Tesla's Secret Formula

Model X - teslamotors.com

Model X – teslamotors.com

 

A long and interesting read at Forbes on Tesla’s approach on building a car. Coming not as the classic ‘disruptor’ gaining traction only as an alternative slightly inferior product for the price-conscious customer (e.g.what Skype was compared to classic long-distance phone calls in the beginning), Tesla positions itself as ‘high-end disruptor’.

 

High-end disruptors produce innovations that are leapfrog in nature, making them difficult to imitate rapidly. They outperform existing products on critical attributes on their debut; they sell for a premium price rather than a discount; and they target incumbents’ most profitable customers, going after the most discriminating and least price-sensitive buyers before spreading to the mainstream.
Forbes – Decoding Tesla’s Secret Formula

 

While still losing money, Tesla is constantly refining its processes and products, learning from other industries than automotive. Customer experience – similar as Apple’s approach -is everything, even if it means to have to spend more money than necessary.

 

Learning in an environment of uncertainty requires a willingness to admit mistakes and move quickly rather than digging in and doing nothing for fear of admitting failure. In fact, obsessively attempting to avoid failure can lead to the greater failure of missing the big opportunity.
Forbes – Decoding Tesla’s Secret Formula

 

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