Tesla Motors SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP

Published by MBA Skool Team, Last Updated: April 27, 2020

SWOT analysis of Tesla Motors analyses the brand/company with its strengths, weaknesses, opportunities & threats. In Tesla Motors SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Tesla Motors to benchmark its business & performance as compared to the competitors and industry. As of 2020, Tesla Motors is one of the leading brands in the automobiles sector.

The table below lists the SWOT (Strengths, Weaknesses, Opportunities, Threats), top Tesla Motors competitors and includes Tesla Motors target market, segmentation, positioning & Unique Selling Proposition (USP).

Tesla Motors SWOT Analysis, Competitors, Segmentation, Target Market, Positioning, USP & Brand Analysis Table
Tesla Motors Brand Analysis
Parent Company

Tesla Motors


Electric Vehicles



Tagline/ Slogan

Burn rubber not gasoline


Ability to build fully electrically powered vehicles in house

Tesla Motors STP
Tesla Motors Segmentation

People looking for electric premium sports/luxury cars

Tesla Motors Target Market

Rich and Affluent who are willing to spend more compared to other vehicles

Tesla Motors Positioning

Pure electric drive but still sporty & luxurious

Tesla Motors SWOT Analysis
Tesla Motors Strengths

Below are the Strengths in the SWOT Analysis of Tesla Motors:

1. They developed 1st fully electric sports car “The Roadster”
2. Also a strong supplier to other manufacturers like Toyota
3. Strong technological expertise in the area of electric transmissions & drive train
4. Ability to  develop vehicles completely in house including the sub-assemblies required

5. Their current platform developed for Model S has the ability to be used for their future crossover model or any other model they envision

Tesla Motors Weaknesses

Here are the weaknesses in the Tesla Motors SWOT Analysis:

1.Since they fully develop the vehicles including their sub-assemblies this leads to higher costs of production as economies of scale are not achieved
2.The prices of their products are higher than their competitors who sell combustion engine powered vehicles

Tesla Motors Opportunities

Following are the Opportunities in Tesla Motors SWOT Analysis:

1. The growing support by governments across the globe for environmentally friendly vehicles in form of exemptions from duties & other support
2.Supports the Mercedes’ Smart car, which can lead to learning which will help them with their passenger cars which they plan to launch in near future
3.Improvements in the quality control processes can reduce these costs drastically

Tesla Motors Threats

The threats in the SWOT Analysis of Tesla Motors are as mentioned:

1.Tesla wants to be able to produce, distribute & sell its cars to average which seems difficult to achieve due to their current business model
2. Their strategy for pricing (skimming) has not been used so far in the auto industry
3. They are currently competing against a technology which has been in use for over hundred years i.e. the combustion engines& also their technology may take time for being optimal for use of masses

Tesla Motors Competition

Below are the top 5 Tesla Motors competitors:

1. Chevrolet Volt
2. Toyota Prius
3. Honda Civic

4. Toyota Rav4 Hybrid

5. Smart Car

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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