Paper

2

ANALYSIS

2

ANALYSIS

I) Tesla-SWOT Analysis

Strengths	Weaknesses
It has invested in a very strong brand equity	It incurs a lot of operational costs annually
by focusing on customer experience and quality.	materials and research.
This has started to bring about an increase in sales
Focus on Innovation and quality. It attains this by	The scope of its market is mostly limited to the
investing heavily on research and development	The United States.
It has an increasingly large network enhanced	Its products are quite expensive compared to
by its many stores in more than thirty countries.	those of competitors especially due to high
The stores help in minimizing their storage costs (Gürel & Tat, 2017).	operational costs and focus on quality.
It has been experiencing a notable growth in sales
in the recent past.
It has a lot of expertise in automotive engineering
which enables it to manufacture high-quality vehicles
for its customers.
Opportunities	Threats
Technological developments such as autonomous driving	There is intense competition in the industry which
has become popular. The company can, therefore,	has led to increased costs of operations and
incorporate these features into its products to increase	reduced margins for profitability (Phadermrod, Crowder, & Wills, 2019).
its sales and popularity.
The company has limited operations in Asia. It can take	Heavy regulation by governmental bodies has
advantage of the Asian markets such as India for not	resulted in high costs of compliance which
its products but also its other products (Gürel & Tat, 2017).	increases operating costs.
The need for sustainable energy and sustainable	The exchange rate for different currencies
products in the near future are likely to increase the	keeps changing which affects the company's
demand for the company's electric cars.	profitability.

II) Target Market

Our target market will be the high-end customers in the United States. This is because our products, mostly vehicles tend to be very expensive and costly. It is therefore only the high-income earners that will be able to afford them in the meantime as we work towards lowering our prices in the future. To find them, we will endeavor to establish more stores in the country to make it more convenient for them to reach us. The stores will also create pints of contact with potential customers.

i) If I were to use fliers, I would reach my target customers by availing them at the company stores to make them more available for any clients that come for a consultation at the stores. I would also ensure that our sales team carries some as they conduct personal and direct selling (Curtis & Allen, 2018).

ii) If I were to use a postcard to notify my target market on the opening of a high-end store, I would first analyze the characteristics of my target market to determine which channel of communication would be most effective.

iii) 1. The information on the median incomes of the city shows the level of income of the residents of the city. This is very crucial in determining where to sell our products since our target market consists of high-income individuals (Curtis & Allen, 2018).

2. I would send my flyers to neighborhoods such as the Bellaire city, Texas and Alamo Heights city, Texas which have a median household of at least 120,000 and 190,000 US Dollars respectively.

3. Below is a screenshot to show my selected cities and neighborhoods and the respective cities.

Map feature is not working properly for my Zip code, so I used charts

References

Gürel, E., & Tat, M. (2017). SWOT analysis: a theoretical review. Journal of International Social Research, 10(51).

Phadermrod, B., Crowder, R. M., & Wills, G. B. (2019). Importance-performance analysis-based SWOT analysis. International Journal of Information Management, 44, 194-203.

Curtis, K. R., & Allen, S. (2018). Target Market Identification and Data Collection Methods.

https://www.census.gov/quickfacts/fact/map/dallascitytexas,shelbycountytennessee,US/INC110218