Phoenix BUS 475 Project Plan Worksheet

Shawn Cyr

BUS 475

31 March 2020

Mr. Simpson

The opportunity which Tesla needs to exploit is to go into expand its market into the developing countries. The reason for choosing this opportunity is that Tesla today operates in a small market. The company has the majority of its revenues from the United States with a small percentage from China. The contribution from the developing world is limited. The presence in these countries limits the growth of the company and the economic development of the developing world. The company is not able to expand into the developing world also because of its limited supply chain. There are countries around the world such as India which are experiencing economic growth but tesla has a limited presence there (Thomas & Maine, 2019). It is important to have an emphasis on the operations of the company around the world so that it can compete with other established firms such as General Motors. The company can go further into the global market through purchase of other competitors which already have a footprint in the developing world. Through a wider market reach, the company will be able to expand its revenues and have a wide footprint around the world. The renewable energy wave is everywhere around the world today but tesla has limited itself to the US market. There are chances to exploit in renewable energy around the world today.

The opportunity to expand will bring more revenue to the company as a result of the increased market. At the same time, there are projections around the world that the battery electric vehicle industry is to experience the explosive growth. Tesla is already a well-known brand around the world but its products are yet to reach the developing world. Tesla is positioned to capitalise its brand strength to get more expansion and growth (Gilson & Abbot, 2017). Tesla can go further into the expansion to become a global icon as the world becomes electric.

Timelines and Responsibilities

The objectives that have been set are to establish the supply chain in every continued around the world, set up global marketing campaigns, and expand the charging facilities around the world. These objectives are important for the company to exploit its vision of expanding further outside the United States and China. The supply chain will make sure the consumers can get the products as and when they need them as opposed to waiting for supplies from overseas (Thomas & Maine, 2019). The second objective is to expand with marketing campaigns that are global. Manufacturers such as Toyota run global marketing campaigns and it is important for Tesla to do so as it seeks to expand its market share. The third objective is to make sure that the charging infrastructure is available to its new consumers. It is important for infrastructure to be there around the world as more consumers embrace the use of the electric cars. They should be ready so that consumers are convinced that it is possible to own an electric car especially in the developing world.

Metrics

The first objective that is there is to establish a supply chain in every continent around the world. This objective is to make sure that consumers can access their products when they need them. It is important to make sure that the supply chain is as strong as the one already in the United States. The first metric for evaluation of this objective is by looking at the global distribution of the supply stores and warehouses. The metric is appropriate to show if there is progress in setting up shop in every continent in the world. The second metric to measure this objective is to measure the amount of time it takes to delivery the product to consumers in various parts of the world. This metric is important as it will tell whether the supply is strong enough and properly established.

The second objective is to set up global marketing campaigns for the products sold by Tesla. The first metric that can be used is conducting surveys around the world to understand the brand awareness. This metric is important as it will show if the consumers are aware of Tesla and the products and services which it offers. The second metric to measure achievement of global marketing campaigns is the amount of orders that are coming in. The sales and enquiries and their distribution around the world will tell if the message is reaching the people.

The third objective is to establish charging infrastructure around the world. It is important to have the appropriate charging systems around the world so that consumers can believe that they can survive using the electric cars. The first metric that can be used to measure is the number of charging ports that it has either as a company or through third parties. The number of charging stations is an appropriate metric as it shows if they are enough to meet the consumer demand. The second metric that can be used is the increase of sales in areas where the charging stations are set up. The presence of the charging stations should be an encouragement for the consumers to invest in an electric car.

References

Thomas, V. J., & Maine, E. (2019). Market entry strategies for electric vehicle start-ups in the automotive industry–Lessons from Tesla Motors. Journal of Cleaner Production, 235, 653-663.

Gilson, S. C., & Abbott, S. L. (2017). Tesla: Financing Growth.