General Motors Forms A Task To Watch Tesla Motors
General Motors chief executive officer Dan Akerson has created a task force to look at the impact that other cars are making, according to CNN. The primary competitor that the task force is observe is Tesla Motors. GM has likely learned in the past not to underestimate their competition.
“He thinks Tesla could be a big disrupter if we’re not careful. History is littered with big companies that ignored innovation that was coming their way because you didn’t know where you could be disrupted,” stated GM Vice Chairman Steve Girsky.
GM, Ford, and Chrysler were caught off guard when their Japanese rivals Toyota and Honda quickly surged in marketshare for the sales of energy efficient vehicles. Toyota is now the largest automaker in the world while GM had to take a federal bailout in 2009.
GM is still Goliath in the auto sector. GM sold 2.5 million vehicles in Q2 while Tesla Motors is expecting to sell 5,000 cars for the same quarter. This is likely due to the higher prices of Tesla vehicles. If Tesla Motors can scale their production and drive down costs, demand for their vehicles will give other auto companies a run for their money.
The Tesla Model S is reported to be the best car that Consumer Reports every reviewed.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry