Disruptive Impact of Tesla on the Automotive Industry

Founded in 2003, Tesla disrupted the automotive industry by offering a product that altered the established experience of purchasing and owning a vehicle.
The company’s showrooms were located in shopping malls, and it sold directly to consumers, eschewing the traditional dealership model. Tesla’s experience is similar to buying an Apple product, with sleekly designed stores guided by knowledgeable salespeople. Consumers could also purchase their cars online, a concept unheard of in the automotive sector at the time.

Tesla’s success has inspired several entrepreneurs to try their luck in becoming the next major EV manufacturer. Many have tried and failed, but those that have weathered the early days’ storms, mainly through financial backing and sound managerial decisions, have succeeded. However, Tesla still leads the pack in terms of market share.

Asian companies like BYD, Nio, and Xpeng are targeting the mass market by offering their models at affordable prices. In contrast, traditionally high-end brands like Mercedes-Benz are positioning themselves between mass and niche markets, charging a premium for quality and design. Lucid, on the other hand, has capitalized on gaps by positioning itself in the premium niche market.

Source: Market in Focus: Battery Electric Vehicles (BEV) in the Kingdom | SIDF

Source: Market in Focus: Battery Electric Vehicles (BEV) in the Kingdom | SIDF
Related news

India aims to propel the EV market in 2024, according to Canalys

In a transformative period ahead for India's automotive sector, particularly in electric vehicle (EV) adoption, the…

read more
Electric Vehicles
Asia
Published by: Editorial board | April 4, 2024

European course for electric trucking with mega charging network

The Fraunhofer Institute for Systems and Innovation Research ISI unveiled a new report marking a significant…

read more
EV Charging
Europe
Published by: Editorial board | April 3, 2024

Surge in global energy storage sales as china dominates LiB market

In a significant development in the global energy storage system (ESS) landscape, recent data from SNE…

read more
Batteries
Global
Published by: Editorial board | April 2, 2024

U.S. Sees surge in EV investments following inflation reduction act

The United States has witnessed a substantial influx of investment in the electric vehicle (EV) sector,…

read more
Electric Vehicles
Americas
Published by: Editorial board | April 1, 2024