$Tesla (TSLA.US)$Musk’s efforts to dominate global automobile manufacturing are undergoing a new shift, sparking renewed division.
Some see him as Henry Ford of the Model T era, while others view him as Steve Jobs, who ushered in the iPhone era. But,is it possible that he is Rick Wagoner, who led General Motors into困境?
After the 9/11 attacks, Wagoner refused to accept the fact that General Motors had already overproduced vehicles and instead doubled down on incentives, offering massive car purchase discounts. The PR campaign, named 'Keep America Rolling,' set Detroit on a path to ruin—General Motors and Chrysler went bankrupt in 2009. Ford was lucky enough to narrowly escape disaster.
Tesla cut prices six times this year, slashing the cost of the bestselling models in the U.S. by nearly a third.This price-cutting strategy is unprecedented, and no one knows whether it indicates Musk is at a dead end or once again disrupting the industry.
Musk’s latest strategy will determine Tesla’s future. The pandemic caused the most severe disruption to automobile supply and demand in generations. Musk firmly believes thathis competitors have no choice but to respond to Tesla’s price cuts.
Just as competitors attempt to weather the storm of price cuts, changes are also brewing within Musk's own empire.
In its early years, Tesla intermittently expanded from a car plant in California...