A Case Study on Tesla's Competitive Positioning in the Electric Car Industry
Loading...
Date
2023
Authors
Journal Title
Journal ISSN
Volume Title
Company
URL
Shelf Location
Date
Abstract
AI-GENERATED ABSTRACT: Abstract: The objective of this article is to provide a response to the question, "How competitive is Tesla in the electric car industry?" Electric vehicles have captured the interest of customers in today's world, where fossil fuels are avoided, and innovative energy sources are desired. Many firms entered the electric vehicle industry after Tesla pioneered it. In this increasingly competitive climate, achieving a durable competitive advantage is critical. Tesla's internal and external resources are investigated using three different frameworks in this thesis, and whether it has a competitive advantage is identified. The analyses revealed that the electric vehicle sector had an oligopolistic structure and is highly competitive. The integration of manufacturing facilities has been found to be essential in lowering car costs. Simultaneously, it has been discovered that the fact that consumers have more bargaining power than manufacturers influence the industry's profitability rate, and that consumers can choose other alternatives to electric automobiles. Considering all of this, Tesla's strong brand value, incorporation of advanced technology into its products, ownership of high-tech manufacturing facilities, and demonstrating a firm market position enabled it to maintain a long-lasting competitive advantage. Keywords: Tesla, electric vehicles, competitive advantage, automotive industry, oligopoly, manufacturing integration, consumer bargaining power, brand value, advanced technology, market position