Naivgant Research Predicts 2014 Will be a Challenging Year For Tesla Motors
2013 should be considered a highly successful year for Tesla Motors.
Aside from a few setbacks, which mostly affected only the TSLA stock price, Tesla whizzed through 2013 with hardly any issues, but Navigant Research thinks that Tesla will face a challenging 2014.
According to Navigant, Tesla’s biggest challenge in 2014 will be to scale up production of the Model S without reducing its quality. We don’t see this as being an issue though, as Tesla has proven time and again that it’s able to slowly increase production with little to no impact on quality.
The other challenge Navigant sees is in the rollout of the US Supercharger network. Navigant suggests it’ll cost Tesla Motors $62 million to expand the Supercharger network in the US in 2014. Honestly, $62 million isn’t a lot of dough when an automaker has a market cap of $18.3 billion, so again we see this is a non issue.
However, we do agree with Navigant’s assessment that it’ll be challenging for Tesla Motors to sell the Model S in new markets, especially in the untested waters of China. Model S deliveries in China are expected to commence before the end of Q1 2014.
The real 2014 challenge for Tesla Motors lies in getting the Model X to market. It’s long been promised that the Model X will launch in 2014, so we fully expect Tesla to stick to that. However, Tesla will then have two vehicle rolling down the production line for the first time in the automaker’s history. Getting both the Model S and Model X out of the factory and into hands of buyers at the same time will be Tesla’s biggest 2014 challenge. At least that’s how we see it.
Source: Green Car Congress