Question: Provide a concise overview of the case study, including the key issues, findings, and recommendations. Headquartered in Austin, Texas, Tesla, Inc. is a US electric

Provide a concise overview of the case study, including the key issues, findings, and recommendations.
Headquartered in Austin, Texas, Tesla, Inc. is a US electric vehicle and clean energy
company that designs and manufacturers electric cars, batteries, solar panels, and solar
roof tile. Tesla has a market capitalization higher than any other car manufacturer in the
world. Through its subsidiary Tesla Energy, the company is perhaps the largest global
supplier of battery energy storage systems and photovoltaic systems. The companys
name is a tribute to the famous US-Serbian inventor and electrical engineer, Nikola Tesla
(18561943).
On June 10,2020, Teslas market capitalization surpassed those of BMW, Daimler, and
Volks-wagen combined and, within months, reached a valuation of
surpassing Toyotas to become the worlds most valuable automaker by
market capitalization. In October 2021, when the Hertz car rental company ordered
100,000 Tesla cars for its fleet, Teslas market capitalization reached the sixth
company ever in the United States to reach that value.
Tesla today offers the Model S, Model 3, Model X, Model Y, Solar Roofs, and Solar
Panels as well as accessories to all these products. For the year 2021, Tesla delivered
more than 936,000 vehicles. Including 24,964 Model S and X (S/X) and 911,208 Model 3
and Y (3/Y). Tesla manufacturing facilities are located in Fremont, Texas; Shanghai,
China; Reno, Nevada; Buffalo, New York; Bay Area, California; and soon in BerlinBrandenburg, Germany.
In April 2022 after posting a record quarterly profit of CEO Must says that
Tesla would likely produce more than 1.5 million vehicles in 2022, up more that 60
percent over the prior year. In Q12022, Tesla delivered about 310,000 vehicles globally,
up from 184,877 a year earlier. Global supply chain problems however plague Tesla as
U.S. buyers wait about eight months for a new long-range Model Y compact sport utility
vehicle, rather than the normal eight weeks. Teslas first factory in Europe, named Gigafactory Europe, opened in March 2022 just
outside Berlin, Germany, and aims to employ 12,000 people and make up to 500,000
$206 billion,
$202 billion
$1 trillion,
$3.32 billion,
Exhibit 1 The Range of Electric Vehicles (EVs) in 2021(in Miles)
vehicles annually, starting with the Model Y, a sporty crossover. The plant produced
about 100,000 vehicles in 2022 as supply chain issues curtailed operations
Tesla had the market
somewhat cornered on EVs and solar energy generation, but now, nearly a hundred
companies have entered the EV manufacturing and energy generation business. Intensity
of competition and rivalry among firms is accelerating. Teslas profit margins are excellent
within its automobile segment but weak within its energy generation segment.
The vision/mission and organizational structure sections of this case reveal that there is
substantial room for improvement for Tesla in both areas. Musk knows the basic
underlying external opportunities and threats and internal strengths facing Tesla, but he is
unsure about the relative importance of those factors. He thus needs an external and
internal assessment performed, anchored by development of an EFE Matrix and IFE
Matrix as described in Chapter 3 and Chapter 4 of the David textbook. Musk also
needs to know the relative attractiveness of alternative strategies facing the company, so
he needs a SWOT, BCG, and QSPM analyses performed.

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