Sunday, December 22, 2019

Supply Chain Management Tesla - 803 Words

Strength Unique position in automotive industry: there is public excitement for the vehicles Tesla manufactures. Tesla has a climbing interest among investors as that population continues to grow and the company’s value is increasing with the development of a sound financial strategy for future value. The intangible appeal of the Tesla car product is the high-value of a new company projecting market confidence. Supply chain management: Tesla is building a corporate infrastructure to handle all aspects of production. Their supply chain process beginning in research and development, to manufacturing, and distribution is owned and controlled solely by Tesla. Weakness Automobile production is new to Tesla: Tesla is new to manufacturing†¦show more content†¦Create: Tesla is building a manufacturing facility near Reno, Nevada that will become the world’s largest lithium-ion battery manufacturing facility. The asset increases value for the company and the production may generate net income to add value to the firm. Threats Regulation: because Texas and Michigan have prohibitions on direct sales of Tesla EVs, and because the automotive industry is highly competitive, law in other states may follow the lead of Texas and Michigan, and strangle Tesla’s direct sales strategy in United States markets for EVs. Competition: the automotive industry is highly competitive. Product acceptance: Tesla may have trouble with product acceptance. Electronic vehicle that emits no pollutants is attractive to consumers, but science may indicate that the electronic battery charging produces emissions that are harmful in the production of electricity. Literature Review The literature reviewed for this assignment comes from information resources ranging from academic journals, internal reports, financial statements, and Tesla’s Form 10-K 2016. The information ranges in date from 2015 – 2017. Discussion Limitations of Research Tesla declines to say home much it is budgeting to change infrastructure to manufacture 400,000 units currently on a reservation list. SinceShow MoreRelatedCase Study : Tesla s New Product1088 Words   |  5 Pageswill fail. Fortunately Tesla will be supplying a product that consumers desire and they have built a company based on proven and well calculated strategies. Although it is unlikely that Tesla’s new product would fail completely, there are other risks that could be present during the new product launch. For instance, given there will be a new product, that is going to be produced on a mass scale for a large consumer market, there will be an increased demand on Tesla’s supply chain. With an increased demandRead MoreBusiness Insider Ranked Supply Chain Manager849 Words   |  4 PagesInsider ranked Supply Chain Manager as 22nd out of the 25 best jobs in America now. 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