Ch. 7 - Business Marketing

While some people think that Tesla Motors is only an automaker, they are also a battery company. Most companies, receive some some of its equipments and parts from Tesla. Tesla sells power train components to other automakers. Tesla is an original equipment manufacturer because, Tesla buys its lithium ion batteries from Panasonic. Tesla Motors decided to setup its own battery plant and is investing billions of dollars on a battery plant that will help expand and produce more lithium ion batteries annually. Also, Panasonic wants to expand its cooperation with Tesla by investing in the gigafactory project. 

Ch. 11- Developing and Managing Products

Tesla CEO Elon Musk has overseen product development and design from the beginning, including the all-electric Tesla Roadster, Model S and Model X. The company spent a lot of time and invested research of their products by focusing both on the environment and technology.Tesla said that production and profits are going to improve in 2015. Also, Tesla has built 30 beta prototypes of the Model X for testing and is very close to the final production intent design.

Product Life Cycle
The Tesla Model S is very much in the maturity stage of its life cycle. Electric cars in general are all in the growth stage because they have just now become an alternative to the gas power car.

Ch. 8 - Segmenting and Targeting Markets

Tesla Model S could be mainly divided into the environmental conscious and the technology segments.

Geographic segmentation:
Tesla can market to Europe because most European countries have high gas prices and green-friendly governments and policies. With the use of geographic segmentation, Tesla can rule out countries like Saudi Arabia and Venezuela where gas is cheap.

Demographic segmentation:
Tesla markets its cars to only people who can afford them but in the future they making newer cars to market to the middle class.

Psychographic segmentation:
Tesla can contact people and ask the questions through surveys, to see if they are satisfied with their current cars or if they are looking for alternative cars.