A detailed implementation framework helps in distinguishing between an average and an above average case study answer. The firm needs to assess its comfort dealing with the unions and regulations regarding unions in a given market or industry. Strategic attributes and performance in the BCG matrixA PIMS-based analysis of industrial product businesses. Tariffs Chekout how much tariffs the firm needs to pay in the Tesla: The SolarCity Acquisition case study. 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. - Little experience of international market Even though it is a major player in local market, Solarcity Tesla has little experience in international market. Solarcity Tesla needs to restructure its IT policies to accommodate these changes. She went through with the procedure of technical training, where she had to face lots of issues and hard situations. At times in a case analysis, the problem may be clearly evident in the reading of the HBR case. SWOT analyses and SWOT strategy formulation for forest owner cooperations in Austria. 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. It was backed by Musk, who served as chairman of the board at bothTeslaand SolarCity. Obviously, some approaches would work well than others, in the business. Elon Musk, chief executive officer of Tesla Inc., arrives at court during the SolarCity trial in Wilmington, Delaware, U.S., on Tuesday, July 13, 2021. If a resource is high on Value and Rareness, then it only brings temporary competitive advantage. Pearson education. 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. The strategies devised and included in the Tesla The SolarCity Acquisition case memo should have a blue ocean strategy. Usage creativity, and promote the process. Strategic Change, 7(2), 101-109. - 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. What are the strength and weaknesses of Solarcity Tesla (SWOT Analysis) Relevant strategies should be implemented for each strategic business unit depending on its position in the matrix. In January of this yeaar, every single one of Teslas directors, with the exception of Elon Musk, agreed to a $60 million settlement to resolve shareholder disputes regarding the Tesla acquisition of SolarCity in 2016. Solution, Assignment Writing According to the plaintiffs, as Tesla's controlling stockholder, Elon caused Tesla's servile Board to approve the Acquisition of an insolvent SolarCity at a patently unfair price, following a highly flawed process, in order to bail out his please submit your details here. 2023 CNBC LLC. The Tesla The SolarCity Acquisition case consisted of a central issue to the organization, which had to be identified, analysed and creative solutions had to be drawn to tackle the issue. Elon Musk is testifying Monday morning in a lawsuit over Tesla's 2016 acquisition of SolarCity, a $2.6 billion transaction that a group of shareholders allege was a "bailout" of the failing . SWOT analysis will help us in not only getting a better insight into Solarcity Tesla present competitive advantage but also help us in how things have to evolve to maintain and consolidate the competitive advantage. As the name suggests Value Chain framework is developed by Michael Porter in 1980s and it is primarily used for analyzing Solarcity Tesla relative cost and value structure. Socializing of the company, or on boarding, is a treatment through which new workers transfer from being business outsiders, and end up being business insiders. Gupta, A. In the EU countries, firms are required to make special provision for privacy issues and other laws. Lastly, the overall rivalry or competition within the industry is analysed. She understood that a lot of the important things had altered in the office in addition to the changes in the method she was, at the initiation of the job. It can include recommendations on how the organisation can work towards achieving these strategic objectives. Neither Tesla nor the directors gave comment on the partial settlement but court filings had Tesla officials defending the SolarCity acquisition by saying both the process and the price of this acquisition were inherently fair to Teslas shareholders.. It involves looking at the current market share of the company and its competitors. Posted by Peter Williams on To summarize, the following expectations were mismatched with the business: Direct and prospective action plan - 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. Vice Chancellor Joseph R. Slights, who decided the case shortly before retiring, sided with Musk, writing: "Elon was more involved in the process than a conflicted fiduciary should be. This is an analysis carried out to know about the internal strengths and capabilities of Tesla The SolarCity Acquisition. You can use Porter Five Forces to analyze the industry in which Solarcity Tesla operates in and what are the levers of profitability in those segments differentiation, Financial analysis, Manufacturing, Mergers & acquisitions. All your payments are secure with Paypal security. WILMINGTON, Del. Proposal, Assignment Writing Both Tesla and SolarCity operated in young, high-growth industries; however, despite their high growth rates, both companies were also losing money every year. New personnel ask enquiries about diverse functions of their tasks, corporation events, and concerns, and take an energetic part in producing the sense of their atmosphere. In a nutshell, if I was in the location of Tesla The Solarcity Acquisition Case Study Solution, I would have sustained to stay in the business with possible action plan in her scenarios. This will help in answering the related costs and various sources of competitive advantages of Solarcity Tesla in the markets it operates in. 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 . (2015). - Political and Legal Structure The political system seems stable and there is consistency in both economic policies and foreign policies. View our privacy policy. Perform standard concepts prior to the first day at business. Relative Weighted Average Market Share Vs Largest Competitor. This is known as product development strategy. Awareness of the common situations can help MBA & EMBA professionals read the case study more efficiently, discuss it more effectively among the team members, narrow down the options, and write cogently. Email us directly at caseanalysisteam(at)gmail(dot)com if you want to solve the case. 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. The division was founded on April 30, 2015, when Tesla CEO Elon Musk announced that the company . Tesla The Solarcity Acquisition Case Solution is simply one of the simplest approaches to make money writing. 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. It also helps one in developing the case study solutions. Lack of practical capabilities in the business, and the possible jobs to be untaken for a significant variety of time need to be avoided in the business. In the first step, a growth path of the company can be formulated that lays down its vision, mission and strategic aims. Free Management E-Books. One-to-one discussions. Amanda is strategy expert at Texas Business School . The level of tariffs will determine the viability of the business model that the firm is contemplating. Texas Business School approach of case study analysis Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. Management, 3rd edition. It also touches upon business topics such as - Marketing Mix, Product, Price, Place, Promotion, 4P, Financial analysis, Manufacturing, Mergers & acquisitions. Foreign Direct Investment Policies Government policies favors local companies over international policies, Solarcity Tesla in case study Tesla: The SolarCity Acquisition should understand in minute details regarding the Foreign Direct Investment policies of the prospective market. (SolarCity) and with Tesla's financial advisor for the deal without the knowledge of the Tesla Board. This issue may be analysed for a manager or employee as well. 2019 Texas Business School. Tesla: The SolarCity Acquisition case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. Directors of Tesla Inc settled a shareholder lawsuit over the company's 2016 acquisition of SolarCity Corp, leaving Chief Executive Officer Elon Musk as the lone defendant facing claims that Tesla . 100% money back guarantee if the quality doesn't match the promise, If the work we produce contain plagiarism then we payback 1000 USD. If the Merger does not occur, Tesla and SolarCity may incur these costs without realizing any of the benefits of the Merger being completed.In addition, if the Merger is not completed, Tesla and/or SolarCity may experience negative reactions from the financial markets and from their respective customers and employees.Tesla and/or SolarCity could also be subject to litigation related to any . 8 Tips to Help You Prepare for the Case Method. The solar company was run by Elon Musk's cousins, and some Tesla shareholders argued the deal was a bailout. Integrity, Marketing strategy of Tesla The SolarCity Acquisition, Marketing Mix Of Tesla The SolarCity Acquisition, Tesla The SolarCity Acquisition Case Study Solution, 3-Joe-Smith-s-Closing-Analysis-A-Spanish-Version, 23558-The-Multichannel-Challenge-at-Natura-in-Beauty-and-Personal-Care, 23559-Masdar-City-Initiative-One-Step-in-the-United-Arab-Emirates-Journey-to-a-New-Energy-Economy, 23560-Neuromarketing-Inside-the-Mind-of-the-Consumer, 23561-Strategies-for-Higher-Education-in-the-Digital-Age, 23564-Diversity-s-New-Frontier-Diversity-of-Thought, 23565-Leadership-Forum-The-Role-of-the-LGBTQ-Ally, 23566-Updating-the-Image-of-the-Ideal-Worker, 23567-Whitening-and-Self-Presentation-in-the-Labour-Market. In some HBR case studies, one may be required to analyse an issue at a department. Analyse the companys price points and devise strategies that could be based on competition, value or cost. She thought about the task assigned to her as a video game so that she might take pleasure in the work. PESTLE Techniquea Tool to Identify External Risks in Construction Projects. The challenges involve evaluation of strategic options, key role of casecategory, leadership qualities of the protagonist, and dynamics of the external environment. All personnel or all hands conferences. 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. But not everyone is negative. - Consumer activism is significantly impacting Solarcity Tesla branding, marketing and corporate social responsibility (CSR) initiatives. . The objective of the case should be focused on. in. Product Market segmentation in BCG Growth Share matrix should be done with great care as there can be a scenario where Solarcity Tesla can be market leader in the industry without being a dominant player or segment leader in any of the segment. The following step-by-step procedure can be used to organise the Harvard Business case solution and recommendations: The case study analysis and solution, and Tesla The SolarCity Acquisition case answers should be written down in the Tesla The SolarCity Acquisition case memo, clearly identifying which part shows what. These are either to further develop the product, penetrate the market, develop the market, diversification, investing or divesting. According to emails that were part of evidence in the trial, Musk wrote an e-mail to SolarCity CFO Brad Buss on Sept. 18, 2016, saying that to get Tesla investors on board with the deal, SolarCity needed to get a handle on its liquidity problem and sign a letter of intent for a contract with Panasonic. 2 min read. This could be mentioned at the start of the reading, the middle or the end. Tesla CEO Elon Musk wrapped up his testimony before the Delaware Court of Chancery on Tuesday afternoon, after spending around 9 hours defending his company's 2016. But if the tariffs are between 5-10% then Solarcity Tesla can compete against other competitors. What's swot in strategic analysis? We want to hear from you. Elon Musk was acting as a proper chief executive officer as Tesla Inc. weighed the purchase of power provider SolarCity in 2016, his longtime ally and fellow Tesla director . Is this merger a good idea?