Using Adverse Conditions to a Company’s Advantage

Using Adverse Conditions to a Company’s Advantage

Tesla, Inc., a company that deals in the manufacturing of electric cars, can use one of the approaches of finding small solutions to the big problem discussed by Chakravorti. The method focuses on the need for establishing effective ways of solving significant problems affecting several sectors. Also, the method help to come up with projects that have low budget cost but yield significant results and more profit margin to the company. ( Huang, 2019).

Firstly, the company can use the method to create less expensive cars. The project would target those individuals who cannot afford the costly vehicles worth millions of money. Besides, the company will incur less cost in manufacturing cars since of the many advantages it poses. Firstly, the low labor cost of employing experts since the company already has enough workforce to work on the projects. Besides, they will save more time since the cars made will not include several things included when making electric cars. Secondly, the company has got enough resources required for the manufacture, which include materials, power, and, which offer a competitive advantage. By doing so, many people will acquire them, thus solving their problem of spending much to purchase cars.

Secondly, Tesla, Inc. can use the method to find solutions to its big problem of customer focus, which includes services offered to them. As seen, the problem has affected the company for quite a long time. They have as well received reduced profit margins that make the company have low net profits. However, they can solve the issue by coming up with minor actions that will improve the services offered to customers. Examples include increasing the number of service managers who should establish a close relationship with customers. The move will help them get valid information from customers concerning their areas of weaknesses that need to be corrected. Also, offering customers close attention and offers to help maintain them. The little actions will result in massive gain by the company starting from efficient customer service to increased profits. (Borodow, Yahmadi, Aljane, Baranes & Borodow, 2018)

Thirdly, the method will help create more markets for the company. A big challenge many companies around the globe. Having many markets will helps manufacture more products. As a result, the production cost reduces, leading to fewer expenses incurred in the whole process. Tesla, Inc. will solve, therefore, expand its market size by coming with the solutions. The first step involves improving the levels of advertising. Perfect advertising methods will save funds and target a vast number of audiences. They will also increase their number of customers, thus improving sales. For instance, creating social media platforms where they would post new features about the company, its services and also offers which attract more customers. As a result, the company would solve the problem using the most straightforward methods that save time and money. Furthermore, the company can use the technique as a competing tool for competitors by publishing several magazines concerning brands of cars. The magazine will include both advantages and disadvantages of the brands, those people who suit a particular brand, and their durability. The information will help many people who have the problem of choosing which car to buy and will also attract more customers since they would have to gain trust with the company. (Van, 2017).

References

Borodow, E., Yahmadi, I., Aljane, A., Baranes, E., & Borodow, A. (2018). U.S. Patent No. 9,959,513. Washington, DC: U.S. Patent and Trademark Office.

Huang, Y. (2019, February). A Potential Company or Not: the Analysis of Tesla. In 2019 4th International Conference on Financial Innovation and Economic Development (ICFIED 2019). Atlantis Press.

Van, P. N. (2017). Celebrity Endorsement as the Drivers of an Advertising Strategy: The Case of Toc Tien Endorsing OPPO. VNU Journal of Science: Economics and Business, 33(2).w