If a resource is only valuable, then its a competitive parity. The implementation framework also helps by removing out any recommendations that are not practical or actionable as these could not be implemented. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them. The trial has been postponed indefinitely and a new date has not yet been set. Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Retrieved from http://www.iibms.org/c-7-effective-steps-to-solve-case-study/. The timeline also helps in understanding the continuous challenges that are being faced by the organisation. Michael Porter Five Forces of Strategy are . This is known as a diversification strategy. However, most Wall Street analysts were highly skeptical of the deal, voicing concerns that the merger would burden Tesla with excessive debt and that Musk was using the deal to advance his personal interests (at the expense of public shareholders) and bail out Tesla. PESTLE Techniquea Tool to Identify External Risks in Construction Projects. Those against Musk and this purchase of SolarCity also believed that the outspoken entrepreneur sought to convince Tesla shareholders that the deal was a good one by promoting the unveiling of a SolarCity product that didnt yet exist: glass solar roof tiles. Tesla The SolarCity Acquisition Case Study Solution Just as Tesla has demonstrated the superiority of electric vehicles, the solar roof and Powerwall 2 will transform energy generation and storage. Now That Tesla Has Approval to Buy SolarCity, Here's What a Combined Tesla The SolarCity Acquisition needs to bring out certain responses from the market that it targets. Academic writing has no room for errors and mistakes. Elon Musk wins shareholder lawsuit over Tesla-SolarCity deal - CNBC . If a resource is high on all of these 4, then it brings long-term competitive advantage. Place the order on the website to get your customized case solution done. This is known as market penetration strategy. Tesla The SolarCity Acquisition Case Analysis and Case Solution - Increase in Consumer Disposable Income Solarcity Tesla can use the increasing disposable income to build a new business model where customers start paying progressively for using its products. All the six elements are explained in context with Tesla: The SolarCity Acquisition macro-environment and how it impacts the businesses of the firm. - Home market marketing technique wont work in new markets such as India and China where scale is prized over profitability. The steps to be followed in this analysis is as follows: The strategies identified from the Tesla The SolarCity Acquisition BCG matrix and included in the case pdf. For example, strengths will be used as an advantage in solving the issue. of the box and hire Case48 with BIG enough reputation. Competition Regulations Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. Orientation was the part of the training where the freshly designated staff members were acquainted with the company's life in basic and business in specific. The following are the possible locations where the company's expectations were mismatched with Tesla The Solarcity Acquisition Case Study Solution's expectations: Given that, workers are slowly fluctuating tasks to deal with brand-new business, socialization is very important just as much for the workers as it is for the companies. It also touches upon business topics such as - Value proposition, Financial analysis, Manufacturing, Mergers & acquisitions. Aug-09-2018. When the trial eventually gets underway, how the outspoken and brash Musk handles his testimony and behavior will likely be a key determinant of the outcome. (2013). Tariffs Chekout how much tariffs the firm needs to pay in the Tesla: The SolarCity Acquisition case study. Service, Dissertation One additional director, Brad Buss, is no longer part of Teslas board, but was at the time of the deal and was also part of the settlement. The choice of strategy depends on the analysis of the previous tools used and the level of risk the organization is willing to take. r = discount rate or return that could be earned . Court proceedings in the Delaware Court of Chancery related to Teslas purchase were all set to begin on March 16. Evidences Finally you should provide evidences to support your reasons. The chief executive officer needed to convince Tesla's shareholders that SolarCity would be a good acquisition target and then determine a fair price to offer. Shareholders have sued Musk alleging that the deal . Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. The challenge in front of the protagonist, of Tesla: The SolarCity Acquisition, is to not only build a competitive position of the organization but also to sustain it over a period of time. Competitive advantage: creating and sustaining superior performance (Vol. The firms primary and support activities are listed down. Tesla's Risky SolarCity Acquisition Wins Shareholder Approval SolarCity 2023 Review (History, Lawsuits & Tesla Acquisition) - EcoWatch Thank you for your email subscription. Musk's aerospace company, SpaceX, had also purchased tens of millions of dollars worth of solar bonds from SolarCity. Going into 2016, SolarCity stock was already plunging and the company was going through layoffs. The external environment analysis of Tesla: The SolarCity Acquisition will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm. It shows that one has been clarified with the HBR fundamentals on the topic. Design and perform official orientation programs. Tesla The Solarcity Acquisition Case Study Solution + Analysis - 5G has potential to transform the business environment especially in terms of marketing and promotion for Solarcity Tesla. These are usually in the form of strategies that the organisation can adopt. At this point, if any employee feels stressed due to his work and time limitation, he should immediately talk to the supervisor and share his issue. Both companies had similar products and could be a strong strategic fit. Stay informed. The task subordinate did not ask to do any work. - According to Zhichuan Frank Li, Tomiwa Ademidun . Place these strategic business units in one of four categories. If the tariffs are high then it will be extremely difficult to compete with the local competitors. Tesla The Solarcity Acquisition Case Study Analysis was for this reason, thrilled when she was entitled to sign up with the corporation, and report to its office in US for her preparatory training. If its none, then it can be regarded as a competitive disadvantage. All Rights Reserved. (SolarCity) and with Tesla's financial advisor for the deal without the knowledge of the Tesla Board. Tesla acquired SolarCity in 2016. A long-running romance demands a great deal of dedication and lots of emotional financial investment . The process can also be done to competitors to understand their competitive advantages and competitive strategies. "Three things need to happen to change investor sentiment: SolarCity solving its liquidity crisis, an LOI with Panasonic to address solar cell production risk, and a joint product demo," Musk wrote. These factors are also responsible for the future growth and challenges within the industry. An important tool that helps in addressing the central issue of the case and coming up with Tesla The SolarCity Acquisition HBR case solution is the SWOT analysis. Arranging events in a timeline allows one to predict the next few events that are likely to take place. Tesla: The Solarcity Acquisition - The Case Centre Catching up on the Musk-Tesla-SolarCity acquisition case Reasons At the second stage provide the reasons for the conclusions. Department and business department conferences. Getting the responsibility for the effort and arrangement of implementation. It can further impact the cost of doing business in certain markets. In other words, the synergistic integration that Tesla hoped for is still a work in progress. Although, your objective is to alter the 'resisters to champions', which is not constantly possible. If a country doesnt have independent judiciary then there is no point entry into such a country for business. What will be the expected profitability of the new products or services (Porter Five Forces Analysis) Perhaps, it supplies you chances to advance in your career, and can demonstrate that you can manage the tight spots. Company history is helpful in a Business Case study as it helps one understand what the scope of the solutions will be for the case study. The three step case study solution approach comprises The matter could be appealed to the Delaware Supreme Court. As the name suggests Value Chain framework is developed by Michael Porter in 1980s and it is primarily used for analyzing Solarcity Tesla relative cost and value structure. Legal Notice Terms and Conditions Privacy Policy pv magazine 2023, This website uses cookies to anonymously count visitor numbers. The following steps are required to carry out a marketing mix analysis and include this in the case study analysis. Solved Refer to the Tesla SolarCity acquisition case | Chegg.com Your email address will not be published. In January of this yeaar, every single one of Teslas directors, with the exception of Elon Musk, agreed to a $60 million settlement to resolve shareholder disputes regarding the Tesla acquisition of SolarCity in 2016. Relative Weighted Average Market Share Vs Largest Competitor. Corporate taxation can be divided into two categories taxes on profits and taxes on operations. Analysis of the industry is important as businesses do not work in isolation in real life, but are affected by the business environment of the industry that they operate in. During the trial, Musk said the SolarCity deal was part of his "master plan," which he had written in 2006 and was meant to accelerate the advent of sustainable energy. New York: Free Press. Elon Musk is testifying Monday morning in a lawsuit over Tesla's 2016 acquisition of SolarCity, a $2.6 billion transaction that a group of shareholders allege was a "bailout" of the failing . Tesla CEO Elon Musk finds himself in the news quite often, from groundbreaking SpaceX launches to contentious tweets. The acquisition amounted, they argue, to a bail-out by one of his start-ups (Tesla) of another one (SolarCity), which damaged the formerand thus their investments. But not everyone is negative. Judge rules for Elon Musk in $13 bln lawsuit over Tesla-SolarCity deal By 2009, solar panels it had installed were capable of generating 440 megawatts (MW) of power. Ansoff Matrix is an important strategic tool to come up with future strategies for Tesla The SolarCity Acquisition in the case solution. All Rights Reserved. When it comes to the business, socialization is a treatment that meaningfully forms corporations in the way that provides important practices for the company to increase the interaction in between the managers and the workers. Freedom of Press is critical for fair trade and transparency. Task beyond the command on the field. Tesla adds solar to its portfolio through SolarCity acquisition Tesla The Solarcity Acquisition - Case Study Solution CaseAnalysisTeam(at)gmail(dot)com Please replace (at) by @ and (dot) by. Accessed July 12, 2021. Enhancement in socializing practices A few of them were fulfilled, however some were mismatched with the company. Panagiotou, G. (2003). This tool helps one understand the relative powers of the major players in the industry and its overall competitive dynamics. When Tesla bought SolarCity in November 2016, Elon Musk billed the deal as a match made in green energy heaven: Combine a hot electric car company with the nation's then-largest provider of. The Tesla: The SolarCity Acquisition case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis. This brings us to the latest update in this multi-pronged legal battle. They had actually made a strong bond with each other, but unexpectedly throughout training they were relocated at various domains, which was not anticipated by Tesla The Solarcity Acquisition Case Study Help, she felt lonesome and her good friends motivated her to participate in the classes. The organization can enter into new markets with new products. Rauch, P. (2007). Tesla The Solarcity Acquisition Case Study Solution & Analysis According to Zhichuan Frank Li, Tomiwa Ademidun , Solarcity Tesla needs international talent to penetrate into developing markets. Green Data Dash. Solarcity Tesla in case study Tesla: The SolarCity Acquisition should look into these export restrictions policies. It also touches upon business topics such as - Value proposition, Financial analysis, Manufacturing, Mergers & acquisitions. This part consists of solutions that address issues faced by the organisation on a strategic level. And conflicts among other Tesla Board members were not completely neutralized. 'Tesla The Solarcity Acquisition' was one of World's topmost IT services corporations, with workplaces in many locations around the world. In addition, when you have possibilities to go over the issues with your supervisor, let him know that your subordinates were not working, so you may end up being the leader and at the very same time, you need to tell your subordinate to collaborate to meet the due dates and goals of the company. - Lucrative Opportunities in International Markets Globalization has led to opportunities in the international market. It can also be done by looking at anecdotal instances of managers or employees that are usually included in an HBR case study description to give the reader a real feel of the situation.