Positioning and Internal Implications about Tesla Motors

• Positioning and Internal Implications: Next, look at how the company is set up within this industry and operates to develop and sustain a competitive advantage. In this section the focus is the company, not the industry. Discuss each of the following topics in this section: o Of the two generic positioning strategies, explain which positioning strategy the company is trying to achieve. (Cost Leadership vs. Differentiation?) o Then assess the company’s Strengths, Weaknesses, Opportunities, and Threats using the SWOT Analysis tool. Be sure to explain why each item belongs where it does in the SWOT diagram (don’t just state it – explain it too). Draw on the industry analysis from Part 1 to devise external opportunities and threats. o Finally, now that you have a sense of how the firm positions itself, and its strengths and weaknesses – let’s focus on the external opportunities and threats. Drawing on what you know about how the company is right now (“assessing the current reality”), us the opportunities and threats you came up with to suggest a grand strategy for the company to take in the future. Choose 1 from the 2 major strategies (Cost Leadership vs. Differentiation?) discussed in the book and slides, and explain why this strategy is optimal for this company, given its current reality.

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