friendly cars: It has been found that Tesla has been
trying its best to produce a large range of eco-friendly cars through the development
of new technology and improved competition in the market. The company has also
tried its best to take initiatives that are vital for the smooth functioning of the
automobile industry.
c. Sales expansion in the untapped market: Tesla has tried its best to capture the Asian
market that is much unsaturated within the automobile industry. Tesla must try its
of the competitive advantage within the company. This enhancement of the battery supply
chain can be considered to be a crucial part of Tesla’s business where the role of the battery
is to play a crucial role in the operation of large grid applications and homes. With the help
of the proprietary supercharging network, it has been found that Tesla is famous for the
made to manage the adaptation of software of Tesla for the operation of electric vehicles.
This has assisted Tesla to grow its internal level of reputation among the manufacturer of its
products. An example can be cited as the Roadster of Tesla which has assisted in the
management of varied electric vehicles. Further, there have been careful attempts made to
enhance the software of Tesla to manage the traffic signals, the management of varied
related aspects, and the enhancement the camera. Tesla is successful in the improvement of
the software features and the driving capacity in tackling the varied types of hardware
features.
market where most of the customers are involved in purchasing premium quality cars. The
Moreover, the varied motor parts of Tesla are witnessed to have modern magnets which are
crucial for Tesla. For keeping an eye on the energy storage, the ion batteries of Tesla are to
be arranged in series. The company also has improved the level of access to the
manufacturing capacity across the world (Team, 2018). Further, Panasonic also has a close
association with Tesla. In the case of both companies, there has been close growth and
This is possible only through the management of efficiency along with the lower level of
manufacturing price and the availability of economy vehicles. There has been improved
pressure witnessed in Tesla due to the reduction of cost.
For carrying out the production of Tesla’s vehicle, there has been proper assistance
in the delivery process smoothly and effectively. Due to the increased level of pressure in the
automobile industry, Tesla has been trying its best to grow its value. This value-added
service has made it easier for Tesla to choose the chances that are important to carry out
the development within the service centers, the global stores as well as the superchargers
that are involved in supporting the customers to carry out the purchase decision. On the
other hand, there has to be a careful eye kept on the company’s size thereby checking that
there are valid plans linked to the competitor for the growth of production. The export
strategy of Tesla will make it easier for the company to manufacture the cars thereby
enhancing its global expansion. The product standardization through focusing on the
customer switching cost must also be kept a proper eye on along with the enhanced level of
Enhancement of the supply chain can be tackled through the presence of the
internet. The different product strategy of Tesla is the same compared to the other
the transnational process where the company is to be benefited through the assistance of
the global structure along with the sales mode. Tesla has been trying its best to grow its
The cultural management of Tesla is also crucial for Tesla to assist the employees to
grow their innovative and creative habits. This form of management can be regarded to b
much more effective for Tesla thereby being technologically innovative. Tesla must also try
to check that the different types of innovative methods that it utilizes to carry out the
development of the improved solutions have been found only within this automobile sector.
Moreover, it can be said that with the help of this cultural management, the employees are
also motivated to be creative thereby trying their best to develop innovative habits (Perkins
and Murmann, 2018). The structure of Tesla uses the centralization process along with the
provision of managerial control across different functional groups in the local and global
operational process. There has been the development of an enhanced innovative strategy to
Corporate Strategy
The horizontal integration process has assisted Tesla to improve the production
process involving the goods and the services within the same part of the supply chain. Tesla
can do this only with the help of internal expansion which is possible through mergers,
the monopoly process thereby tackling the major market share in the producing goods and
services. There have been careful attempts made in strengthening the market position
through the growth of the production and distribution aspect. On the other hand, the
horizontal integration process is likely to help Tesla to grow from its economies of scale.
There are chances to tackle the margin level along with the enhancement of the supply
elasticity accordingly. There has been an improved level of margin to check the supply
elasticity accordingly. Further, it can be said that the vertical integration process made it
much easier for Tesla to impose a higher level of control within the production process
within the entire supply chain. The different types of outsourcing aspects linked with Tesla
are likely to reduce the equipment price, overhead charges, and personal costs accordingly.
The input prices must also be checked so that it does not fall through a much higher amount
compared to the cost and the production margin. Tesla can also be considered to be
vertically integrated thereby keeping an eye on the competitors along with the advanced
and improved technological parts transferring the risk to the suppliers (Thomas and Maine,
its operational process by taking control of the direct ownership involved in varied
production zones. Tesla can find it easier to carry out the operational process independently
only with the help of vertical integration. The company must also try to carry out the vertical
integration strategy thereby driving down the cost along with the increase in demand. This is
likely to increase the delivery of Tesla by around $500k indicating a 30-40% increase since
2019. The company must try to manage vertical integration by including the lithium battery
and the recycling process along with the improvement in the output.
The varied aspects of the stakeholders within the energy and automobile industry
must be managed accordingly. This is possible only with the help of the stakeholder analysis
that has been highlighted by Caroll stating that the company must keep an eye on the
enhancement of the social aspects. The legal responsibility, the ethical responsibility, and
check on the level of benefit that is to be carried out among the stakeholders (Debord,
2020). The different types of improved opportunities make it mandatory to keep an eye on
The efforts carried out by the CSR of Tesla will help in the enhancement of the
position of the company considering the role of the automakers such as Toyota, Honda, and
General Motors. The responsibilities that are to be taken by Tesla make it easier to grow
brand value along with CSR. The business sector within the automobile industry must ensure
that there are careful attempts made in the fulfillment of the business responsibilities
through the development of the brand image. Further, the role of the stakeholders is to be
dependent on different funding series considering the role of the investors involved in the
capitalization process (Thomas and Maine, 2019). Thus, the varied aspects of Tesla can be
managed through governmental action assisting in legal compliance and the business
Conclusion
Thus, the different processes and the aspects that are linked with strategic decisions
are essential for business growth. It is important to keep an eye on the investigation and the
analysis of different aspects of Tesla that is crucial for the growth of the business. With the
help of these PESTLE and SWOT analyses, the internal and external environmental analysis
can be managed accordingly. It is important to take careful attempts for managing the
business process that is important for carrying out the research. Tesla has been trying its
best to capture the profit margin when there exist no such middlemen within the
distribution network. This is also likely to assist Tesla that it does not have any control over
the traditional purchasing process of the car and thereby prefers to carry out online selling.
The company has been trying its best to lower costs as well as enhance efficiency
one of the leading automakers carrying out the production of the Model 3 within the
premium mid-sized market. Thus, Tesla must check that there is no miss of the delivery
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