Before completion of the construction of the third Tesla Gigafactory in Shanghai, China, there were three factories loca

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Before completion of the construction of the third Tesla
Gigafactory in Shanghai, China, there were three factories located
in California, New York and Nevada, the latter two are also
Gigafactory responsible for production of battery cells, solar
panels and energy storage. All electric vehicles were originally
manufactured in the factory in Fremont, California. Unlike other
auto manufacturers which sell the cars through dealers and agents,
Tesla sets up marketing subsidiaries in new foreign markets to sell
its own products and providing after-sale services.
Tesla began its global expansion and sold its first model –
Roadster to European countries in 2009. The first oversea showroom
was established in London, UK and the second one opened in Munich,
Germany. Today, Tesla sells its cars to 25 European countries and
the regional headquarter is in Netherlands. To serve the customers
better, reduce transportation costs and enhance the local
responsiveness, the fourth Gigafactory in Berlin, Germany is
planned to start production in 2022. Tesla also expanded its
business to Asia and the first showroom in Asia was established in
Tokyo, Japan in 2010. More showrooms were opened in other Asian
cities after launching Model S in 2012. The showrooms and service
centers in Hong Kong, Beijing and Shanghai were opened in 2013, two
showrooms in South Korea and one in Taiwan were opened in 2017.
In view of the continuous growth of the economy and more
affluent consumers in the major cities of China, Tesla decided to
build the first oversea manufacturing facility in Shanghai, China.
This factory started production in 2019 and reached the average
production rate of over 50,000 cars a month in the second half of
2021. Based on the latest report of China Passenger Car Association
that the monthly production of electric cars of Tesla’s Gigafactory
in Shanghai exceeding 70,000 in December 2021.
About half of the Tesla’s total production volume (936,172) in
2021 was made in China Gigafactory (473,078) in which about 320,000
sold in local China market and the rest was exported to other
European and Asian countries. At present, China is the second
largest market to Tesla after US and the sales of vehicles
accounted for 21% of the Tesla’s total sales in 2020.
Based on the case facts, briefly describe the evolution
of the Tesla’s global strategies. You need
to explain how adoption of different global strategies contributed
to its success.