Tesla makes a 180-degree turn in its business strategy in less than 15 days

Tesla's new business strategy calls for the closure of a small number of stores, which will lead to higher prices for its vehicles

Tesla's business decisions over the past two weeks cannot be described as anything other than absolutely chaotic. In late February, Tesla announced that it was going to make good on its promise to market a version of the Model 3 with a base price of 35 thousand dollars.

That announcement was naturally received with great enthusiasm among the brand's fans, but Tesla still had to announce some additional measures that would affect its commercial strategy.

Store closures and price reductions

To make the $3 Model 35 possible, Tesla said it needed to cut costs, and to do so, was going to close all its physical stores around the world. Within a matter of hours, some of them closed, as announced, and their employees began to be relocated within the company. A decision that, however, generated considerable uncertainty.

Tesla then applied a drastic price reduction on its vehicles, following the established plan, which in some regions could reach up to 50 thousand euros for the most expensive modelsThis, which at first seemed like extraordinary news, did not sit well with existing Tesla owners, however, as the value of their vehicles on the second-hand market fell sharply.

Radical change in business strategy

Finally, after almost two rather hectic weeks, Tesla has decided to start from scratchThe company has announced that it will halt the process of closing its stores, even reopening some that it had already closed. The final decision is to drastically reduce the number of closures, limiting them to between 10 and 30 percent of their stores.

The consequence of this 180-degree turn in the company's commercial strategy, in less than two weeks, is that the price reduction applied to its vehicles It will also be reversed, at least in part. Tesla has assured, however, that there will be no increase in the prices of its vehicles until March 18.

Those who are thinking of buying a Tesla now have, therefore, A golden opportunity to save a lot of money. Especially if you are planning to buy a Model 3, since there are certainly not going to be any last-minute changes for this model. At the event on Thursday, March 14, there is a possibility that Tesla will announce some changes that will affect the Model X and Model S in addition to the Model Y, so in this case it may be better to wait.

The "cheap" Model 3 will keep its price

Tesla has confirmed that the price increase will affect all of its vehicles, except for the Standard Range version of the Model 3. In this way, it will keep its promise of marketing a 100% electric vehicle for 100 thousand dollars.