TESLA
Tesla
Overview
From the onset, it would be prudent to note that Tesla operates in the automotive industry. At present, Teslas domestic market happens to be the United States. To remain relevant going forward, the company ought to expand into other global/international markets. There are numerous countries that offer great opportunities for growth and expansion. One of the countries that Tesla could consider as it seeks to conquer international markets is China.
Why China
There are many factors that would favor Tesla if it were to set up operations in China. To begin with, the country has a huge population that would largely provide a market for Teslas products. At present, the total population of China is estimated to stand at 1.4 billion. In comparison,...
presently has a population of approximately 329 million people. It therefore follows that in expanding to China, the company would likely increase its chances of selling more electric vehicle units effectively enhancing the bottom-line. Secondly, it should also be noted that the country has a thriving tech sector. To a large extent, Tesla happens to be one of the automakers that are embracive of technology and new innovations. Blue (2016) describes Elon Musk the...
…Whereas Tesla would be bringing its expertise in the manufacture of electrical vehicles to the bargain table, a local Chinese car manufacturer would come in handy in efforts by the company to ease both its entry and operations in the country.
When it comes to the issue of technology transfer, there are various avenues that Tesla could explore in an attempt to secure its proprietary technology. One promising route happens to be challenging any attempt to force technology transfer via the WTO. According to Branstetter (2019), this is an option often available to foreign companies because of the countrys commitment to honor its…
