{"id":4364,"date":"2023-01-21T11:35:10","date_gmt":"2023-01-21T06:05:10","guid":{"rendered":"https:\/\/wordpress-1281449-4640047.cloudwaysapps.com\/analysis-tesla-is-using-its-profits-as-a-weapon-in-the-ev-price-war-tech-guess\/"},"modified":"2023-01-21T11:35:11","modified_gmt":"2023-01-21T06:05:11","slug":"evaluation-tesla-is-utilizing-its-income-as-a-weapon-within-the-ev-value-conflict-tech-guess","status":"publish","type":"post","link":"https:\/\/techguess.com\/evaluation-tesla-is-utilizing-its-income-as-a-weapon-within-the-ev-value-conflict-tech-guess\/","title":{"rendered":"Evaluation: Tesla is utilizing its income as a weapon within the EV value conflict\n\n | Tech Guess"},"content":{"rendered":"

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DETROIT, Jan 19 (Reuters) – Tesla Inc ( TSLA.O ) makes extra money for every automobile it sells than any of its world rivals. Now, CEO Elon Musk is utilizing that superior profitability as a weapon within the EV value conflict he is began.<\/p>\n

Tesla, as soon as one of many auto trade’s greatest money-losers, has taken a commanding lead over most main rivals in revenue per automobile over the previous yr, a Reuters evaluation of trade information reveals.<\/p>\n

Tesla earned $15,653 in gross revenue per automobile within the third quarter of 2022 – greater than twice that of Volkswagen AG ( VOVG_p.DE ), 4 instances that of comparable Toyota Motor Corp ( 7203.T ) and 5 instances that of Ford Motor Co (FN), in line with Reuters evaluation.<\/p>\n

For a lot of this yr, Tesla has joined rivals in aggressively elevating the costs of its hottest automobiles, such because the Mannequin I SUV. Shortages of semiconductors and different supplies have decreased manufacturing within the auto trade, permitting corporations throughout the trade to give attention to higher-margin fashions and put up massive income, whilst gross sales volumes have fallen.<\/p>\n

Tesla’s choice to reverse course and spend its manufacturing value benefit on value cuts now calls into query profit-above-volume methods that established automakers similar to GM have pursued for the reason that 2008 monetary disaster and doubled down in the course of the pandemic.<\/p>\n

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