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Vishu Bheda
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Medial • 9m
In January 2023, Tesla did something unthinkable: They slashed ALL prices by 20% & destroyed their profit margins overnight. No one understood why they did it. But Elon saw something no one else did... Here's the real explanation: In January 2023, Tesla surprised everyone by cutting prices on all models by 10-20%. The Model Y dropped by $13,000, and the Model 3 by $7,000. This move shocked Wall Street, caused Tesla’s stock to fall, and forced competitors like Ford to cut prices too. Why did Musk do it? Tesla’s direct-to-consumer model lets them adjust prices instantly. But the real plan was bigger—gain market share and focus on profits from software. Tesla’s Full Self-Driving (FSD) software, priced at $12,000, is pure profit and key to their future robotaxi plans. Even with no spending on ads, Tesla sells more EVs than competitors. Musk’s strategy is clear: dominate the market with innovation and software-driven revenue. If you like this then follow me Mr Z for more!
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