BY PHUONG ANH - Tesla faces a leadership and brand crisis, with Elon Musk disengaged as sales slump, investor confidence drops, and the company struggles to manage mounting public backlash.
Tesla’s once-innovative edge is slipping as competitors like BYD, Ford, and Rivian introduce fresher models and improved user experiences. The focus on Cybertruck—a niche product—neglects mainstream buyers seeking affordability and reliability. Existing models like the Model S and 3 have seen few meaningful updates, creating room for rivals to gain market share. The overpromise of full self-driving, without regulatory approval or delivery, further erodes trust. Tesla also lags in adapting to regional market needs and enhancing customer service. To remain competitive, it must invest in diversified, updated product lines, lower-cost EVs, and customer-centric improvements across global markets.
Tesla’s board must adopt a more active role. Key actions include appointing an operational co-CEO or president to manage daily operations when Musk is distracted. Establishing clear CEO performance KPIs tied to sales, innovation, and customer satisfaction would provide measurable accountability. A structured crisis communication protocol should be enforced to maintain transparency with stakeholders. A succession plan must be outlined publicly to reassure investors. Additionally, an external advisory council could offer strategic input and provide checks on leadership decisions, ensuring Tesla remains aligned with its mission regardless of Musk’s personal distractions or political leanings.
Why is it risky for a company to tie its entire brand identity too closely to one individual, no matter how visionary they are?
#"What is Tesla doing today that will keep it relevant and leading five years from now?"
Given the intense EV price wars, is prioritizing rapid product releases over profitability necessarily the wisest long-term strategy for Tesla?
QUESTION 3
Tesla’s once-innovative edge is slipping as competitors like BYD, Ford, and Rivian introduce fresher models and improved user experiences. The focus on Cybertruck—a niche product—neglects mainstream buyers seeking affordability and reliability. Existing models like the Model S and 3 have seen few meaningful updates, creating room for rivals to gain market share. The overpromise of full self-driving, without regulatory approval or delivery, further erodes trust. Tesla also lags in adapting to regional market needs and enhancing customer service. To remain competitive, it must invest in diversified, updated product lines, lower-cost EVs, and customer-centric improvements across global markets.
QUESTION 2
Tesla’s board must adopt a more active role. Key actions include appointing an operational co-CEO or president to manage daily operations when Musk is distracted. Establishing clear CEO performance KPIs tied to sales, innovation, and customer satisfaction would provide measurable accountability. A structured crisis communication protocol should be enforced to maintain transparency with stakeholders. A succession plan must be outlined publicly to reassure investors. Additionally, an external advisory council could offer strategic input and provide checks on leadership decisions, ensuring Tesla remains aligned with its mission regardless of Musk’s personal distractions or political leanings.