Chapter. 4 The marketing Environment

Tesla Motors manufacturing headquarters is located in Palo Alto California. Governor Schwarzenegger supports a manufacturing future for Tesla cars in California. The Governor expresses his feelings about the company by saying,  “Today’s announcement is incredible news for California’s economy and its environment. If California was a baseball team this would be like winning the first round draft pick and recruiting a player who is a perfect fit on our roster because Tesla Motors and its all-electric cars belong in California,”. the state has given Tesla a $10 million. grant and is also eligible for $1 million in Employment Training Panel Workforce Development Funds to train employees. The state is clearly big on green marketing and improving the environment. According to Examiner.com The company Tesla Motors is marketing Model S to upper middle class green-friendly 'Baby Boomer' generation. Tesla has internal strengths like having the 1st fully electric sports car, they have the ability to manufacture vehicles in house, and they have Strong technological expertise in the area of electric transmissions & drive train. their main weaknesses are their ability to produce enough money to achieve production goals, and their prices compared to competitors who used gas driven cars. Tesla has the support of the governments across the globe in the sense of going green to help the environment. Tesla motors is competing against very wealthy and politically powerful auto dealers. Forty-eight states forbid Tesla to sell cars directly to consumers. The company charges a single flat price for its cars, but couldn’t if middlemen got involved. independent automobile dealers are fighting furiously to keep Tesla out of their backyards.  “Tesla believes it should be allowed to sell cars without licensed dealers. This can’t be,” wrote Gerard Murphy in The Washington Post. Murphy is president of the Washington Area New Auto Dealers Association. “If Tesla won’t have a dealer network, it doesn’t belong in the automobile business.” Tesla motors is also competing with a technology that has been used for hundreds of years and it may take a long time to switch peoples tradition unless it becomes illegal to drive gas powered cars. the concept and technology for the electric car has been around for a large number of years and the mainstream electric car is still far from a reality.

 according to Prof. Evens if we ran out of gas today the they have enough money to have a charging station everywhere that there is a gas station!.

Ze’ev Drori, President and CEO of Tesla Motors, remarked, “Tesla has achieved an extraordinary accomplishment. We are the only automobile company today delivering full performance battery-electric vehicles to our customers. Make no mistake - we are not a niche player with a car only for the rich and famous. As our agreement with the state so clearly demonstrates, we are building a high volume ZERO EMISSION VEHICLE, manufactured in California for mid-range family use. And we aren’t going to stop there. We will continue on and build even more affordable cars. You are witnessing the debut of a new car company, a company unlike all others, a company with a disruptive technology, a company dedicated for the exclusive production of Zero Emission Vehicles.”