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Political Factors Facing Tesla

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Organisation Overview
Tesla Motors is an American company, founded in 2003 in Silicon Valley by a group of engineers, who had a vision to create fantastic electric vehicles.

Tesla Motors is headquartered in Pano Alto, California. It has 125 service locations and stores worldwide, 6000+ employees and has cars on the road in 37 countries. The co-founder and CEO of Tesla Motors is Elon Musk. Musk is well known as the founder or co-founder of several other companies that originated before Tesla Motors – Zip 2, Paypal and Space X.

Tesla Motors was named after the inventor, electrical engineer, and scientist Nikola Tesla. Tesla Motors state that without Nikola Tesla’s vision and work, namely the invention of the induction motor and alternating-current power transmission, Tesla motor’s cars would not be a possibility.
Tesla Motors launched production of their first car, the Tesla Roadster, in March 2008. 200 cars had been sold prior to …show more content…

One of the main political factors facing Tesla in the US are the incentives offered by different states and cities to Tesla owners. They must co-ordinate with these policy makers and inform the consumer. In China, the key political factor is that “the Chinese government wants to put around 5 million electric or plug-in hybrid vehicles on its roads by 2020, but to date reports have confirmed that there are a mere 70,000 electric vehicles plying on China’s roads. In order to promote EV sales, the government has set a target that 30% of government vehicles purchased by 2016 should be EVs. To reach the target set for 2020, the Chinese government is ready to fund nearly $16 billion to build electric charging stations. To further promote EVs among Chinese car buyers, the government is looking to impose a new tax on gasoline engines and has renewed the private-buyer subsidies for electric-powered vehicles for another three years.” (GuruFocus. 2014.

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