@TBPInvictus right here:
Again in December 2022, I hypothesized that Elon Musk’s antics and his newfound want to personal the Libs have been going to destroy Tesla’s enchantment to a lot of his most necessary patrons.
The most recent knowledge confirms these sentiments have been on level.
I checked out 2020 voting knowledge and TSLA registrations in counties all through the state of New York, and theorized as follows:
Watching Musk’s ongoing antics, it has turn out to be very clear to me that his actions should not solely destroying Twitter, however the collateral injury is taking Tesla down with it – a veritable twofer of ineptitude and rake-stepping. […]
My thesis is that in Musk’s newfound want to personal the Libs, he’s alienating the very individuals who have overwhelmingly been patrons of his EVs.
Think about who the everyday Tesla purchaser has been over the last decade earlier than he started to personal the Libs: You’ll describe them as individuals who don’t suppose international warming is a hoax; they’re early adopters, prepared to pay extra for an EV versus an ICE automotive. Pretty much as good as Tesla’s supercharging community is, it’s nowhere close to the infrastructure buildout of gasoline autos, it will possibly nonetheless be inconvenient on 300+ mile journeys; though to be honest, ICE infrastructure has had a century head begin. These people need to go away a greater world to their children; they’re realists in regards to the risks offered by local weather change, they usually suppose people could make a distinction through their private selections. Oh, they usually consider in science.
It isn’t that this group is solely Democrats, however draw a Venn diagram with the oldsters I described above and Dems, and the overlap is critical.
Now comes the Wall St. Journal with the headline: Elon Musk Misplaced Democrats on Tesla When He Wanted Them Most
The proportion of Democrats shopping for Tesla autos fell by greater than 60%, in response to automotive patrons surveyed in October and November by researcher Strategic Imaginative and prescient.
I’m not one who’s sometimes inclined to take a victory lap, however this one feels prefer it was so apparent to see coming by bringing collectively knowledge from very disparate sources and nailed the eventual final result.
In case your politics places you on the alternative facet of the NYT/Paul Krugman, how do you reconcile that now Murdoch’s WSJ has come to just accept this relaity as properly…?
BR provides: What makes this so perplexing is what an unforced error this has been. Musk moved the whole auto trade in the direction of electrical, he had amassed huge goodwill and had a built-in buyer base that was very loyal. All he needed to do was not screw it up, which — apparently — was a bridge too far.
At its peak, TSLA was value $1.29 trillion; in the present day, it’s $448.9 billion:
That may be a 65% lower in market cap + value:
After all, there’s way more competitors in the present day, and Tesla’s designs are getting outdated, and looking out slightly stale. Their big decade-long software program benefit is now most likely someplace within the 2 -4 12 months vary.
At the very least it should make for an interesting HBS case research sooner or later…
Supply:
Elon Musk Misplaced Democrats on Tesla When He Wanted Them Most
Tim Higgins
WSJ, April 20, 2024
Tips on how to Destroy a Model, Musk Model
Paul Krugman
NYT, Dec. 30, 2022
