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Can There Be Any Car That Runs On Solely Battery, Less Pollution And Equally Affordable?

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STRATEGIC GOALS OF TELSA • Enter mass market with new car models • Be the first to build a broad network of charging stations for all electric vehicles • Sell patented electric power train components to other automakers Before any product or service is created there should be a problem statement or intent. The search for a solution brings about invention or creation of a product or service. Tesla as a company searches to answer the question. Can there be any car that runs on solely battery, less pollution and equally affordable? The CEO of the company , Elon musk states in the company overview “Our goal when we created Tesla a decade ago was the same as it is today: to accelerate the advent of sustainable transport by bringing compelling mass market electric cars to market as soon as possible.” OPERATING CHARACTERISTICS GROSS MARGIN Tesla has remained unprofitable since it went public in 2010. The gross margin shows how efficiently an auto manufacturer runs its manufacturing process to deliver vehicles at prices that can achieve the highest possible profitability. From 2007 to 2014, Tesla showed a gross margin ranging from 87.67% in 2007 to -7.74% in 2008, and the average gross margin was 25.3%. For the trailing 12-month period ending on Sept. 30, 2015, the company's gross margin stood at 25.52%. …show more content…

While its existing models as of 2016 are mainly targeted to well-off individuals, the company is working diligently to reduce the cost of production and vehicle prices to broaden its appeal among middle-income individuals. Tesla is investing at a breakneck pace, putting the company in need of capital and prompting it to issue convertible bonds. Investing in Tesla comes with a lot of uncertainty, and its stock can be very volatile if the company's actual growth path deviates from what the investment community expects from

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Alternately, the early release and sales ramp up provided under the accelerated capitalization plan, allows for a large stock market surge on stock which provides added capital needed. Funding for the increase in Property Plant and Equipment and related expenses is provided by an increase in Long-Term Liabilities from outside financing, which in turn also increases interest expense, but also by the stock purchase surplus. The economies of scale, provided by the larger production facility and the vertical supply chain improvement of making their own batteries, will help Tesla keep the price range firmly in the mid-30s, making them employ more of a blue ocean strategy over their previously focused differentiation approach. To increase the sale of cars, and keep inventory moving as production increases, the immediate need for more sales centers, service centers, employees, as well as long distance charging stations is required, and planned for under the new strategy. Left as is, Tesla will continue to get itself into hot water with its customers because of the insufficient number of service centers for the

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Gross margin is the profit that comes from the generated sale (Kesavan, Gaur, & Raman, 2010). Gross margin profit can be positive and negative and shows trends in company’s earnings. Positive gross margin indicates growth of company’s earnings. Gross margin from 2007 until now had a continuous trend, with the highest value in 2013. The lowest value the company had in 2008 and now, 34.03 and 34.08 respectively.

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They have also recently unveiled a semi truck and started taking pre-orders from major companies such as Walmart and UPS. The Tesla stock reached its historical high on September 18, 2017, at a price of $389.61. The historical low for the stock was $14.98 on July 7, 2010. Tesla has recently announced that their Model 3 vehicle will be manufactured 24/7. This has helped increase tesla’s stock prices because it shows how committed they are to meet

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Calculations Gross Profit Margin = (Gross Profit / Sales) x100 2012 938,913 / 1,139,350 = 0.824 x100 = 82.4 2013 1,234,538 / 1,498,725 = 0.823 x100 = 82.37 (82.4) According to The Gross Profit Margin has stayed stable from 2012 to 2013, because although the Gross Profit has increased significantly in 2013, the sales have also increased proportionately.

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This usually results in the age old question do witches worship the devil? No witches do not worship the devil. The Devil is a figure in the Christian faith and Wicca predates Christianity. Christians demonized the horned God of the witches in an attempt to force them to convert to Christianity.(Grimassi) This unfortunately sparked a monk named Heinrich Kramer to write what is thought to be the book which sparked the witch trials in both in Europe and in the United States in the late fifteenth to the eighteenth century.

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Profit Margin Dell Technologies Inc. had a net margin of -2.6% in the year 2015, -3.53% in the year 2016 and -6.58% in 2017. This shows that the loss made by the company is increasing in the period under review. Apple Inc. has a margin of 22.85% in 2015, 21.19% in 2016 and 21.09% in 2017. This indicates that the firm has made profits in each of the year under

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The motors used in Tesla cars are greatly efficient than combustion engines because of a few major factors. Tesla's electric engines provide almost constant torque (which can be thought of as a twisting force) over a wide range of RPM (revolutions per minute), eliminating the need for a gearbox. Unlike combustion engines, which, because of the conversion of linear energy into rotational energy, loses some of its energy due to heat, friction between gears, and wear-and-tear, Tesla do not suffer much inefficiencies because of their electric motors. According to Tesla, 70% or more of the energy produced by combustion engines ends up wasted, as heat, pollution, smog and so on. Their electric motors run at an efficiency of 88% due to just

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There are several strengths within Tesla Motors that have helped them to be over others in the automotive industry. First, outsourcing of secondary components helps to keep low cost and focus primarily on technological advancement (Welch, 2009). This moves to strong R&D department, creating high productivity battery systems and electric powertrain (Tesla Motors, 2010) and overwhelming other competitors in this market. This made Model S the winner of 2013 Motors Trend’s Car of the Year award (MacKenzie, 2013). Secondly, Lean management system in which all employers work together in relatively small and cheaply decorated offices (Welch, 2009).

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Tesla Model S is a fully plugged in electric vehicle produced by Tesla Motors. It was introduced in June 2012. It scored a perfect 5.0 in NHTSA automobile safety rating. The official range for the Model S Performance model equipped with an 85 kWh battery pack in 265 miles, which is the lead electric vehicle in the market. It became the first electric vehicle to top the monthly new car sales ranking in any country.

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Technologic factors: Technology is perhaps one the most important factors responsible for Tesla’s internal environment decisions and capabilities: digitalisation, improving technology and globalisation is having a significant effect on the automobile industry. Indeed, these technological advancements now allow for fully electric vehicles and driverless cars. The high rate of technological change is both an opportunity and a threat as the winners of this technological race will be those capable of appropriating these new technologies before their competition. Technological advancement is also a threat, since there is a risk of Tesla’s technology becoming obsolete, the firm must ensure that its R&D spending remains consequent so that it doesn 't fall behind its competitors. (panmore.com, Tesla Motors, Inc. PESTEL/PESTLE Analysis & Recommendations)

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The vision of Tesla is ‘to create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles’. Based on the mission and vision, the company’s strategy was determined. Tesla’s strategy is to enter at the high end of the market, where customers are prepared to pay a premium, and then drive down market as fast as possible to higher unit volume and lower prices with each successive model. (Musk,

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Analysis: Tesla has proven to make an extensive impact in the market. Keeping the company’s position in the high-end industry, Tesla is able to represent just like companies like Apple a high-end product that appeals only to a certain customer base. Tesla is constantly innovating their product in a way that the newest technologies will be incorporated in the production process of the car and the products the companies develop itself too. Tesla is the first major company to have inherited an electric car only automobile production company, which is nearly impossible considering the weak demand for electric cars today. Most car manufacturers today only devote a small part of their product line to electric cars, meaning that they do not want to take the risks of completely changing to electric only cars as fears of reducing the demand for their products is real and because there is still more demand for conventional petrol driven cars.

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Tesla Motors is an American-based company that deals majorly with designing, manufacturing and selling of electric cars as well as electric vehicle powertrain components. Since its formation by a group of Silicon Valley engineers in 2003, Tesla Motors Company has gained global fame and incomparable customer loyalty. Tesla Motors have significantly grown from the year of its commencement till now. The sales and revenue of the company has increased year after year which is evident from its annual report. In the year 2011, the company has generated revenue of 204.224 million which has considerably increased to 4.05 billion in 2015 (Marketwatch, 2016).

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That is respectable, and some of the highest out there, but it is nowhere near the Tesla models. The Volt can still get you many places without using any gas. When it does use gas, the fuel economy is 150 miles per gallon. That is almost double the price of a brand new gasoline powered sedan and with that gas vehicle you can drive it more than 100 miles.

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Tesla Model S battery pack costs will be at/below ~$300/kWh, well below from other OEMs/battery makers ($500-600/kWh for 2011-2012 timeframe, and $375-500/kWh mid-decade target) A key source of Tesla’s cost advantage is its ability to apply commoditized small cylindrical lithium cells (used in consumer electronics) to a car via proprietary thermal/power management. It also has a comprehensive, proprietary technology with 40 patents awarded & over 200 patent applications

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