Sunday, September 29, 2013

Ch. 4 - The Marketing Environment

It comes as no surprise to anyone that the rate of change of the market and its products and services as a function of the changing of its environment has grown exponentially over the last two decades. It used to be that a company's successes and follies took their time to be known as words traveled slowly from ear to ear, almost at Darwinian pace, and reputation slowly formed. Nowadays however, with the entwining of technology and social media into everyday life it only takes one disgruntled customer to inform thousands of people of the terrible service he just received within 60 seconds of having experienced it. The world is ever changing- economy, legislation, social trends, and even international politics all affect the conduct of business, and those who can't adapt will be eaten by the bear, while those who are paying attention get to survive another day.

Just like most companies do, the smart ones in any case, Tesla uses the same platforms that most people choose to use as mediums of complaining to keep customers, potential employees and society at large up to speed with everything they are doing to make them not want to complain. One of the most common sources of streamlined bits of information fed to the masses is Twitter. Telsa uses twitter to inform of upcoming sales promotion events, publish achievements and benchmarks, and even invite people to apply for various positions:

That second tweet is evidence of Tesla's future plans to keep up with the advancement of technological factors in the external market environment. In this particular instance, it seems they are trying to out do Google's own driver-less car- an up-and-coming technology that may one day eliminate human error and slow reaction time on the road. While Tesla is a world leader in their category of vehicles, they understand that there is more to a car than just it's source of power, and invest in developing and innovating every aspect of what makes a car do what it does, and do it better.

Google's Driverless Prototype
In their efforts to conquer external factors that may hinder their progress, Tesla has had, and still has, many battles (some successful others not) against archaic legislation protecting franchised auto dealers from being overpowered by they manufacturers they do business with. It all started in the turn of the previous century when mass production of automobiles was perfected by Ford, it seemed easier for car producers to let someone else worry about the distribution. Franchised dealers began popping up, protected by contract clauses preventing their respective producers from selling within their territory. After decades of lobbying these clauses began taking form in the word of law, and have not been challenged in ages, until Tesla began rocking the boat insisting that there is no reason for them to use dealers, when they could distribute their product themselves and pass the savings onto their clients. Despite the uphill efforts on this front, Tesla is committed to innovating not just the cars we buy, but how we buy them.



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