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Why were they able to meet a run rate or 500k cars a year in Q4 of last year and not sustain it if their factory was maxed out? And why would they claim in proj
by xkjkls 7y ago
Why were they able to meet a run rate or 500k cars a year in Q4 of last year and not sustain it if their factory was maxed out? And why would they claim in projections that their factory was capable of producing that if they didn’t meet that?
Companies are rarely production constrained. Many claim they are, but the fact that Tesla sales in their two largest markets declined doesn’t indicate to me that production is their number one issue.
- woodandsteel 7y agoAt 500k per year they were still nowhere near meeting global demand, and they decided to move sales away from markets they were already well-established in, and into new ones. The nice thing about this disagreement we are having is it will be settled by what happens in the next year. I say Tesla's sales will go up strongly now that it has another factory. I take it you think they won't, and all that new capacity will go unsold.
- xeromal 7y agoYou're spot on with everything. I think the biggest hitch this year will be China. That is such a huge market
- xkjkls 7y agoAgain they produced 367k, not 500k, like they claimed they could. If they could produce 500k, why claim they could, and why didn’t they? And I would say Tesla’s revenue growth will start to flatline, yes, as the last two quarters have shown.
- woodandsteel 7y agoTheir production capacity increased in every quarter. By the end of the year it was at a 500k per year rate. And it is continuing to go up rapidly, now that it has a new factory.
- xkjkls 7y agoDid it? They only produced a small number more than they did per quarter at the end of last year. Why do we think they are production constrained?