tesla the solarcity acquisition case solution

For example why the change effort failed in the case and what can be done to rectify it. - Demographic shifts in the economy are also a good social indicator for Solarcity Tesla to predict not only overall trend in market but also demand for Solarcity Tesla product among its core customer segments. CNBC. to get Coupon Code. In every corporation, it is important to practice a variety of approaches to socialize BPI policies. By subscribing to our newsletter youll be eligible for a 10% discount on magazine subscriptions! We are expecting that more than 100 people may well gather in connection with this trial. It is important to have more than one solution to the case study. Porter, M.E. 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. Making matters worse, it was alleged that Musk knew of SolarCitys financial troubles at the time of the deal so it appeared to be more of a bailout than an acquisition. In some HBR case studies, one may be required to analyse an issue at a department. It helps decide whether an organization should pursue future expansion in new markets and products or should it focus on existing markets and products. All Rights Reserved. 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. Furthermore, it needs to be explained how the stated recommendations will help in solving the main issue mentioned in the case and where the company will stand in the future as a result of these. Tesla: The SolarCity Acquisition is a Harvard Business (HBR) Case Study on casecategory , Texas Business School provides HBR case study assignment help for just $9. 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. International Journal of Modern Social Sciences, 2(1), 34-43. The Possible locations of Mismatched Expectation in between Tesla The Solarcity Acquisition Case Study Help and Company Please place the order on the website to get your own originally done case solution. Retrieved from http://www.iibms.org/c-7-effective-steps-to-solve-case-study/. In the Texas Business School, Tesla: The SolarCity Acquisition case study solution following strategic tools are used - 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. After this, the relevant tools and models are used, which help in the case study analysis and case study solution. Retrieved from https://poetsandquants.com/2015/09/29/how-they-teach-the-case-method-at-harvard-business-school/. Tesla: The SolarCity Acquisition case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The Tesla: The SolarCity Acquisition (referred as "Solarcity Tesla" from here on) case study provides evaluation & decision scenario in field of Finance & Accounting. Import restrictions on products Before entering the new market, Solarcity Tesla in case study Tesla: The SolarCity Acquisition" should look into the import restrictions that may be present in the prospective market. 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 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. The abilities they gain from their training session must be implemented in their work, and for that, the manager is responsible to aware them about their mindset and lacking at field work. Evaluating Alternatives / SWOT Analysis of Tesla: The SolarCity Acquisition case study, STEP 5. Made with sweat-wicking fabric. MBA and EMBA professional can take advantage of these situations to - apply theoretical framework, recommend new processes, and use quantitative methods to suggest course of action. This includes the advertisement, public relations, personal selling, sales promotion, and direct marketing. Corporate Taxes The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Elon Musk took the stand on Monday to defend Tesla's 2016 acquisition of SolarCity against a lawsuit by shareholders seeking to recoup the $2.6bn the company paid for the ailing solar panel . This is an analysis carried out to know about the internal strengths and capabilities of Tesla The SolarCity Acquisition. Now That Tesla Has Approval to Buy SolarCity, Here's What a Combined Company Might Look Like 70 On November 17, Tesla shareholders approved the acquisition of SolarCity in an all-stock. According to Michael Porter Competitive Advantage is a relative term and has to be understood in the context of rivalry within an industry. This tool is used in the case study analysis as follows: Recognizing value creating activities and enhancing the value that they create allow Tesla The SolarCity Acquisition to increase its competitive advantage. The task subordinate did not ask to do any work. 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. Accordingly, we never encourage or endorse its direct - Property rights are also an area of concern for Solarcity Tesla as it needs to make significant Financial analysis, Manufacturing, Mergers & acquisitions infrastructure investment just to enter new market. A Division of NBCUniversal. SolarCity was founded in 2006 by Musk's cousins, Peter and Lyndon Rive. Case study solutions are career defining. The pv magazine editorial team includes specialists in equipment supply, manufacturing, policy, markets, balance of systems, and EPC. November 1, 2016. The entryway into the company was just the start of the journey, and the newly picked employees needed to reveal themselves valuable for business, by clearing all the assessments at the end of their training. Hill, C., & Jones, G. (2010). In fact, Lynn . Strategic Change, 7(2), 101-109. The next step is of understanding the company; its people, their priorities and the overall culture. pv magazine offers daily updates of the latest photovoltaics news. Both companies had similar products and could be a strong strategic fit. To do comprehensive PESTEL analysis of case study Tesla: The SolarCity Acquisition , we have researched numerous components under the six factors of PESTEL analysis. The alternate solution for Tesla The SolarCity Acquisition is presented in the same way as the original solution, where it consists of a corporate level strategy, business level strategy and other recommendations. The Tesla: The SolarCity Acquisition (referred as Solarcity Tesla from here on) case study provides evaluation & decision scenario in field of Finance & Accounting. SWOT analysis stands for Strengths, Weaknesses, Opportunities and Threats. Most recent surveys suggest that around 76 % students try professional 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 . Perhaps, it supplies you chances to advance in your career, and can demonstrate that you can manage the tight spots. Your email address will not be published. But, as the coronavirus pandemic has impacted everything from the finances of Americans to the future of college, the court proceedings for the Tesla-Musk-SolarCity battle were postponed on March 13. Industry Specific / Porter Five Forces Analysis of Tesla: The SolarCity Acquisition case study, STEP 4. Porter, M. E. (1985). 1. Socialization and Beginner on boarding practices in other industries - Consumer buying behavior and consumer buying process Solarcity Tesla should closely follow the dynamics of why and how the consumers are buying the products both in existing categories and in segments that Solarcity Tesla wants to enter. Strategic rationale: The acquisition of SolarCity will create the world's only integrated sustainable energy company, from energy generation to storage to transportation. ", 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%. Create link between the companies and crucial stake holders But the share price dropped for both of companies when SolarCity accepted the 2.6 $ billion acquisition offer which counted as half of its value one year ago. At other times, finding the issue is the job of the person analysing the case. 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. WILMINGTON, Del. Principles of marketing. 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. In Porter's Five Forces analysis, the industry is analysed along 5 dimensions. Save my name, email, and website in this browser for the next time I comment. Kulkarni, N. (2018). The matter could be appealed to the Delaware Supreme Court. If you have BIG dreams to score BIG, think out Since that point, a couple of things have happened in the Musk/Tesla/SolarCity struggle. One of the microenvironmental factors are competitors, which are addressed by a competitor analysis. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com. As in training, she shared her expectations of discovering with bit enjoyable, and everybody began laughing screamingly, which was the habits she didn't expect in the business. 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. Kim, W. C., & Mauborgne, R. (2004). He also said the merger allowed Tesla to combine its battery business with Solar City's solar photovoltaics installations. Musk's aerospace company, SpaceX, had also purchased tens of millions of dollars worth of solar bonds from SolarCity. submission, reproduction, or any other misuse in any manner. Dogs are those strategic business units with low market share and low growth rate. - High customer loyalty & repeat purchase among existing customers Solarcity Tesla old customers are still loyal to the firm even though it has limited success with millennial. Managers at Tesla: The SolarCity Acquisition case study have to assess whether their business can benefit from such government assistance and subsidies. Relevant strategies should be implemented for each strategic business unit depending on its position in the matrix. During his testimony, contradicting those emails, Musk repeatedly argued that Solar City would have been able to raise capital even if it hadn't been acquired by Tesla. Should Solarcity Tesla enter new market or launch new product (Opportunities & Threats from SWOT Analysis) Integrity, Essay Writing Each resource is assessed in terms of how rare it is. Be lively to the degree that who, when and what on boarding. SolarCity was widely considered one of the best solar companies in the years leading up to . Competitive advantage: creating and sustaining superior performance (Vol. 2). Introduction- The Merger The merging of Tesla and SolarCity was a pivotal moment in the histories of both businesses. Green Data Dash. The article written below is not related to the actual case in discussion, It is for formatting purposes only. A good implementation framework shows the proposed plan and how the organisations' resources would be used to achieve the objectives. To tackle the menace of corruption a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm. Why you choose one course of action over the other. By using the above frameworks for Tesla: The SolarCity Acquisition case study solutions, you can clearly draw conclusions on the following areas View our privacy policy. In mid-2016, the chief executive officer of Tesla, a U.S. manufacturer of electric cars, was interested in acquiring SolarCity, a U.S. solar power manufacturer and distributor. If a country doesnt have independent judiciary then there is no point entry into such a country for business. The organization can enter new markets with its existing products. This is also a strategic tool that is used to analyse the competitive environment of the industry in which Tesla The SolarCity Acquisition operates in. As pv magazine reported back in March 2018, a Delaware judge rejected a request from Musk and Tesla to dismiss the lawsuit. It also touches upon business topics such as - Value proposition, Financial analysis, Manufacturing, Mergers & acquisitions. All the six elements are explained in context with Tesla: The SolarCity Acquisition macro-environment and how it impacts the businesses of the firm. It also helps one in developing the case study solutions. Lastly, a good case study solution also includes an implementation plan for the recommendation strategies. Abstract In 2016, electric car manufacturer Tesla announced that it was making an offer to acquire solar panel manufacturer SolarCity in an all-stock offer worth $2.6 billion in Tesla stock. Yet one story that has flown under the radar by the brash businessmans standards has been going on for four years now.