Business Environment in Tesla’s Strategic Allocation of Resources
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, Business Environment in Tesla’s Strategic Allocation of Resources
The "business environment" refers to all forces, internal or external, that affect the
company's performance. They include consumers, employees, stakeholders, the government,
suppliers, and technological trends. A company's environment is a great contributor to the
strategic allocation of resources since it introduces several factors that affect its operation. Tesla
is one modern company that analyzes the environment to distribute its resources further. Over
the years, Tesla has used the business environment to allocate resources for advertising,
innovation of new technology, production of new product lines, employee motivation, and
consumer satisfaction.
Technology is an integral part of any modern business. New technology fosters
communication and ensures the development of new products to the satisfaction of consumers.
Tesla Motors is one of the most successful companies to impose technology on their machinery,
selling about 500,000 vehicles in 2020 (Cooke, 2020). Tesla has been renowned for developing
the next generation of batteries used to power electronic-driven vehicles. With a vision of using
green energy and taking advantage of environmental conservation necessities, Tesla was
founded to prove to people that new electronic vehicle technology was faster and more efficient
than fuel- based vehicles. Tesla distinguishes itself from most of its competitors since it is
invested in the research and development of new technology. By 2020, Tesla had more than
doubled its R&D budget to approximately USD 1.55 billion (Mongird, 2020). Tesla used the
business environment to discover a business niche and bring about a new product with a forceful
future in mind. As a result of the strategic investment in research and development, Tesla Motors
increased its manufacturing capacity and quality of products, ensuring a steady increase in
market share during the pandemic as other motor industries plummeted.
This study source was downloaded by 100000858663287 from CourseHero.com on 12-23-2022 13:23:20 GMT -06:00
https://www.coursehero.com/file/171181704/Business-Environment-in-Strategic-Allocation-of-Resourcesedited-11docx/
Student’s Name
Department, Institutional Affiliation
Course Name and
Number Instructor’s
Name: Assignment Due
Date
This study source was downloaded by 100000858663287 from CourseHero.com on 12-23-2022 13:23:20 GMT -06:00
https://www.coursehero.com/file/171181704/Business-Environment-in-Strategic-Allocation-of-Resourcesedited-11docx/
, Business Environment in Tesla’s Strategic Allocation of Resources
The "business environment" refers to all forces, internal or external, that affect the
company's performance. They include consumers, employees, stakeholders, the government,
suppliers, and technological trends. A company's environment is a great contributor to the
strategic allocation of resources since it introduces several factors that affect its operation. Tesla
is one modern company that analyzes the environment to distribute its resources further. Over
the years, Tesla has used the business environment to allocate resources for advertising,
innovation of new technology, production of new product lines, employee motivation, and
consumer satisfaction.
Technology is an integral part of any modern business. New technology fosters
communication and ensures the development of new products to the satisfaction of consumers.
Tesla Motors is one of the most successful companies to impose technology on their machinery,
selling about 500,000 vehicles in 2020 (Cooke, 2020). Tesla has been renowned for developing
the next generation of batteries used to power electronic-driven vehicles. With a vision of using
green energy and taking advantage of environmental conservation necessities, Tesla was
founded to prove to people that new electronic vehicle technology was faster and more efficient
than fuel- based vehicles. Tesla distinguishes itself from most of its competitors since it is
invested in the research and development of new technology. By 2020, Tesla had more than
doubled its R&D budget to approximately USD 1.55 billion (Mongird, 2020). Tesla used the
business environment to discover a business niche and bring about a new product with a forceful
future in mind. As a result of the strategic investment in research and development, Tesla Motors
increased its manufacturing capacity and quality of products, ensuring a steady increase in
market share during the pandemic as other motor industries plummeted.
This study source was downloaded by 100000858663287 from CourseHero.com on 12-23-2022 13:23:20 GMT -06:00
https://www.coursehero.com/file/171181704/Business-Environment-in-Strategic-Allocation-of-Resourcesedited-11docx/
