Posted on 01/19/2019 8:28:47 PM PST by NorseViking
Tesla delivered a catastrophic blow to its U.S. workforce this Friday. In a memo reviewed by the Wall Street Journal, CEO Elon Musk said the company will be slashing its staff by 7%.
Despite announcing its first gigafactory outside of the United States in Shanghai barely over a week ago, the electronic car maker will be handing over 3,000 of its 45,000-strong workforce their leaving papers.
(Excerpt) Read more at yahoo.com ...
Amazon and Walmart provide products that the vast number of citizens want and need. Tesla does not. Tesla would not even exist without government subsidies for pie in the sky goals.
At 10%, he'd be literally "decimating" the workforce.
I was on FR 20 years ago and the hatred for Amazon was much greater than the hatred for Tesla and Musk.
The path to riches would be to do the opposite of what the FR investment experts say.
You might be able to make money inversting in Tesla for a little while longer. But at some point, the bottom is going to fall out.
The stock is priced as if they were already producing and selling millions of cars each year. If those numbers are ever achieved, they are already priced in. However, if they are not achieved, this cannot go on forever.
No, but this is not the behavior of a company that is working out it’s problem, getting back on track, and getting those cars rolling. Tesla will fold and wind up being a rich guy’s tax write-off, just like every other energy scam before it.
No doubt about it.
Evidently the car is made overseas so anything thing they sell in the US will be imported. On paper, it looks like it has better features than the Bolt.
He’s a long way from a Tesla now, but battery replacement for Prius can also be expensive and complicated.
Sometimes the Toyota dealership here won’t do it for a month and it is way costly.
Fortunately my son-in-law can do it himself for a reasonable cost and actually has done it for other Prius owners.
But it’s something to consider.
Elon Musk reminds me of Boone Pickens the “United States is the Saudi Arabia of wind energy” barker of the 1990s. IOW, he is a hi-tech snake-oil merchant.
Tesla never had any shot at being anything more than a niche product...
If their end game is a viable company, trying to mainstream and mass produce was a foolish move...
If their game was to PUSH the industry toward electric, then that’s a goal not based on economics and could be possible.
If electric vehicles truly catch, they will never be able to meat the big players once they move into the space... SO moving from Nice High Margin toys is probably their long term death knell.
Only way they can live in that space is if they get bought out by someone else.
As a NICHE cache’ product, they can always charge large margin as a limited and envy product.
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