Project Deliverable 5: Capstone Final Project and Presentation Due Week 10 and worth 180 points This assignment consists of two (2) sections: a final capstone project plan and a closing process Powe

Project Deliverable 5: Capstone Final Project and Presentation Due Week 10 and worth 180 points This assignment consists of two (2) sections: a final capstone project plan and a closing process Powe
Running head: case 13: tesla motors: disrupting the auto industry 0 Case 13: Tesla Motors: Disrupting the Auto Industry Introduction Tesla Motors is a leading brand globally; this automotive company has headquarters in California that designs and manufactures electric cars, other electric vehicles, and the related component. The company gained significant attention from the consumer after producing the Tesla Roadster, a total sports car model S, a total luxury sedan. The paper will make a discussion on the strategies used by Tesla Company to deal with the market and approaches that help them sustain their position in the market. Definition of Strategy and its suitability with the Tesla Company The strategy is this is a Greek word, which means developing some designs that help in achieving some long-term and overall aim; this is the art and science of panning the available resources to use them in the most effective ways (Yuan, Lu, Tian, & Yu, 2020). While talking about Tesla, it can be stated that it effectively fulfills the demand of word strategy. As Tesla is one of the biggest labels, the people working for this company have up-to-the-mark abilities to develop the most successful strategies. The strategy makers are betting that Tesla will control the bottleneck and the profit center for the industry’s well-being. The strategies made in Tesla account for the system level; technology and innovation are always the company’s priorities. The organization’s innovation strategy is transforming the whole automotive industry (Alfred, Gyasi, Oduro, & Akpabot, 2019). Summary of Strategies Chosen by Tesla Company to Lead The basic strategy of Tesla is quite popular as the CEO shared it with everyone back in 2006; he was clear about the approach he will use to get along the industry and gain people’s attention. He said that he would sell sports cars and made them affordable for consumers over time. To better understand the strategy of Tesla, one must separate it in 2 different pillars, more like the headline-grabbing moves (for example, launching the Cybertruck) and the big bets that are the core company products. Here one can understand that the launch of Cybertruck is more like a marketing tactic that attracts consumers globally. While the second part of the strategy, launching core products like models S, 3, Y, and X is the strategy to transform the industry. In 2007, the first phase of this strategy was completed, while phase 2 in 2013 by the development of model S. Both these stages helped in propelling the reputation of Tesla and manage the share price (Jiarui, 2020). Identification of Tesla’s Industry and Determination of main Competitors The main competitors of Tesla include Ford Motors, General Motors, and Volkswagen. All these companies are doing well in the automotive industry; many people are fond of vehicles designed and manufactured under these brands. Currently, Tesla just overtook the position of Volkswagen in being the second most valuable carmaker after Toyota. Each competitor uses different approaches and strategies to stay in highlights of the automotive industry; TOGETHER 25 is the strategy currently used in Volkswagen; it is all set to sell electric cars, offensively aiming to outsell Tesla (Wilmot, 2020). On the other hand, GM (General Motors) plans the production outlook for 2023 to help the organization stay updated with the new trends in the industry. At the same time, Ford is setting a new vision to get more successful in the future. The new strategy is to focus on the near-term profitability to develop a more competitive industry position. Analysis The strategies which the competitor companies are using can make them successful at some point. Getting along with the new technology and using different strategies to gain customer interest is making this industry more competitive. Ford’s new strategy to consult with the partners and stakeholders is undoubtedly a practical approach that will strengthen the relationship more; the passenger vehicle and future redesign will gain customers’ attention. On the other hand, GM is on the right path to achieve the goal of increased sales with the strategy. However, there are some approaches which make Tesla better than its competitors such as Tesla is way ahead in the field of technology and innovation, the most robust R&D department is making it way better and affordable vehicle for the people (Alfred, Gyasi, Oduro, & Akpabot, 2019). Performing Industry Analysis for Evaluating the Company’s Current Standing Understanding the strategies used in Tesla, it can be stated that the company can conquer the world by focusing on the key strategy. The company has the ability and resources to enter in other industries as well. The following is the industry analysis for Tesla’s CEO. General Environment The general vehicle industry is an external factor that could have a positive or negative impact on the business strategy of Tesla. The following are some key segments to define the industry. Global Segment With time, the company achieved enough popularity, and the goal of achieving the 0 emissions electric power, which is why the company is focusing on supercharges powered by superchargers. Expansion in the global network is assuring the rapid success that is made up of the functional electric vehicles of Tesla. Socio-cultural The innovation of company Roadster is the catalyst that allows the production of some more effective vehicles, just like Model S 2013. The more affordable cars are broadening the public’s portion to have the opportunity to drive efficient electric cars. This company is allowing consumers to use solar panels that avoid the increased cost of fuel. Technological The company is becoming the rapid player of the automobile industry and impacting the renewable transportation energy sector. Sales of Model S increased by around 55% in 2015. The demand and desirability of this brand’s vehicle are rapidly increasing. The use of green energy services and technological advancement gives the ultimate rise to a competitive market for the customers (Yuan, Lu, Tian, & Yu, 2020). The proposition of Three Performance Goals for Next One and Five Years Goals for One Year To reach the 321,000 vehicle sales until the end of 2020 To manufacture more than 50,000 cars in coming one year To use 100% green approaches and meeting carbon emission goals Goals for Five Years To be the top-rated car in the consumer reports within the next five years To be the first automotive company that offers total green cars To expand globally and getting more substantial consumer base in the upcoming five years Rationale/Purpose The rationale behind choosing these goals is, the company is already working effectively in the market, and they are also using different strategies to gain the attention of customers. Tesla is already on the road to success. However, the company needs to sustain this position in the market. Thus, it is essential to develop more cars and use technology to make vehicles more convenient for customers. Going global and starting other manufacturing plants may help in increasing the sales of the company. Conclusion All in all, Tesla is a huge brand, gaining customers’ attention and becoming more and more popular. Analyzing the company policies, it is identified that the company wisely develops strategies to be the best in the industry; however, the company should achieve these goals at the top. References Alfred, A., Gyasi, E., Oduro, B., & Akpabot, S. (2019). Foresight, organization policies, and management strategies in electric vehicle technology advances at Tesla. In Futures Thinking and Organizational Policy, 57-69. Jiarui, Z. (2020). Is it an excellent choice to invest in Tesla? In 2019 International Conference on Education Science and Economic Development (ICESED 2019)., 12. Wilmot, S. (2020, January 24). No, Tesla Isn’t Bigger Than Volkswagen. Retrieved July 27, 2020, from https://www.wsj.com/articles/no-tesla-isnt-bigger-than-volkswagen-11579861802 Yuan, Y., Lu, L., Tian, G., & Yu, Y. (2020). Business strategy and corporate social responsibility. Journal of Business Ethics 162, no. 2, 359-377
Project Deliverable 5: Capstone Final Project and Presentation Due Week 10 and worth 180 points This assignment consists of two (2) sections: a final capstone project plan and a closing process Powe
Running head: innovation and competitive analysis 0 Innovation and Competitive Analysis Introduction Tesla Motors is an eminent name in the US automobile industry. The company was originated in 2003 and managed to gain a strong impression in the Industry. The company’s lucrative period began with its launch of the electric car, Tesla Roadster, which had its customers in more than 30 geographical countries (Mangram, 2012). The car brought many sales and consumer attention to the company, which ultimately resulted in the company taking over General Motors, representing a legacy in the automobile industry. The market capitalization of Tesla is $90 billion, while General Motors lags at $50 billion. This paper thus analyses the company’s position in the Industry by using Porter’s five forces model. It also elaborates on certain innovative advances in the automotive industry. The paper will also discuss some essential resources and capabilities of the company and give the opinion about the organizational structure, whether it supports or impedes its ability to innovate and succeed. Porters Five Forces Analysis The Porters five forces analysis is as follows; Competitive Rivalry The automobile industry of the US represents a stiff competition from major players like General Motors, Ford. Although Tesla motors achieved significant market capitalization, General Motors had managed to create its brand name through iconic models and legacy cars (Stringham, Miller, & Clark, 2015). The number of competitors might be minimal for Tesla, their agility adds to the rivalry. Also, the Industry’s switching cost is low, where people can easily switch to other manufacturers, which further strengthens the Industry’s competition. Therefore, competitive rivalry is a strong force for Tesla to consider its strategic efforts. Buyer Power Tesla’s costumers have a substantial impact on the company’s sales and revenues. Therefore, the company experiences a moderate force from buyers as there are reasonable substitutes for the company, and the volume of purchases is low. The low cost of switching to other options for buyers creates a hurdle for the company. The overall impact of this force is moderate on the company. Supplier Power Tesla experiences a moderate force from the suppliers because of simple forward integration. Only a few suppliers interact directly with the company, while significant suppliers exploit third party companies. Also, the size of suppliers is not very large to have an impact on the industry environment. The supply level is also moderate, which ultimately renders the company useful from the suppliers in the environment. Therefore, the aggregate impact of this force is moderate on the company. Threat of Substitution In the market, the higher threat of substitution occurs when competitors present more attractive and low-cost products. The threat of substitution in the automotive Industry is also moderate. The options available for customers may be public transport or availability of recent trends like Uber. Such substitutions may cause hurdles for the company, but the ultimate value of owning a car always extends the substitutes available for customers. The Threat of New Entrant For Tesla Company, the threat of new entrants in the market is negligible due to the high investment required to create a brand and positioning in a highly competitive market. Tesla not only manages a secure brand value, but CEO Elon Musk also holds a reputable name, which is a significant strength for the company. Therefore, the company is at a nominal threat from new entrants. Innovative Trends in the Industry The automobile industry has undergone various shifts and changes which make these products energy-efficient and smart. Various companies offer cars and models that bring innovation to their customers and meet their needs and wants. Major trends include; Electric Vehicles Tesla company has received appreciation for launching an electric car, thus reducing the dependence on fuel. This innovation by Tesla brought a revolution in the automobile industry. Many competitors also followed the way paved by Tesla and considered manufacturing electric vehicles. General Motors aims to launch electric cars (Chen & Perez, 2018). The innovation of electric vehicles in the Industry has led to an environment-friendly approach to vehicles and attention from the buyers. Although this is the right approach for the environmental aspect, it may reflect battery issues, maintenance problems, and high costs that should be considered by companies launching EVs. Autonomous Vehicles Another major innovation in the market is the concept of autonomous vehicles that offer AI services to guide the vehicles for regular transport. This idea involves the latest technologies and sophisticated sensors that ensure better safety (Mangram, 2012). This trend will cause an impact in the public domain by lowering the accidents caused by human fatigue or negligence. The use of technology has been witnessed by several players, which is feasible majorly for public transport to reduce costs, downtime, and have a sophisticated infrastructure. Key Resources and Capabilities Tesla Company has managed to gain quite an impressive reputation and brand name within a short period. The newly created company overtook several competitors and gained a brand value based on the following resources and capabilities. The essential resources include tangible assets, including human knowledge that made the company pioneer of EVs. The company is now worth $90billion, which speaks of its outstanding financial resources. The top-notch product line, impressive management team, and reliable brand name are resources that create a unique position for the company (Kauerhof, 2017). With an influential, innovative culture, the company reflects its capability in revolutionizing the automotive Industry. The company can gain higher success rates and market capitalization by exploiting its capabilities. It will assist the company in sustaining fierce competition like General Motors. Organizational Structure The company holds a functional structure where the entities are grouped based on each group’s functional specifications. Major functional groups of the company include sales, technology, engineering, and finance. This grouping reduces complexity and makes assessment and control easier. In addition to this structure, the company does not follow a rigid hierarchical structure, which ensures better communications among the team members. This communication culture plays a significant role in the company’s innovative role and its success in the Industry. A flexible structure where everyone is allowed to communicate with each person in the team promotes innovation and generation of ideas. Therefore, the organizational structure of Tesla promotes innovation and plays an influential role in the company’s success. Conclusion Tesla holds a reputable name in the Industry, but according to porter’s model, it faces stiff competition from its competitors because of its aggressive approach to innovation. The company must strive for innovation to keep up with the competition and sustain its position in the Industry. Tesla being a newcomer, grasped impressive hold over the market through its innovation and revolution in the automobile industry. However, its success may be impeded by competitors who have been dominating the Industry for years. General Motors, Ford, BMW are strong brands that may overtake Tesla’s market share. Conclusively, the company faces a strong force from its competitors, and it can only sustain its position by ensuring sophistication and innovation in its products. References Chen, Y., & Perez, Y. (2018). Business Model Design: Lessons Learned from Tesla Motors. Towards a Sustainable Economy Sustainability and Innovation, 53-69. doi:10.1007/978-3-319-79060-2_4 Kauerhof, A. (2017). Strategies for Autonomous, Connected, and Smart Mobility in the Automotive Industry. A Comparative Analysis of BMW Group and Tesla Motors Inc. Munich: GRIN Publishing. Mangram, M. E. (2012). The globalization of Tesla Motors: A strategic marketing plan analysis. Journal of Strategic Marketing, 20(4), 289-312. doi:10.1080/0965254x.2012.657224 Stringham, E. P., Miller, J. K., & Clark, J. (2015). Overcoming Barriers to Entry in an Established Industry: Tesla Motors. California Management Review, 57(4), 85-103. doi:10.1525/cmr.2015.57.4.85
Project Deliverable 5: Capstone Final Project and Presentation Due Week 10 and worth 180 points This assignment consists of two (2) sections: a final capstone project plan and a closing process Powe
Running head: exploiting innovation 0 Exploiting Innovation Introduction Tesla Motors is an American Company manufacturing electric motor cars for its customers. The Company was originated in 2003 by two American businessmen Martin Eberhard and Marc Trepanning. The Company specializes in the electric storage of batteries and electric motors made with modern technology, keeping in view the customer demands (Tesla, 2020). The paper will discuss the organization’s competitive strategies, which can help it survive in the industry. The organization’s fundamental weaknesses and strengths are also evaluated for understanding the areas in which they are lacking, including the strong points that can provide a durable edge over competitors. Importance of Innovation in TESLA The company’s changes are beneficial for the improvement and betterment of the business being run by the company. Tesla has built its reputation in the world full of competition and introduced many innovations in the automotive industry. Innovation is essential as it represents different means in the company to grow and progress and flourish workers’ abilities. Introducing new products in the market that have advanced features with new technology is the result of innovation. It would help increase the company’s market share (Tufail, Kristiansen, Rana, & Ritala, 2020). Innovation is the demand of the automotive industry because various new trends are occurring, such as driverless cars, electric vehicles, and other vital improvements related to design and performance. If Tesla does not maintain its reputation of being innovative in the market, then there are chances that others can overtake its position. Strategies to Foster Innovation Tesla should use modern technology so that it can be useful in producing advanced vehicles or motors in the new world. Introducing products that reduce the use of petrol and diesel are beneficial for reducing global warming. The electric vehicles produced by Tesla should be built with high storage batteries so that it would be profitable and attract more customers to purchase the vehicles (Erik & Fenwick, 2016). Rationale Although electric cars are in demand and various brands like Toyota are working on it. However, the research is still in its initial stages due to which they are unable to provide high-performance cars to the customers. On the other hand, if Tesla will excel in the research and development, the company can quickly provide the products to the consumers with high comfort and long-living battery. The customers will prefer Tesla in all the other brands, which can increase sales and improve the company’s reputation. Speculating how the Evolution of Tesla is expected in the Next 5 to 10 Years According to innovative trends in the Industry written in Project Deliverable 2, Tesla Motors will introduce eco-friendly vehicles in the market that will be helpful in the form of electric motors. The future of Tesla motors is proved to be productive in the next 5 to 10 years; the electric motors will be produced in advanced models (Martina et al., 2016). The autonomous models with great innovation offer the AI services that would guide the automobiles for regular transportation. The use of new technology would be essential for reducing the cost of petrol and diesel used in vehicles, reducing the vehicles’ downtime, and increasing their life span. Also, the cars would not require regular maintenance because they would be made with advanced technology increasing Tesla’s economic value. The more advanced and unique features in the motors will be purchased in increased demand; this would automatically increase the economic power of Tesla motors and have new fame in the market in the next 5 to 10 years. Top Advantage of Tesla over Competitors Tesla’s battery-powered vehicles are more effective and demanded by the customers than the internal combustion engines used by the competitors. The reason is quite apparent the battery could be charged by electricity. The engine would run on the battery rather than any fuel, which would contribute to very less or no pollution in the environment. Whereas the internal combustion engine carrying automobiles would be at high risk of being worn out and they would also be a significant contributing factor to air pollution. These automobiles will not be demanded or purchased by the customer because they will require consuming more fuel and will need to get maintained every month due to low-quality utensils used in the vehicles by the manufacturer (Jianan & Peng, 2020). Tesla proves to be the provider of motor vehicles with advanced spherical cells of batteries and modern battery management systems and provides vehicles for at least 2 to 3 years. The automobiles would have software controls that would control and protect the devices in a unique way. Strategies to Exploit Innovation in Tesla Production of Eco-Friendly Motors The Tesla motors support the introduction of eco-friendly vehicles in the market. The advantage of this would be the low air pollution in the environment and the less noise pollution caused by automobiles. Its disadvantage includes that it would be costly and can be expensive due to advanced technology. It would also require higher maintenance, and also the hydrogen fuel cells embedded in the vehicle could cause the issues. Production of Cheap Electric Motors Tesla should establish a strategy on producing cheap electric motor vehicles that could be manufactured according to advanced technology but make use of the cheap or recycling method for manufacturing to be sold at lower prices. Its advantage would be increased market share, and the purchase of advanced vehicles at a low price would be a great advantage and increase the economic value. Another disadvantage is that cheap products with cheaper material would have a lesser warranty, and they will require more maintenance to keep them running. These would have a lower life span as compared to others (Hong & Lu, 2018). Advanced Motors with Latest Technology Tesla should introduce advanced motors based on the latest technology. The advantage of this would be an increased market share. Customers would be attracted more towards the product, and Tesla would be famous among the other competitive organizations, which will increase the company’s reputation. The disadvantage is that it will be costly. It will require more advancement in technology, and more funds would be needed to increase the vehicle’s market value. Recommended Strategy Tesla should work on the strategy to produce environmentally friendly vehicles; this would be beneficial for both the company and the environment. The vehicles would not cause air and noise pollution in the environment, and the use of advanced technology will help increase the market share. The use of new technology will reduce vehicles’ weaknesses, and maintenance would not be required more frequently as in the cheaper motors production. Conclusion The paper discussed the strategies based on Tesla’s innovation and indicated how to implement the strategies efficiently; this will help to increase the economic value of Tesla and increase the market share of the company. References Erik, V., & Fenwick, M. (2016). Seven ‘corporate venturing’ strategies to foster innovation (and create an environment for long-term growth). TILEC Discussion Paper. Hong, J., & Lu, F. (2018). To be friends, not competitors: A story different from Tesla driving the Chinese automobile industry. Management and Organization Review 14, no. 3, 491-499. Jianan, W., & Peng, X. (2020). A Study of Patent Open Source Strategies Based on Open Innovation: The Case of Tesla. Open Journal of Social Sciences 8, no. 07, 386. Martina, A., Sati, P., Schindler, M., Leibovitch, E., Ohayon, J., Wu, T., & Meani, A. (2016). Persistent 7-tesla phase rim predicts poor outcome in new multiple sclerosis patient lesions. The Journal of clinical investigation 126, no. 7, 2597-2609. Tesla. (2020). About. Retrieved from tesla.com: https://www.tesla.com/ Tufail, H., Kristiansen, J., Rana, M., & Ritala, P. (2020). Revisiting the role of modular innovation in technological radicalness and architectural change of products: The case of tesla X and Roomba. Technovation.
Project Deliverable 5: Capstone Final Project and Presentation Due Week 10 and worth 180 points This assignment consists of two (2) sections: a final capstone project plan and a closing process Powe
Running head: THE ORGANIZATION’S RESPONSE TO CHANGE 0 The Organization’s Response to Change Current Stage of the Automotive Industry Since its establishment in the 1990s, the automotive industry has played a significant role in providing essential services within the transport sector. Throughout the years, the sector has depicted various transformations in its production, organizational structure, and planning. With such projections, it’s wise enough to ascertain that the industry is indeed growing and maturing at a tremendous speed. As per the industry lifecycle model: introduction, growth, maturity, and decline set the phases of any production in the market. Depending on the right measures, firms may either expand their markets or drop sales, leading to the firm’s closure. Over the years, the United States had dominated the industry until Japan and China took over recently. For the past decades, automotive firms have been providing clients with high-end vehicles that fully meet their demands. It’s, therefore, undoubtedly that the docket is beyond the introduction phase. In the introduction phase, firms would assemble military vehicles that would later be used during World War II. Companies such as Packard, Nash, Willys, and Studebaker dominated the market. However, as technological advancements evolved, upcoming firms with the likes of General Motors, Chrysler and Ford shaped the industry. The twenty-first century paved the way for the launch of modern electric vehicles. A vast number of individuals were uncertain of the future of the E.V.’s in the market. However, Tesla Inc. re-shaped the industry and has since become the leading manufacturer of E.V.’s across the domain (Bruijl, 2017). Consumers across various continents have indeed embraced the firm’s multiple efforts contributing to the broad market Tesla Inc. One notable aspect that has played a significant role in the automotive industry’s growth is incorporating updated specialized software in its production. The tremendous progress within Tesla Motors has been denoted since the first electric car was launched in 2003. Critical stakeholders in the docket are on toes to ensure that present techniques have been incorporated during the manufacturing of E.V.’s. It thus becomes somewhat easy for consumers to enjoy a wide range of environmentally-friendly vehicles. The outstanding team that oversees both the firm’s management and production is yet another aspect that fortifies Tesla’s maturity (Stringham, Miller, J. K & Clark, 2015). With the ideal brand and innovative culture created by Tesla Inc., chances of the firm to exploit more avenues are relatively high. Tesla Inc.’s C.E.O. has taken a personal initiative to market the firm, thus creating awareness in other regions. Unlike other automotive firms that limit their marketing and sales in Asia and Europe regions, Tesla seems to be determined to reach a large market. The zeal present in the firm will surely give its competitors a cumbersome time in the industry. Porter’s National Diamond Theory Porter’s National Diamond theory is often applied to evaluate the significant pros and cons of using vertical integration against outsourcing. Under the idea, it’s denoted that an organization’s competitive advantage relative to a nation depends on certain factors highlighted in Porter’s National Diamond model (Ceil, 2019). The model’s common aspects range from government intervention, domestic demand conditions, organizational structure, factor condition, strategy, prevailing competition, and supporting industries present. It’s easy to determine potential advantages and disadvantages in the Tesla Company with such aspects. Vertical Integration vs. Outsourcing Advantages and Disadvantages of Vertical Integration Despite enjoying a large market overseas, Tesla Inc. tends to focus more on first-world nations. Individuals in developed countries tend to provide a high purchasing power parity, thus eliciting the demand for E.V.’s manufactured by Tesla Inc. The United States of America stands out as Tesla’s leading market. Additionally, developed countries tend to enjoy state of the art infrastructures, especially in the transport sector hence increasing the demand for assembled electric cars from Tesla. Besides, government officials in developed countries agitate for vehicles that are in line with their fundamental goal of curbing environmental pollution. However, high labor costs pose a critical disadvantage of vertical integration. Unlike developing regions such as India and China that provide cheap labor, the U.S. is well known for the relatively high labor costs that increase production costs. Thus, Tesla Inc. ends up investing too much on work to the extent that they may fail to realize the targeted profits at the end of the day (Pinopoulos, 2019). Over the last years, the U.S. government has approved various bills that have increased the minimum hourly wages tampering with the expected gross margins. Nevertheless, vertical integration may inhibit Tesla Inc. from recalling focus on key business activities. Advantages and Disadvantages of Outsourcing Outsourcing entails the process of fishing out specialists overseas to provide the required services in a different firm. Venture capitalists have begun considering outsourcing as their primary tool for production. With several investors citing that outsourcing makes work much more comfortable and faster for them, it’s not clear whether outsourcing as a tool is indeed profitable. Investors should, therefore, consider all factors before deploying outsourcing as their primary production tool. Tesla Inc. may increase its overall production performance through outsourcing since professionals within automotive industries from other regions may provide unique assembling methodologies. By combining such skills, Tesla will thus be able to conduct its assembling processes faster and more efficient. Cost reduction is yet another advantage associated with outsourcing. Unlike the permanent employees hired in Tesla Inc., outsourced workers are usually employed on a short-term basis. Regardless of the various merits that Tesla may reap from outsourcing, loss of control stands out as the major con that may hit the firm. It’s apparent that once outsourced specialists are recruited, the possibilities of them coming up with new techniques are relatively high. Such new techniques may prompt Tesla Company to lose control of how activities are being performed and monitored. Data breach positions as yet another blow Tesla Inc. is likely to face. With stiff competition in the automotive industries, firms are likely to pay dearly to expatriates to access rivals data (Minerva, 2017). Once such a breach is conducted, Tesla’s production may be jeopardized as rivals can access their plans. Tesla Inc. Strategic Positioning The Boston Consulting Group Matrix tends to evaluate the various organization’s strategic positions in their distinct market sectors. In most instances, the B.C.G. growth matrix provides a relative analysis amidst different products or service lines of a corporation hence evaluating each market status (David & David, 2017). Under the matrix, four quadrants, namely: Stars, Cash Cows, Dogs, and Question Marks. The Stars quadrant denotes the products that enjoy a large market share, thus generating the most cash. On the other hand, the Cows quadrant signifies product lines with high market shares but low growth prospects. Dogs and Question Marks act as the other quadrants; the Dogs quadrant is sometimes described as cash traps in that no returns are currently being produced, but future investments are promising. In the case of question marks, products under this segment tend to consume a vast number of investments without necessarily creating any returns. Over the years, Tesla Inc. has undergone numerous diversifications with the recent opening of markets in Japan, Poland, Germany, Hong Kong, Canada, and Turkey, providing additional returns. With respect to B.C.G., Tesla Inc. strategic position is as follows; Stars: Most of Tesla’s E.V.’s have a ready market in developed countries experiencing fast growth in the industry. In accordance with the B.C.G. model, Tesla EV’s in this quadrant can be termed as stars as they will easily fetch a market in first-world nations. Cash Cows: Tesla Inc. electric vehicles have not been fully embraced in slowly growing industries. For instance, assembles luxury cars may not go well with African and Indian consumers, considering the infrastructure level. Dogs (Mixture): Tesla Inc. assembled E.V.’s low market share in a slow-growing industry. However, these products are essential to support other categories of the company’s business. Question Marks (Unknown): E.V.’s and luxury cars of the company have a low market share in a fast-growing industry. Demand for luxury vehicles is on a consistent rise in the United States. Therefore, reasonable expectations can be associated with this product line of the company. Implementing the Strategic Change There is a need for Tesla Inc. to capitalize on the multiple market gaps present in the industry. Besides the manufacturing of luxury cars and E.V.’s, the firm’s innovation techniques should focus on the sector’s existing loopholes. All stakeholders need to carry out their SWOT analysis to depict potential areas the firm may maximize on. However, the company must undergo some management changes to facilitate the smooth implementation of the strategies. Changes in decision-making style Tesla needs to make modifications within its decision making. Adopting a collaborative decision-making approach would ensure that all stakeholder’s views are represented during decision-making processes. Work-personnel needs to be prioritized during decision making to create accord in the desired changes and how they will be beneficial to them by sharing their workload. Active communication through the change progression will aid in building robust ties with workers. Collective decision-making will allow the organization to efficiently implement the concept of change by alleviating any probable resistance (Politi & Street, 2016). Changes in planning structure Tesla, Inc. needs to deploy various changes within its planning structure. Currently, the corporation is based on a functional structure. To attain a higher innovation rate, Tesla Inc. ought to embrace a decentralized organizational structure. The firm should simultaneously focus on providing the right middle manager’s platforms to enjoy sovereignty and create equality in all organizational departments. It’s easier for the firm’s plans to be analyzed by all stakeholders, thus creating a consensus with such a direction. Indicators of success The performance of the endorsed strategy could be measured through quantitative indicators of performance. One notable measure entails the growth of returns over a specific period. Through the sales revenue, it becomes somewhat easy to designate the upsurge in visitor-base. Similarly, Tesla Inc. ought to create a twenty-four-hour based feedback system that allows customers to air out their suggestions regarding the firm’s innovation. References Bruijl, G. (2017). Tesla Motors, Inc.: Driving Digital Transformation and the Digital Ecosystem. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3053142 Ceil, C. (2019). Michael Porter’s Theory About Value Chain and Knowledge Management. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3521075 David, F. R., & David, F. R. (2017). Strategic management: Concepts and cases; a competitive advantage approach. Gupta, M. (2019). Recent Trends in the Automotive Industry. International Journal For Research In Applied Science And Engineering Technology, 7(4), 1027-1031. https://doi.org/10.22214/ijraset.2019.4185 Minerva, G. (2017). Integration versus Outsourcing with Vertical Linkages. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2980869 Pinopoulos, I. (2019). On the welfare effects of vertical integration: Opportunism vs. double marginalization. Economics Letters, 174, 169-172. https://doi.org/10.1016/j.econlet.2018.11.023 Politi, M., & Street, R. (2016). The importance of communication in collaborative decision making: facilitating shared mind and the management of uncertainty. Journal Of Evaluation In Clinical Practice, 17(4), 579-584. https://doi.org/10.1111/j.1365-2753.2010.01549.x Stringham, E. P., Miller, J. K., & Clark, J. (2015). Overcoming Barriers to Entry in an Established Industry: Tesla Motors. California Management Review, 57(4), 85-103. doi:10.1525/cmr.2015.57.4.85