Tesla Motors Harvard Case Solution & Analysis

Tesla Motors Case Study Solution


Tesla is a strong innovative motors producer of United States. Over the period of time, the company has continually evolved into producing a better version of cars that aligns with the demand of the customer in the market and that drives the urge for better car experience.In doing so, the company has developed the innovative strategy that includes continual changes in operations, production, and functional capabilities to meet the market demand and to align its strategy and goals with the environment and also with the customer behavior.

While doing this, Tesla in 2012, developed the electric car with the motive to offer better design cars with extended features like increased security, fuel efficiency and high performance.It realized the trend of increasing technology usage in the market and thus incorporated into its business strategy that offered it the competitive advantage of being the most innovative and efficient car producer in USA.

In addition to this, to match and align the business strategy with the market trends and to develop a strong value proposition, the company has established its own service networks that allows its business functions in a manner that allows it to rapidly grow and launch the electric vehicles with full loaded technologies.Moreover, the operational structure, engineering expertise and vehicle structure differentiates Tesla from other competitors in the market like Ford and Porsche that also operate in the similar category. Such capabilities and skills allow tesla to maintain certain competitive edge in the market, allowing it to lead the electric motor industry with significantly high market share and brand value.

Also, due to smart technological base and innovative organizational platform, the company has been able to produce the first ever federally-compliant electric vehicle in 2012 which broke the sales of 2450 in 30 countries.The model‘Roadster’with its smart electric charging capacity, design and high performance developed a strong brand image for the company making it achieve strong market share and high position as compared to other competitors in the market.

Tesla Moves in Addressing the Market demand- Developing Competitive advantage

Since the US market is a fast growing motor market with increasing trend towards producing carbon free cars, the company produced the first ever federally-registered carbon free electric car in the market to meet the customer changing behavior and to align the market shift with its business strategy. It adopted the first mover advantage to produce the electric ‘Roadster’ car that offered the market carbon free fuel and controlled emission of gas in the environment, thus aliening with the concept of eco-friendly in US market.

In addition to this, since the company moved in to the electric motor industry and took the first mover advantage, it analyzed the customer demand and also the market situation that required commercial production of highly capable cars for highways that on one hand meet the fuel efficiency criteria while also offers exquisite deigns, and electric recharge efficiency. This required the company to extend and elevate its human resources above the competitors, which it did by employing the highly skilled engineers from Silicon Valley.The human skills and organizational strategy allowed Tesla to stand out the competitors in the market, developing its own strong differentiated brand image and sustain able competitive position in the market.

TESLA MOTORS-Evaluating A GROWTH COMPANY Harvard Case Solution & Analysis



Moreover, the company developed a focused market strategy in addressing the needs of the customer and market both.This allowed Tesla to remain focused on the electric car industry that allowed it to couple its efforts in developing the sector effectively. The firm’s focus on electric cars also allowed it to continually grow its expertise in which it developed in-house manufacturing engineering station and distribution centers, which ultimately allowed it to control and monitor the quality of the cars offered and its alignment with the overall business strategy.Moreover, the focus  division also allowed Teslato pursue the product development strategy in the market, continuously elevating it’s offering and increasing the market penetration thus developing a sustainable leadership position in the US market. (KPMG, 2017)

Also, such focused strategy also allowed the company to develop the market leadership and establish the image of market entrepreneur and innovative organization. This helped the company in unleashing the market gaps and addressing the market needs by pursuing the Blue Ocean Strategy........................

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