Eviscerating the cash cows

[bwilson4web]

The Tesla strategy is pretty clear:

• Roadster I - technology demonstrator
• Model S - take market share in highly profitable luxury sedan market
• Model X - take market share in highly profitable, 7 seat, top scale SUV market
• Model 3 - take market share in highly profitable, mid-scale sedan market
• Cybertruck - take market share in highly profitable (thanks Chicken Tax) pickup market
• Model Y - take market share in highly profitable, mid-scale SUV market

Tesla only has to look at the most profitable markets and design EVs for that segment. Beat the rest in performance and as their manufacturing skills improve, so too, their margins.

Bob Wilson

 

[gooki]

And for the low priced sector Tesla targets autonomous transportation as a service. So no need to sell low margin vehicles.

 

[101101]

Energy and roof top solar are even better but completely complementary! I hope they don't ignore reworking traditional rail and drone transport.