After being released for over 15 years, it is becoming more clear how Tesla changed and will continue to change the auto industry. Tesloop, a company which uses solely Teslas in their shuttle service, has come back with over 5 years of data showing the way theses cars outperform traditional gas cars. Combined, Tesloop's cars have tracked over 3.5 million miles in their cars which individually travel more than 8 times the distance of a traditional car on average each month.
"Every year, corporations and rental car companies add more than 12 million vehicles in Europe and North America to their fleets. Adding EVs to the mix could see those cars lasting five times longer—costing a fraction of conventional cars over the same period—while feeding a massive new stream of used electric cars into the marketplace," technology reporter Michael J. Coren said. Although in the current oligopoly of the car industry, products don't see much differentiation besides size and color, Tesla is bringing a revolutionary new product.
By providing more sustainable, and cheaper to maintain cars, Telsa is changing the auto industry by creating a sense of urgency for other companies to catch up with Tesla's innovation. "the most critical thing that Tesla's done in terms of the rest of the automotive industry is create a greater sense of urgency as far as innovation and electric," Kelley Blue Book executive analyst Akshay Anand said.
Along with this, Tesla has shown that even if the other companies in the industry haven't caught on yet. Teslahas appealed to a large portion of consumers by not only providing a car that is good for the environment, but also looks appealing. By making electric cars look like high end sports cars, they have appealed to a much larger audience. Just look at the numbers; consumers are willing to pay upwards of $300 for 1 share of Tesla stock.
We will still have to see in the future how much Tesla will be able to change the industry. Who knows, maybe in a couple decades all gas cars will be gone and they'll all last 10x longer?
Sources:
https://qz.com/1737145/the-economics-of-driving-seven-teslas-for-2-5-million-miles/
https://www.businessinsider.com/teslas-influence-on-the-auto-industry-2018-2
I completely agree that Tesla is changing the course of the auto industry. They have truly jumpstarted the production of electric cars. Tesla's innovation is not only changing the auto industry it is also alerting people of the drastic benefits of using electric cars in that they are cheaper, faster, and better for the environment.
ReplyDeleteTesla has indeed become popular these recent years as many of them can be spotted out on the streets as often as other brands that have been popular for decades. The brand really appeals to a specific group of consumers with how high they cost but with their eco friendly functionality and the modern design they have gives people a feel of "living in the future," pulls them in to purchasing from Tesla. There are many auto companies that are catching up to Tesla's charm and are trying to appeal to many people by selling them for cheaper prices but Tesla may remain dominating the auto industry as the word "electric cars" are almost used synonymous with "Teslas". Although they are a fairly recent auto making industry, we can already see the big impacts they made on the economy and society in which "a new IHS Markit study about Tesla’s economic contribution in California shows that the automaker contributed more than $5 billion to the state’s economy and supported over 51,000 jobs last year"(excerpted from Fred Lambert's article, "The Economic Contribution of Tesla in California" April 2018). Which raises a question of the possibility of Tesla rising up to be the new Google of the auto industry with its many benefits and contributions it already has made.
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