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Tesla has premium/luxury pricing and the clout. I'm not sure if your "average Joe" brand of car can make EVs work in their current state. There's a limit how mu
by margorczynski 4y ago
Tesla has premium/luxury pricing and the clout. I'm not sure if your "average Joe" brand of car can make EVs work in their current state. There's a limit how much someone will pay for a Toyota or a Ford, less so for a Tesla or BMW.
- ChuckNorris89 4y agoAlso Tesla customers will tolerate the bobby-car build quality that enables Tesla to have great margins. Toyota and others actually bother with QA which eats some of their margins.
- panick21_ 4y agoThe idea that Tesla has high margin because their final assembly is not as perfect as BMW is complete nonsense. They have high margin because of advanced manufacturing, vertical integration, cheap battery supply and so on. Also, the evidence for Tesla having much worse quality (the reports) shows that they are only marginally worse then everybody else. Nowwhere near far enough to make a 30% margin difference.