Description of the Company
Tesla Motors Mission/Vision Statements
Tesla Motor’s Mission Statement is:
“To accelerate the advent of sustainable transport by bringing compelling mass market electric cars to market as soon as possible.” (Musk, 2013)
Tesla’s mission statement means that they want to create a world standard for sustainable transport. By bringing electric cars to the mass market they will create a product with an indefinite energy supply.
Tesla Motor’s Vision Statement is:
“Create the most compelling car company of the 21st century by driving the world’s transition to electric vehicles.” (Tesla Motors Overview, 2011)
Tesla’s vision statement means that they want to lead the innovation of the automobile industry and inspire the world to transition to electric vehicles. In turn they believe that this movement will lead them to become the most intriguing car company in the world today.
List of Tesla Motors Products
Relating Products to Mission and Vision Statements
The four models offered by Tesla directly relate to their mission and vision statements as each model is a fully electric vehicle that Tesla has introduced to appeal to different markets. The Tesla Roadster is a sports car, which was the first model Tesla introduced (Green Car Magazine, 2009). Tesla then introduced the Model S, which is a Sedan designed for higher efficiency initially driving up to 426 km with a single charge (Tesla Motors, 2012). Tesla’s latest release is the Model 3, which was designed to be a more affordable purchase set to range from 35, 000- 40, 000 U.S. dollars while still driving up to 320 km on a single charge (Ohnsman, 2013).
Tesla Sales for the Last 3 Years
On August 1st, 2011 Tesla’s stock was at $28.77. On August 1st, 2014 Tesla’s stock was worth $233.27, which shows Tesla’s growth of $204.50 over a 3 year span (Google Finance, 2014). Figure 1 shows Tesla’s stock price from 2011 to 2014.
Figure 1. Tesla Stock Information (Google Finance, 2014)
In the fiscal year 2011, Tesla’s revenues were listed at 204.24 million dollars; in 2012 revenues were 413.26 million dollars and in 2013 revenues were 2.01 billion dollars. These figures demonstrate a revenue growth of 89.84% in the last three years (Market Watch, 2014). The increased revenues are directly related to an increase of sales, but through 2011-2013 Tesla operated at a loss of 254.41 million dollars, 396.1 million dollars and 74.01 million dollars respectively (Market Watch, 2014). Market in Which Tesla Competes
Tesla competes in the automotive market. Tesla’s sales are directed towards consumers. More specifically Tesla is in the market for electric vehicles. In 2013 plug-in electric cars accounted for 96,000 of the 16.5 million vehicles sold in the United States, which represents just over half a percent of the total market (Klippenstein, 2013). Figure 2 demonstrates the U.S. plug-in electric vehicle market share in 2013 by approximate price points.
Figure 2. U.S. plug-in electric vehicle market share 2013, by approximate price point (Klippenstein, 2013) Tesla vehicles fall into the $60,000 or greater price range, which as seen in Figure 2 makes up approximately 55% of the total U.S. plug-in electric vehicle market. Total Sales of Automobiles in the United States
Automobile sales totaled 12,778,885 units in the United States in 2011. In 2013 those totals grew by 2,803,251 units for a unitary growth rate of 17.99% (Cain, 2014). This growth is a resemblance of the economic recovery in the United States following the recession where...
References: Musk (2013). The Mission of Tesla. Retrieved from http://www.teslamotors.com/blog/mission-tesla
Tesla (2011). Tesla Company Overview Summer 2011. Retrieved from http://files.shareholder.com/downloads/ABEA-4CW8X0/0x0x494001/dd297293-ec2d-4dc5-8db4-63d491fb6bd0/Company_Overview_Q3_2011.pdf
Green Car (2009). Tesla Motors Moving Quickly to Commercialization of an Electric Car. Retrieved from Green Car Magazine.
Tesla Motors (2012). Tesla Model S Blows Away the Competition and Wins AUTOMOBILE Magazine’s "Automobile of the Year"". Retrieved from Tesla Motors.
Ohnsman (2013). Tesla Pays Back U.S. Early as Musk Aims for Affordability. Retrieved from Bloomberg Magazine.
Google Finance (2014). Tesla Motors Inc. NASDAQ: TSLA. Retrieved from http://www.google.ca/finance?cid=12607212
Market Watch (2014). Annual Financials for Tesla Motors Inc. Retrieved from http://www.marketwatch.com/investing/stock/tsla/financials
Klippenstein (2013). Green Car Reports Electric-Car Market Share In 2013: Understanding The Numbers Better. Retrieved from http://www.greencarreports.com/news/1089555_electric-car-market-share-in-2013-understanding-the-numbers-better
Cain (2014). Overall U.S. Auto Industry Sales Figures - Monthly And Yearly. Retrieved from http://www.goodcarbadcar.net/2012/10/usa-auto-industry-total-sales-figures.html
Deveaux (2014). 2014 Major Consumer Trends – and How They Affect Automotive. Retrieved from http://blog.gfk.com/2014/02/2014-trends-automotive/
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