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I can't help but feel that price is an inevitable factor here. Tesla Model S and Model X are expensive! Now that the novelty is wearing off and more EVs are hit
by neilalexander 9y ago
I can't help but feel that price is an inevitable factor here. Tesla Model S and Model X are expensive! Now that the novelty is wearing off and more EVs are hitting the road from other manufacturers, it strikes me that they just won't remain competitive models.
I expect the Model 3 to go some way towards helping this by being much more affordable, but with delayed production on those and an interior design that won't suit everyone, I'm yet to be convinced.
- mmanfrin 9y agoI disagree completely. Tesla has 400k people who put down a grand to 'reserve a spot in line' for a Model 3. The issue is production. Tesla fired off hundreds of workers a month ago, right as they were ramping up Model 3 production. Elon seems an awesome person in terms of what he's doing at a macro level, but he sounds like a horrendous person to work for.
- neilalexander 9y agoLike I said, the Model 3 will go some way to help that by being more affordable, and 400,000 people reserving a Model 3 does not make the Model S or the Model X any less expensive or any more competitive. Of course, the profit margin on the Model 3 stands to be substantially less, too.
- thedrbrian 9y agoHow many of that 400,000 are speculators trying to make a quick buck? Can go wrong for them, see the number of delivery mileage Focus RSs that are selling second hand for less than Ford want for a new one.
- ac29 9y agoIf they can achieve the production goal of 5000/week (an order of magnitude more than they are currently at), it will take nearly 2 years to just fulfill pre-orders. I have to believe a lot of people will be cancelling their pre-orders, and Tesla wont be getting many new pre-orders until production has caught up with demand.
- hwillis 9y ago"reallocating resources" is not the same as "unable to sell cars". Tesla is still selling every car they make with zero problems.
- cjhopman 9y agoCompanies don't usually drop prices when they have zero problems selling.
- hwillis 9y agoTo what exactly are you referring? Because right now they're reducing production, not prices.
- prostoalex 9y agoTesla has been meticulous about leading on $ / mile of range metric, i.e. https://i.redd.it/grefifdkjmcz.png https://i.redd.it/grefifdkjmcz.png The price drops are usually correlated with a competitor offering a comparable deal.