Tesla Breaks into the Chinese Market
Tesla Motors has been trying to gain the approval to sell its vehicles in China for quite some time, and all the effort has finally paid off. Tesla recently announced that it has been given the green light to start selling its all-electric Model S. Although this may be a good thing for Tesla, the automaker has come under scrutiny from competitors for offering its vehicle at such a low price. In a recent interview, CEO of Tesla Motors Elon Musk went on record to say, "They're basicall calling us huge idiots for not ripping off customers in China. I don't think ripping off customers is a good long-term strategy." On Tesla's blog, the automaker emphasized fairness when talking about its pricing strategy. The company could have significantly increased the price tag, but felt that it was important to be transparent and to treat customers well, regardless of where they live. Although China may have been one of the toughest markets for Tesla Motors to enter, Musk believes that it will provide the company with as much success as the U.S., if not more, by 2015. To help with the potentially high demand of the Model S in China, Musk plans to build a local factory, as well as put up charging stations around the country. "Long-term there's no question we'll have a factory in China. There is an argument for having that be our first major factory outside the U.S.," said Musk. Source: Bloomberg, Tesla
The Japanese giant retains its sales crown, but Volkswagen is gaining quickly.