Tesla in the Driver’s Seat
Case
Teaching Notes
Abstract
This is a decision critical incident that explores whether or not Tesla should grant an owner of a 60wKh vehicle the battery power typically reserved for owners of the 75wKh models after the owner called to ask for the extra battery power as he fled from the path of Hurricane Irma. It includes a discussion of factors a manager in this situation would have to weigh: safety and ethics considerations, the practice of price discrimination, and public relations issues that might result. The CI also asks readers to consider what additional questions managers of companies with emerging technologies must consider as traditional product offerings shift toward service- oriented offerings. This critical incident is appropriate for both undergraduate and graduate students in management, marketing, and strategy courses.
This case was prepared for inclusion in Sage Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.
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