Question

On the topic of business strategy .Critically analyse and provide specific recommendations to the board of directors of Tesla, Inc. on how it can achieve above-average profits in the long run ,strategically using value chain analysis .Specific recommendations is very important in this case to prove your point and push forth your agenda so they can improve on the value chain.

Answer 1

Tesla being one of the largest brand name in E-vehicle manufacturing is very effectively maintaining its supply chain. But, it is urgently required to analyse its whole value chain to be more competitive. Activities like Inbound Logistics and strong operations management through standardized models and effective inventory systems to promote internal and external supplies and sales. Marketing and Sales activities like of effective pricing, communication, promotion, etc. make the overall value chain effective. Thus, Tesla for better service should look for better delivery of marketing services.

Long term strategic planning, involves strong value chain analysis, thus it is highly recommended to Tesla to look after its Infrastructure like Management, Finance, Legal and Planning part to develop more strategic plans. Human resource management is very important to take care of and pans should be considered which involves regular employee performance analysis and training of employees. As this industry is mostly technology driven, employees need regular basis training on technology upgradation and improved skills. Technology Development is also very important for company like Tesla which runs on highly integrated supply chain. Inventory Management like management of real time inventory, good communication with suppliers, etc. need special attention through long term plans on how to effectively grow good relations with the suppliers of material.