Tesla motors has been able to achieve significant success in its mission of transforming the
automotive landscape by shifting the focus to sustainable transport. The environmental
factors as analyzed from PEST analysis are largely favorable and the industry forces despite
being competitive and challenging are not likely to have any significant adverse impact on
strong competitive advantage that Tesla motors enjoys. The business on account of distinct
core competencies has been able to achieve a dominant position in electric vehicle segment
and enjoys strong regulatory and financial support from government. The business has a
strong vertically integrated supply chain and has been able to incorporate innovative
approach to product development. The diversification strategy of the business has been in
accordance with the core competencies and despite challenges like product delays, liquidity
crunch it has been able to dominate the industry.
