Expanding the Market of Tesla in China - Free Essay

According to New Poles, the Chinese market is expansive concerning its population and consuming power (McMichael, 2020). Expanding the Tesla market to China will encounter both threats and opportunities that will determine the implementation of the best business strategy. The Chinese are embracing new technology both in the mainland and other parts of China. There is a diversity of culture and governance, providing Tesla an opportunity to penetrate the market. Before the advent of the coronavirus, China was the best economically in the world, with massive exports and imports of different goods (Irwin, 2020). Given this knowledge, it would be financially viable for Tesla to introduce its electric cars in the Chinese market. However, the legalities of operating in the Chinese market are complicated, and it can be difficult to get the necessary documents to commence operation.

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Order now

The political temperature in china is heated. There has been turmoil between Beijing and mainland china due to an introduction of a security bill that outlaws disrespect for the chines flag (Chang, 2020). It has heightened tensions, and the political temperature might affect the expansion of Tesla in the chines market. The uptake of technology in china is among the highest in the world, and innovativeness is critical. Many people are embracing new technology, and expanding in the chines market would be easy for Tesla. Given the stakes of global warming and the effects, a pronounced in china compared to most countries in the world, convincing people on the benefits of electric cars is easy.

People who inhabit cities in china provide a strategic advantage where powering electric cars is not difficult. Most people in China are conscious of the environment, and eco-friendly houses are sprouting in the cities (Moyo, 2018). An electric car will identify well with an individual who is pro-environmental protection. Even though the economy of china was on the rise before the coronavirus pandemic, a vast majority were not seeing the benefits of the improved economy. The price of the vehicles will have to align with the current financial situation. A considerable majority of the market earn modest wages and strive to spend wisely. Tesla will have to come up with a package that better suits their needs as consumers.

Tesla cars come standard with a feature that can enable auto piloting. It provides an excellent and ambient environment for a consumer to do other activities while the car self-drives. A majority of people need flexibility and ease of work, which is what Tesla offers consumers through its self-driving feature. The target population is considered the age of thirty and beyond. The age group has individuals enthusiastic about technology, and most have invented some of their own. Tesla's uptake would be high in this age group compared to those lower than thirty years. The population of Chinese cities is high, and it would be demographically sensible to expand the market into the towns (Chernev, 2018). The towns have people with diverse lifestyles and ideologies, making it suitable to capture the attention of consumers whose preferences are electric cars.

Positioning statement

To electric car enthusiasts, Tesla is an electric car manufacturing company that offers electric vehicles. Unlike other electric vehicles, a Tesla electric car comes with software that can provide self-driving capabilities.

References

Chang, D. C. (2020). The Hijacked War: The Story of Chinese POWs in the Korean War. Stanford University Press.

Chernev, A. (2018). Strategic marketing management. Cerebellum Press.

Irwin, D. A. (2020). Free trade under fire. Princeton University Press.

McMichael, P. (2020). Does China's 'going out' strategy prefigure a new food regime?. The Journal of Peasant Studies, 47(1), 116-154.

Moyo, N. (2018). Environmental Concern and Purchase Intention of Electric Vehicles in the Eastern part of China. Archives of Business Research, 6(8).