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Yes and other car manufacturers capital is tied to a return on manufacturing lines of petrol and diesel vehicles so if BMW were to release 7e tomorrow what woul
by meekstro 7y ago
Yes and other car manufacturers capital is tied to a return on manufacturing lines of petrol and diesel vehicles so if BMW were to release 7e tomorrow what would happen to the 7 sales.
This is while Telsa is building out a charging network and fighting for a direct to consumer sales model and also possessing a knowledge base of every fault that's ever occurred in it's entire fleet and every Tesla Sale increases the return on Tesla's deployed capital plus a highly dedicated creative resilient workforce that are at the point of smoothing variability and product refinement.
So for BMW to win they have to bet the factory that they will take enough market share while Tesla's quality and brand strengthen. Hence the current share valuation.
Now a lot of people say Elon is a manipulative exaggerator but the fact remains he has built car sensor database company with a carbon advantage that has BMW on the ropes while reigniting a space race. If machine learning can sort the data and it seems to be improving year on year then alot of people who haven't built nearly as much will probably be taking a Tesla to work.
Why do people want Tesla to fail. Economies of scale, improving battery technology and a global charging network and everyone eventually has a cheaper travel option. How revered the founder was is a quite irrelevant.