tesla the solarcity acquisition case solution tesla the solarcity acquisition case solution

The conferences were chockfull with discussions from diverse divisions of the company, and comprised organizational details, standards, worths, and the life of the employees in the company, with interactive games. Develop and applied composed on boarding strategies. At other times, finding the issue is the job of the person analysing the case. The Value chain analysis of Tesla The SolarCity Acquisition helps in identifying the activities of an organization, and how these add value in terms of cost reduction and differentiation. Kulkarni, N. (2018). Feedback pursuing may likewise support brand-new staff members. To achieve its overall corporate and business level objectives, it should make use of the marketing mix tools to obtain desired results from its target market. If the tariffs are high then it will be extremely difficult to compete with the local competitors. If the . SolarCity began in 2006 as a residential and commercial solar provider, manufacturing and installing its own solar panels and equipment. CNBC. The SWOT analysis is a strategic management tool that lists down in the form of a matrix, an organisation's internal strengths and weaknesses, and external opportunities and threats. Strengths and Weaknesses are result of Solarcity Tesla internal factors, while opportunities and threats arise from developments in external environment in which Solarcity Tesla operates. At the end of the very first year, she felt that the business had actually appointed her a job that was beyond her command, and the task was offered in the restricted time, in which it was difficult to finish the task. The four-hour presentation was long on Musk's vision to build the next phase of Tesla's growth around a sustainable energy future by moving into products like heat pumps, but short on any . 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. While Elon Musk, the CEO of Tesla and chairman of SolarCity, calls the deal a "no-brainer," the $2.6 billion acquisition has drawn widespread scorn. At some point she had totally free riders in the groups who never worked, however took the credit, sometime she learned a lot and had good experience with the team. This shows how through a step-by-step procedure as to how the central issue can be resolved. SWOT analysis will help us in not only getting a better insight into Solarcity Tesla present competitive advantage but also help us in how things have to evolve to maintain and consolidate the competitive advantage. Experience and actions of Tesla The Solarcity Acquisition Case Study Help. This is known as product development strategy. VRIO and VRIN analysis can help the firm. Hence, they should be taken into consideration when coming up with the Tesla The SolarCity Acquisition case solution. 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. It involves looking at the current market share of the company and its competitors. This is known as the problem identification stage. Strategic attributes and performance in the BCG matrixA PIMS-based analysis of industrial product businesses. Identifying the importance of these activities in the cost of the product and the differentiation they produce. The following are the possible locations where the company's expectations were mismatched with Tesla The Solarcity Acquisition Case Study Solution's expectations: This gives the organization a competitive advantage over other firms, unlike a red ocean strategy. Each resource is assessed whether it could be imitated by competition easily or not. Identify the relative market share of each strategic business unit. What are the strength and weaknesses of Solarcity Tesla (SWOT Analysis) Tesla The SolarCity Acquisition needs to bring out certain responses from the market that it targets. By using the above frameworks for Tesla: The SolarCity Acquisition case study solutions, you can clearly draw conclusions on the following areas This tool helps one understand the relative powers of the major players in the industry and its overall competitive dynamics. The business must arrange the corporate occasions, so the workers can connect with each other. These are the political, environmental, social, technological, environmental and legal (regulatory) factors affecting the industry. Specifying the people "on board" and the people that are not. Tesla The Solarcity Acquisition Case Study Help. 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. Obviously, some approaches would work well than others, in the business. Those who will be unsuccessful to reach to the identified least level, would not end up being the part of the company. On June 21, 2016, Tesla, a top producer of electric vehicles, posted on its blog that it has made an offer to purchase SolarCity Corporation, a top producer of solar panels, in an all-stock deal that might be worth more than $2.5 billion in Tesla stock. Proposal, Assignment Writing The company can challenge competitors from various companies. 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, Strategies will be devised which makes use of a few or all of these elements. The following step-by-step procedure can be used to organise the Harvard Business case solution and recommendations: The case study analysis and solution, and Tesla The SolarCity Acquisition case answers should be written down in the Tesla The SolarCity Acquisition case memo, clearly identifying which part shows what. Tesla shareholders alleged the company's acquisition of the solar installer amounted to a bailout, pushed through by Musk who sat on both company boards at the time. Evaluating Alternatives / SWOT Analysis of Tesla: The SolarCity Acquisition case study, STEP 5. Similar would be the case for any other business unit or department such as human resources, finance, IT etc. ", A little-known renewable energy stock could rally more than 20%, UBS says, Goldman Sachs upgrades Shell to buy, says oil giant can surge 40%. "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. Principles of marketing. The organization can develop new products for the existing market. You need to make efforts to block them out, and must focus on your work. Sometime there are numerous task managers who take wrong decision and keep 'champs as champs', and keep resisters involved. All the guidelines and guidelines, work concern, documents, paperwork and the reporting day were a bit laborious. Investors were skeptical of the deal from the beginning, and Tesla stock plummeted by more than 10% upon the June announcement. The goals of the stakeholders and are the organization are also identified to ensure that the case study analysis are consistent with these. Lastly, the overall rivalry or competition within the industry is analysed. Constant implementation on boarding. Once this listing has been done, a clearer picture can be developed in regards to how strategies will be formed to address the main problem. Most recent surveys suggest that around 76 % students try professional 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. This is doing the Tesla The SolarCity Acquisition Case Solution. Both companies had similar products and could be a strong strategic fit. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Solarcity Tesla is facing right now. The solution may state that objectives that these people need to achieve and how these objectives would be achieved. Is this merger a good idea? The value chain and competitive advantage. New staff members frequently do errors and might find it amazing to know and understand the favorable or unfavorable responses they obtain from colleagues. All your payments are secure with Paypal security. Dissertation Why you choose one course of action over the other. This is shown through a proper implementation framework. 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. Many believe that the massive deal was not properly scrutinized and SolarCitys financial peril was hidden by a rushed analysis of the companys finances by an outside firm. Some argued that Musk was able to get the Tesla board to approve the purchase of SolarCity by misrepresenting the financial health of the company, saying it would be cash-flow positive within six months of the purchase. The Tesla The SolarCity Acquisition case should be in a professional format, presenting points clearly that are well understood by the reader. If I remained in the place of Tesla The Solarcity Acquisition Case Study Solution, I would have gone over the entire issues that I had actually faced in the entire year, and had actually demanded sharing all the concern with my manger. When Tesla The Solarcity Acquisition Case Study Solution joined the company, in the starting she felt the business was a little bit of an alienation. Additionally, Musk and his cousins, who served as CEO and CTO at SolarCity, founded the solar installer in 2006, while Musk served as the companys chairman. Solarcity Tesla in case study Tesla: The SolarCity Acquisition should look into these export restrictions policies. - Political and Legal Structure The political system seems stable and there is consistency in both economic policies and foreign policies. What's swot in strategic analysis? Tesla: The SolarCity Acquisition case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The following goals can be fulfilled: Pickton, D. W., & Wright, S. (1998). No reply from the mangers in the brand-new office. She went through with the procedure of technical training, where she had to face lots of issues and hard situations. Moreover, I would have advised the following action plan: BCG Growth Share Matrix is very valuable tool to analyze Solarcity Tesla strategic positioning in various sectors that it operates in and strategic options that are available to it. Tesla bought SolarCity in 2016. Less interaction with new employee. 100% money back guarantee if the quality doesn't match the promise, If the work we produce contain plagiarism then we payback 1000 USD. It also touches upon business topics such as - Marketing Mix, Product, Price, Place, Promotion, 4P, Financial analysis, Manufacturing, Mergers & acquisitions. After this, the relevant tools and models are used, which help in the case study analysis and case study solution. BCG analysis should comprise not only growth share of industry & Solarcity Tesla business unit but also Solarcity Tesla - overall profitability, level of debt, debt paying capacity, growth potential, expansion expertise, dividend requirements from shareholders, and overall competitive strength. Competitive advantage: creating and sustaining superior performance (Vol. Strategic rationale: The acquisition of SolarCity will create the world's only integrated sustainable energy company, from energy generation to storage to transportation. This is the alternate solution that would be implemented if the original proposed solution is found infeasible or impossible due to a change in circumstances. For example why the change effort failed in the case and what can be done to rectify it. In Porter's Five Forces analysis, the industry is analysed along 5 dimensions. Two key considerations while using BCG Growth Share Matrix for Tesla: The SolarCity Acquisition case study solution - on WhatsApp for any queries. In the EU countries, firms are required to make special provision for privacy issues and other laws. Relevant strategies should be implemented for each strategic business unit depending on its position in the matrix. This also looks at the external business environment of the organisation helps in finding case study Analysis to real-life business issues as in HBR cases. This is known as the problem identification stage. Another location, where Tesla The Solarcity Acquisition Case Study Help's expectation was mismatched with the business was enjoyable aspect. Corporate Taxes The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Where t = time period, in this case year 1, year 2 and so on. Catching up on the Musk-Tesla-SolarCity acquisition case pv magazine International Gfeedit, World News: Latest news, breaking news,- TODAYNEWS.com, 5 Controversies That Will Forever Haunt Elon Musk - LEETjobs. Porter, M.E. Musk denied that he placed any pressure on the Tesla board to go through with the transaction. Tesla: The SolarCity Acquisition will also provide insight into areas such as wordlist , strategy, leadership, sales and marketing, and negotiations. Hurley Dry-Fit Chino Short. In 2016, Tesla acquired solar panel installer and financier SolarCity for $2.6 billion and the assumption of $3 billion in debt. Keep in mind the underlying motive for the deal, potential corporate governance issues, the plausibility of . 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. Harvard Business Review: Strategic Planning, How Competitive Forces Shape Strategy. After completing a year in the business, it was the stage where she had to examine and reflect her journey and experiences, while operating in the business. For example, if one suggests the organisation to focus on differentiation for competitive advantage as a corporate level strategy, then it can't be recommended for the Tesla The SolarCity Acquisition Case Study Solution that the business unit should focus on costs. What will be the expected profitability of the new products or services (Porter Five Forces Analysis) Ansoff Matrix is an important strategic tool to come up with future strategies for Tesla The SolarCity Acquisition in the case solution. If a resource is high on all of these 4, then it brings long-term competitive advantage. The following steps are required to carry out a marketing mix analysis and include this in the case study analysis. This is known as a diversification strategy. Our immersive learning methodology from case study discussions to simulations tools help MBA and EMBA professionals to - gain new insight, deepen their knowledge of the Finance & Accounting field, and broaden their skill set. How to calculate Weighted Average Market Share using BCG Growth Share Matrix If you find any employee lazy in your group, do not devote your day on focusing on the way that your lazy subordinate is constantly utilizing Facebook and other social networks at the office. 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. Shareholders have sued Musk alleging that the deal . Elon Musk was acting as a proper chief executive officer as Tesla Inc. weighed the purchase of power provider SolarCity in 2016, his longtime ally and fellow Tesla director . The second step of the solution is to come up with a business level strategy. Tesla The Solarcity Acquisition Case Study Analysis was waiting for the outcome of the interview with 'Tesla The Solarcity Acquisition'. When it has to do with Tesla The Solarcity Acquisition Case Solution, it's really tough to resist the temptation to speed things up. We write Tesla: The SolarCity Acquisition case study solution using Harvard Business Review case writing framework & HBR Finance & Accounting learning notes. Proposal, Question Accessed July 12, 2021. This involves a detailed analysis of their actions and how these would affect the future strategies of Tesla The SolarCity Acquisition. Shareholders also argued, in the suit, that Musk unveiled a product that didn't yet function glass solar roof tiles to convince investors that there was real intellectual property and a product close to commercial viability in SolarCity. At the starting of the job, each staff member has some expectations with the business, which relate to the values, culture and the lifestyle of the business. Email us directly at: casesolutionsavailable (at)gmail (dot)com Please replace (at) by @ and (dot) by . This procedure of understanding to establish a reliable member of the business is diverse from expert socialization, which stresses on finding out the standards of one's business. They may be unclear of their achievements and responsibilities, but you ought to be clear about your goals, responsibility and tasks. submission, reproduction, or any other misuse in any manner. At the end of the first year, she felt that the association with the business was getting bit worse because she felt that she was designated the project that was beyond her command, with extremely restricted time and there was no one to help her out in the task. That settlement covered the following five current directors at Tesla: Robyn Denholm, Ira Ehrenpreis, Antonio Gracias, Stephen Jurveston, and Kimbal Musk. The dismissal was based on the argument that Musk wasnt the controlling stockholder, since he didnt own a majority of the stock in either company. Government attitude towards trade unions Different political systems and government have different attitude towards trade unions and collective bargaining. 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. Retrieved from http://www.iibms.org/c-7-effective-steps-to-solve-case-study/. Tesla's acquisition of SolarCity officially closed Monday morning, bringing together Elon Musk's electric vehicle company with the solar energy company founded by his cousins Lyndon and Peter . A greatly chaotic life goes into a very organized one. For example, the issues may be stated for marketing and the role of a marketing manager needs to be assumed. Through energetically pursuing feedback, new employees can rapidly learn about activities that are required to be altered to know which actions fit in finest with corporation culture and potential customers. 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. Management Decision, 50(8), 1396-1411. Tesla The SolarCity Acquisition should focus on making use of its strengths identified from the VRIO analysis to make the most of the opportunities identified from the PESTEL. The mangers should organize conferences so that brand-new employees can share the issues they deal with in the company. Tesla Energy Operations, Inc. is the clean energy division of Tesla, Inc. that develops, manufactures, sells and installs photovoltaic solar energy generation systems, battery energy storage products, as well as other related products and services to residential, commercial and industrial customers. Home >> Ivey >> Tesla The Solarcity Acquisition. One does not need to remain restricted to using the traditional SWOT analysis, but the advanced TOWS matrix or weighted average SWOT analysis can also be used. Tesla's Plan to Buy SolarCity Has Major Flaws. We try to cover all the bases in the field of Finance & Accounting, Financial analysis, Manufacturing, Mergers & acquisitions and other related areas. By 2009, solar panels it had installed were capable of generating 440 megawatts (MW) of power. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled. SWOT analyses and SWOT strategy formulation for forest owner cooperations in Austria. NPV = Net Cash In Flowt1 / (1+r)t1 + Net Cash In Flowt2 / (1+r)t2 + . Subscribe to our newsletter to receive news on update. The Competitors analysis of Tesla The SolarCity Acquisition looks at the direct and indirect competitors within the industry that it operates in. SWOT analysis stands for Strengths, Weaknesses, Opportunities and Threats. 8 Tips to Help You Prepare for the Case Method. VRIO stands for Value of the resource that Solarcity Tesla possess, Rareness of those resource, Imitation Risk that competitors pose, and Organizational Competence of Solarcity Tesla. Create link between the companies and crucial stake holders Harvard Business case studies represent real-life situations, and therefore, an analysis of the industry's competitive environment needs to be carried out to come up with more holistic case study solutions. Experience and actions of Tesla The Solarcity Acquisition Case Study Help. It shows that one has been clarified with the HBR fundamentals on the topic. New personnel ask enquiries about diverse functions of their tasks, corporation events, and concerns, and take an energetic part in producing the sense of their atmosphere. Thank you for your email subscription. Musk was set to be the first witness during the trial to defend his decisions as Teslas CEO. The division was founded on April 30, 2015, when Tesla CEO Elon Musk announced that the company . All the six elements are explained in context with Tesla: The SolarCity Acquisition macro-environment and how it impacts the businesses of the firm. Exploring SWOT analysis where are we now? Tesla: The SolarCity Acquisition has numerous instances where the competition regulations aspects can be scrutinized. 2019 Texas Business School. So, in other words, she had ups and downs in the whole year that she had actually invested in the company. Shareholders believed Tesla's acquisition of SolarCity in 2016 was a bailout of a company owned by two of Musk's cousins, which was unfair to them. Managers can use Porter Value Chain framework to disaggregate various processes and their relative costs in the Solarcity Tesla. Tesla Motors announced its intention to acquire solar panel installer SolarCity today, in what Tesla CEO Elon Musk described as a "no-brainer" deal. Place the order on the website to get your customized case solution done. Actionable and practical solutions can then be developed by keeping these factors into perspective. Lastly, each resource is assessed in terms of whether the organization can use it to an advantage or not. Question Marks are those strategic business units with high market share and low market growth rate. As mentioned above PESTEL Analysis has six elements political, economic, social, technological, environmental, and legal. The company should keep it in mind, while carrying out such steps. Building & Sustaining Competitive Advantages, Joe Mandato, Pete McNerney and Empathetics Case Study Solution, Managing Diversity and Inclusion at Yelp (B) Case Study Solution, Ethics and Integrity in Business: Navigating Ethical Risks and Transgressions in the Workplace (A) Case Study Solution, Branding BY-HEALTH: The Value of Transparency Case Study Solution, Club Sportif MAA: Staying Ahead of the Game Case Study Solution, CEO Succession at Cisco, Video Supplement Case Study Solution, Hisense's Internationalization Dilemma: Co-Operation with Loewe Case Study Solution, Kangaroo Tail Winery Limited (C) Case Study Solution, An Inside Perspective on Carbon Disclosure Case Study Solution, Case Study Solution | Assignment Help | Case Help, Case Description Tesla: The SolarCity Acquisition, Strategic Managment Tools Used in Case Study Analysis of Tesla: The SolarCity Acquisition, STEP 1. Despite these challenges, Tesla's value has massively increased following the Acquisition.". The organization can enter new markets with its existing products. This will help you in building a weighted SWOT analysis which reflects the real importance of factors rather than just tabulation of all the factors mentioned in the case. Should Solarcity Tesla enter new market or launch new product (Opportunities & Threats from SWOT Analysis) New York: Free Press. Solarcity Tesla needs to adjust its marketing strategy accordingly. Tesla The SolarCity Acquisition should enhance the value creating activities within its value chain. The following are the very best practices that the business executes in socializing and on boarding of newbies: It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the Tesla: The SolarCity Acquisition. That $60 million bill will be footed by insurers covering Teslas directors and executives as part of a derivative settlement agreement. Yet one story that has flown under the radar by the brash businessmans standards has been going on for four years now. Solarcity Tesla is in prime position to tap on those opportunities and grow the market share. As Director of Communications at LendEDU, Mike Brown uses data, usually from surveys and publicly available resources, to identify emerging personal finance trends and tell unique stories. The placement in these categories depends on the relative market share of the organization and the market growth of these strategic business units. r = discount rate or return that could be earned . These are usually in the form of strategies that the organisation can adopt. - Home market marketing technique wont work in new markets such as India and China where scale is prized over profitability. Your email address will not be published. It was backed by Musk, who served as chairman of the board at bothTeslaand SolarCity. This can be done by using company history. The trial has been postponed indefinitely and a new date has not yet been set. These are the threats that the industry faces due to new entrants. If a resource is high on Value, Rareness, and Imitability, then it brings an unused competitive advantage. One of the biggest issues with the deal was that Elon Musk was the largest shareholder of both Tesla and SolarCity at the time of the acquisition. You can use Porter Five Forces to analyze the industry in which Solarcity Tesla operates in and what are the levers of profitability in those segments differentiation, Financial analysis, Manufacturing, Mergers & acquisitions. (2013). The case solution first identifies the central issue to the TESLA THE SOLARCITY ACQUISITION - STUDENT SPREADSHEET case study, and the relevant stakeholders affected by this issue. The pv magazine editorial team includes specialists in equipment supply, manufacturing, policy, markets, balance of systems, and EPC. Teslas co-founder and CEO, Elon Musk, believed that the merger would generate significant cost and revenue synergies, based on his vision of the future of transportation, energy storage, and a green economy. Service, Dissertation The internal resources of Tesla The SolarCity Acquisition are listed down. 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. The shareholders also alleged that Musk controlled the board of Tesla, even though he appeared to recuse himself from some deal negotiations concerning SolarCity. After the $2.6 billion deal went through for Tesla to buy SolarCity, Tesla shareholders filed a lawsuit against Tesla/SolarCity/Musk and sought $2.6 billion in damages or the cost of the SolarCity acquisition.