Apr 15, 2015 a surprisingly illinformed study at the harvard business school is highlighted in this article. Also, this report considers tesla motors partnerships as a case study and it aims to give an insight of how the coupled process of open innovation is. Case hbs case collection august 20 revised december 2015. Tesla shows how traditional business metrics are outdated. Jul 25, 2016 musks interest in tweaking both approaches makes sense given his view that the business model of the car industry is doomed. Tesla motors has overcome many barriers to pioneer electric cars. Hbs cases are developed solely as the basis for class discussion. Tesla motors case solution, tesla motors case analysis, tesla motors case study solution, tesla motors introduction. The founding team included elon musk and teslas cto, jb straubel. A successful entrepreneurship strategy by khamis m. The transport sector has also received numerous recommendations to reduce carbon emissions. I would actually love a 3rd option, kind of a tesla motors onstar service where i can use the infotainment screen to start a chat session with a tesla representative to ask a question and maybe they can on the fly with the 3g connection in the car help me assess or answer a question. Innovation, open innovation, coupled process, partnership, tesla motors. Tesla motor inc mh0032 pdf eng mh0032 1 2 5 9420477 r ev fra nk t r o tha e rme l david r kin g tesla motors inc january 1 2015 elon musk chief.
In january 2010, tesla motors announced its filing of a registration statement with the securities and exchange commission for an initial public offering ipo the first american automaker going public since ford in 1956. Tesla motors, inc pioneer towards a new strategic approach. If tesla were to enter the lower end market, it would without doubt face strong competition from gm. The sales of the electric cars of tesla motors increased from 100% to 360% in the previous year. What were the strengths and weaknesses of the approach that elon musk took to launch tesla s new.
Of course, the auto industry has innovated in the past, but tesla, which was founded in 2003, has pushed the envelope. Herb benson, robert korn, samantha nettnin, and kevin peterson. Harvard business school case 218033, december 2017. Prior to joining tesla motors, he was an engineer at aerovironment, where he helped develop the ev1 for general motors and was featured in the documentary movie, who killed the electric car. Which one of the five generic competitive strategies discussed in chapter 5 most closely approximates the competitive approach that tesla is employing. Around the same time, tesla and toyota formalized an agreement to jointly develop an electric version of the toyota rav4. Tesla case solution and analysis, hbs case study solution.
Auto industry case a tesla motors designing compensation package of tesla inc tesla tesla motors tesla motors. Case entrepreneur tesla motor overcoming barriers to entry in an established industry. Cases are not intended to serve as endorsements, sources of primary data, or illustrations of effective or ineffective management. Tesla motors harvard business school digital initiative. Case study solution and lecture notes about tesla motor inc. The founding team included elon musk and tesla s cto, jb straubel. It is against the backdrop of these ideal that tesla motors company was created. What, if any, changesadjustments in tesla s strategy would you recommend that elon musk consider. To maximize their effectiveness, color cases should be printed in color. With the technology advancement, there will be batteries that are more efficient and there will be more stations for charging the cars scholz, 2014. Herb benson, robert korn, samantha nettnin, and kevin peterson 2.
Pdf tesla pestel analysis harvard strategic management. Tesla motor inc mh0032pdfeng mh0032 1 2 5 9420477 r ev. Tesla motors teaching note harvard business school. Khamis bilbeisi, a professor of accounting at clayton state university, has over 30 years experience teaching a variety courses in accounting and is involved with forensic and investigative accounting. Pdf in many industries, we observe a paradigm shift from traditional value. With the increased focus on renewable energy driving all, sector the countrys economy. Tesla motors case study case study solution and analysis. Pdf the need for sustainable growth is felt now than ever before. Vrio analysis for tesla motors case study case study identified the four main attributes which helps the organization to gain a competitive advantages. Tesla has been the poster boy image for alternative fueled vehicles, particularly electric. Harvard business school case study 218033, december 2017.
Wally rippel is a longtime proponent of electric vehicles. They have been removed, in the spirit of the open source movement, for the. Founded in 2003, tesla motors is an american energy storage and automotive company which develops and produces battery systems, electric powertrains and electric vehicles. Andrew martin comm 336 informative paper 4420 tesla motors tesla motors is a car company that designs, manufactures and sells electric vehicles.
Featured case tesla motors the case centre, for educators. Tesla motors case solution, in mid20, tesla motors has been riding a wave of success. International institute for management development, university of western ontario richard ivey school of business, harvard business school finance unit, university of connecticut department of finance, thunderbird, school of global management and university of virginia mcintire school of commerce. Tesla motors was founded in 2003 and named after nikola tesla, one of the inventors of the electric ac induction motor. Tesla is accelerating the worlds transition to sustainable energy with electric cars, solar panels and integrated renewable energy solutions for homes and businesses. Tesla, spacex, and the quest for a fantastic future. Based on a tesla case study our research focusses on product, company. Tesla motors case solution and analysis, hbs case study. Fig 7 pestel analysis of global trends for electric mobility. Here i will conduct the tesla supply chain case study as a bonus, there is also apple swot analysis to aid mba and management students. He holds the royal little chair, established in honor of the founder of textron. Tesla motors is an american company that is engaged in the manufacturing, designing and selling of electric cars and electric po. Wally has also worked for the jet propulsion laboratory on electric vehicle battery research, among other projects.
The case analyzes the equity market value of tesla motors, the electric car company founded and led by elon musk. In the contemporary world of business and technology, few companies get as much. Third, it analyses the larger issues about business development. Nov 06, 2016 case study about tesla motors for the classe of marketing of high technology innovations lut. Every time you mention outofbox thinking, you think about tesla. Tesla motors delivered the model s, a beautiful, allelectric sedan that took the automotive industrys. Pioneer towards a new strategic approach in the automobile industry along the open source movement. And every time you seek a model for organization analysiswell, yes, you are welcome to consider tesla. What were the strengths and weaknesses of the approach that elon musk took to launch teslas new.
In 1996 general motors came out with general motor. Tesla evaluating a growth company case solution, amidst the global market and economic uncertainty, tesla debuted its shares in june 2010 on the nasdaq stock market ticker symbol. Tesla motors cars combine style, acceleration, and handling with advanced technologies that make them among the quickest and the most energyefficient cars on the road. The author of this theory suggests that firm must be valuable, rare, imperfectly imitable and. S based car company that designs and manufactures their own cars and distributes it using various channels.
Concluding, tesla motors follows the coupled innovation process by establishing strategic partnerships. We manage this forum to gather and share perspectives from the hbs student community. Hbs digital initiative builds community and expertise around digital transformation and tech at harvard business school and beyond. Any study of elon musk must begin at the headquarters of spacex, in hawthorne, california. It had launched its first really massproduced carthe. Threat of new substitutes is low in the automobile industry especially for tesla motors. Tesla has made its name and earned a 7x revenue multiple popularizing electric sports cars that many hope will serve as a role model for how to clean up the 26% of u.
Tesla motors was created in 2003 by a group of engineers in silicon valley with a vision to create the most compelling car company of the 21st century by driving the worlds transition to. It is intended to be used as a basis for class discussion rather than to. Second, the paper explores tesla motors embrace of an open source philosophy. This public company was founded in 2003 by ian wright, jb straubel, marc tarpenning, martin eberhard and most notably elon musk. Jan 01, 2015 tesla motor inc mh0032 pdf eng mh0032 1 2 5 9420477 r ev fra nk t r o tha e rme l david r kin g tesla motors inc january 1 2015 elon musk chief. Pdf electric vehicles an introduction of the tesla case for. Tesla motors tsla history founded in 2003 by elon musk current ceo, jb straubel cto, martin eberhard, marc tarpenning, and ian wright tesla roadster first manufactured product, offered from 2008. Tesla motors designs and sells highperformance, highly efficient electric sports cars, with no compromises. Essay examples 1192 words 5 pages tesla motors inc. Each time you speak about doing things right, you speak about tesla. Fourth, the paper examines tesla motors use of trade mark law and related rights in its. Positioned as a replacement for the threewheelers that predominated as small commercial vehicles in india, the ace create a new product. Tesla seemed to be on its way to defying the skeptics and becoming the. Considers the strategy and experience of tata motors, indias leading commercial truck maker, as it developed a new small commercial vehicle, the tata ace.
The investor, a shareholder in the electric vehicle company tesla, suggested that tesla s founder, elon musk, is creating a new model of. Tesla motors harvard business publishing education. Toyota and daimler that were early investors in tesla realized that tesla has started growing from a fancy upstart to a serious competitor. At the time of teslas launch, the last successful u. In the particular, case study solution and lecture notes about tesla motor inc in the electric vehicles market, tesla company has established itself as the market leader.
Funding for the development of this case was provided by harvard business school, and not by the company. This paper seeks to explore reputational risk management practices of tesla inc. Teslaas not as disruptive as you might think hbr id say is a good case of gigo. As a result, model s acceleration is instantaneous, silent and smooth. This case was written by jeff dyer, horace beesley professor of strategy at brigham young university, and nathan furr, assistant professor of strategy at insead. Tesla evaluating a growth company case solution and. The case focuses on the electric vehicle segment of the business formerly known as tesla motors inc. Case study about tesla motors for the classe of marketing of high technology innovations lut. The company launched its products specifically in the automotive industry and began to design and supply lifestyle products as well. Stockholder litigation, the delaware court of chancery in an opinion by vice chancellor slights declined to grant defendants motion to dismiss because the court found it reasonably conceivable that elon musk, a 22. It was the first electric car built from the ground up and massproduced by a major automaker adler 1996. Musk provided most of the capital and became chairman of the board and head of product design. Tesla seemed to be on its way to defying the skeptics and becoming the first us company to enter the car industry with a massproduced car since.
Not only did tesla chief executive and chief product architect elon musk demonstrate that convention could be defied, he did it in an industry with 100yearold traditions, norms, and processes. Elon musk and the control of tesla harvard university. Tesla s strategy is risky and aggressive, but it has worked. Technology, harvard business school press, boston, 2003. By 2015, tesla had sold more than 1,00,000 model s types and has already got. He sees cars going autonomous, threatening the need for car. First, it considers tesla motors shifting strategies in respect of patent law, policy, and practice. Tesla motors case solution, tesla motors case analysis, tesla motors case study solution, threat of substitutes. In mid20, tesla motors was riding a wave of success. Harvard business school finance unit, boston college carroll school of management and harvard business school. Tesla motors ip open innovation and the carbon crisis bl.
197 201 1140 161 36 29 590 1162 1218 849 984 943 1168 1649 1510 1303 353 968 338 996 506 1351 1597 179 1564 435 824 1398 611 409 1168 344 698 1219 1211