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Tesla Motors has built a reputation as an innovation-driven company that seeks to revolutionise the motor industry. The company has focused on producing battery-driven electric vehicles. The use of electric vehicles is seen as a way of eliminating the environmental impact of petrol and diesel vehicles Holmberg, Electric vehicles represent clean energy use, a concept that is at the heart of global business and consumer discussions.
Tesla Motors electric vehicles also come with lots of futuristic features that represent cutting-edge technology. There is a growing need for creative problem-solving in order to find suitable solutions that satisfy customer demands. The automotive industry has always been driven by innovation as manufacturers strive to provide good value to customers through creations that are perceived as superior to others.
Innovation represents a means for companies to grow their revenues and enhance their capabilities Ebersberger et al. New products with better features are preferred by customers. Customers are also looking for products that will satisfy their needs and solve their problems in a simple way. It represents a great way for companies to enter new markets and increase their market share by producing products that are perceived to be superior to their competitors.
In order for innovations to be valuable, new products and buy essays paypal ought to be robust enough to progress through rigorous buy essays paypal processes before they reach the marketplace Ebersberger et al. Due to competition and strong demand, companies have to innovate quickly and put their buy essays paypal into the marketplace.
Innovation does not just cover new products and services, but also new processes, business systems and methods of management. In this age of rapid technological development, companies that do not innovate fast risk seeing their products and services becoming obsolete Karamitsios, The effects of globalisation, migration, knowledge-sharing and technological growth have combined to make the business place highly competitive. Tesla Motors seeks to lead in terms of innovation in the automotive industry by incorporating the latest technologies into their vehicles Liu et al.
The company is already creating a niche market for itself rather than compete with established auto manufacturers in the petrol and diesel category. Tesla Motors was founded by current CEO Elon Musk together with other Silicon Valley tech engineers. Elon Musk has emerged as a strong, visionary leader who believes in innovation as the driving force for business solutions Holmberg, He is seen as a transformational leader who leads by example and uses his drive for excellence to push the company towards its full potential.
Elon Musk has demonstrated ability to make buy essays paypal believe in his vision even when critics think it is impossible. Transformational leaders bring change to the organisation and marketplace. This is what Elon Musk has done with Tesla Motors and his other companies such as Space X and PayPal Holmberg, buy essays paypal, The leadership problem at Tesla Motors is over-reliance on Elon Musk to provide the direction and inspiration Liu et al.
The success of the company mainly hangs on his ideas, without which they would not be able to distinguish themselves from the rest. Not every business leader can be like Elon Musk; therefore Tesla Motors needs to find the right mix and balance amongst its leadership and management group. Within any organisation, buy essays paypal, there are people who will resist change or find it hard to embrace new ideas.
Tesla Motors also has to find ways of retaining its best leaders and managers within an industry with high turnover Holmberg, Battery-operated electric vehicles face two major limitations — high battery cost and limited battery range. Tesla has partnered with Panasonic as its main battery supplier but shortage challenges persist. Each Tesla Model S vehicle battery pack requires more than 7, cylindrical cells, and the company seeks to produce more than 40, cars annually Liu et al.
Tesla has to invest in battery innovation if it is to support the production of electric vehicles Liu et al. This may involve creating new battery factories to manufacture enough battery cells for its vehicles. Many other electric vehicle manufacturers will be looking for batteries and this is likely to drive prices further upwards.
A possible way of reducing costs is for Tesla to switch to flat prismatic cells instead of the current cylindrical batteries. Alternatively, the company buy essays paypal look for other suppliers in addition to Panasonic Ebersberger et al. Customers are not likely to buy electric vehicles if there is a shortage of charging stations or they take long charging hours.
Currently, fuelling stations are easily accessible to people in every place and this makes fossil fuel vehicles more practicable.
For electric vehicles, charging stations are not readily available and it would take a lot of infrastructure development to establish these on a global scale. Tesla employs various strategies to push its electric vehicles in the consumer market. Tesla also provides other auto manufacturers interested in electric vehicles with patented electric powertrain components which they pay for. Additionally, the company has been encouraging other auto manufacturers to enter into the electric vehicles market by showing that there is a huge potential market for these vehicles Ebersberger et al, buy essays paypal.
The objective behind these moves by Tesla is to spur investment and innovation in the electric vehicles category, as well as to open up the huge potential market that exists. Tesla Motors manufactures and markets its own electric vehicles. The buy essays paypal also acts as an original equipment manufacturer selling its electric powertrain components to other companies that might be interested in making their own electric vehicles Karamitsios, This is because Tesla is a pioneer in this category and has patented most of the technology available.
Furthermore, other companies are still cautious about the real potential of electric vehicles and are therefore not willing to fully invest in the initiative as much as Tesla has done. Tesla partnered with established car manufacturer Lotus and this partnership has proven quiet useful to Tesla Faems et al. Second, Tesla uses Lotus manufacturing plants in England to produce its vehicles. This has saved Tesla a lot of costs in setting up a new manufacturing plant.
Furthermore, Tesla has avoided storage costs buy essays paypal with unsold cars Liu et al. Tesla has taken advantage of Lotus supply chain to push its electric vehicles into the market. The partnership between Tesla and Lotus provides a basis for sharing technology between the two companies Faems et al, buy essays paypal. Tesla relies on technology from Lotus especially in relation to structure and safety of vehicles. Lotus engineers have also been contracted buy essays paypal Tesla for various engineering and styling jobs.
This is because Tesla still has a small pool of employees to handle all the work needed. Tesla also licensed key safety systems from Lotus thus saving time and money Liu et al. The battery pack remains the most important component of electric vehicles, making it necessary for Tesla Motors to seek stronger partnerships with battery cell manufacturers Ebersberger et al, buy essays paypal. The two companies have a supply agreement for automotive grade lithium-ion battery cells, the main buy essays paypal for the Tesla Model S.
The new battery cell uses nickel chemistry technology with special optimisation for electric vehicles. The new cells can achieve longer range with more energy density. This will help towards solving one of the major problems associated with electric vehicles — short battery life.
Tesla is willing to invest towards innovation of longer-lasting, more powerful batteries that would allow the vehicles to be used for longer without charging. This will also ease concerns about charging of the vehicles while there are still few charging ports available.
The two companies share ideas and technology for the development for better vehicles. Tesla Motors is an innovation-driven company that seeks to revolutionise the motor industry through production of battery-driven electric vehicles. In this endeavour, buy essays paypal faces several challenges which it has to overcome, mainly through innovation.
Tesla has to invest in the large scale production of longer-lasting, more powerful battery cells that will power its vehicles and meet its demand buy essays paypal it expands into the global market. Tesla also faces a leadership challenge due to overreliance on transformative leader Elon Musk. The company needs to train new leaders to take various positions and drive its growth into the global stage. Aggeri, F. Managing learning in the automotive industry — the innovation race for electric vehicles.
International Journal of Automotive Technology and Managementbuy essays paypal, 9 2 Belderbos, R. Technological activities and their impact on the financial performance of the firm: Exploitation and exploration within and between firms. Journal of Product Innovation Management27 6buy essays paypal, Chiaroni, D. Unraveling the process from closed to open innovation: evidence from mature, asset-intensive industries. Ebersberger, B. Open innovation practices and their effect on innovation performance.
International Journal of Innovation and Technology Management. Faems, D. Technology alliance portfolios and financial performance: Value-enhancing and cost-increasing effects of open innovation.
Holmberg, S. ICSB World Conference Paper, pp. Liu, Y. Tesla Motors Inc. Case Synopsis. Burnaby BC: Simon Fraser University. Retrievedbuy essays paypal, 10 18 Amazing Offers from The Uni Tutor Sign up to our daily deals and don't miss out!
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Thematic Synthesis Essay Example, English Writer Site, Example Of Informal Voice, Lucy Calkins Narrative Writing Essay Example TESLA Innovation Report. Introduction. Tesla Motors has built a reputation as an innovation-driven company that seeks to revolutionise the motor industry. The company has focused on producing battery-driven electric vehicles. The use of electric vehicles is seen as a way of eliminating the environmental impact of petrol and diesel vehicles (Holmberg, ) Argumentative essays, which present the opposing sides of a given topic. Expository essays, which provide an overview or explanation of a particular topic. Narrative essays, which talk about personal experience or tell a story of a specific event. Descriptive essays, which state a sensory description of an object or an event, including lab reports
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