Case 7: Tesla Motors Inc. PDF

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Problems and recommendations from the case....

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Makayla Fleetwood 6-13-17 Group 1 Tesla Motors Inc. I. Problem(s) Definition: A) No specific vision statement was given and Tesla’s mission statement does not meet all nine components of a good mission statement. B) Tesla has no divisions, COO, and no women in top management. C) Low gas prices and the trend towards larger vehicles makes it difficult to stay competitive in the automobile industry. II. Recommendations: A) Tesla needs to use its current mission statement as a basis for its vision statement. The mission statement needs to be revised to include all nine components, such as customer, product, market, public image, etc. Tesla needs to make it apparent to its customers what its goal is and how it will accomplish it. B) Tesla should consider implementing divisions to help get different statistics. A COO should be hired right away as someone needs to oversee daily operations, and routinely report to the CEO. With the CEO being the highest ranked executive in the company, there needs to be a second in command, should anything happen to the CEO. Hiring women into top management positions. C) Gas prices are low making the need for electric cars not as prominent. Many people can get by with their gasoline powered vehicles at an affordable price. Facts show that people are trending more towards larger vehicles rather than the smaller cars, which are typical of electric ones. This makes for an even bigger challenge for Tesla. Tesla should consider creating larger vehicles with optional gasoline functions to attract more customer interest. This would be a great backup incase the vehicle ever ran out of power while on the road....