What are the key factors behind Tesla Model Y's price cut?
On January 1, 2021, with the ringing of the New Year’s Eve bell, the long-life version and the high-performance version of the domestic Tesla Model Y series were reduced by 140,000 yuan and 160,000 yuan respectively compared with the imported version. The official guide price It is 339,900 yuan for the long-life version and 369,900 yuan for the high-performance version. The price reduction ratio is about 30%. Generally speaking, 1% of the price of a car is advertising expenses, and Tesla (TSLA.US) is a maverick company. It has no advertising in its business model, but the 30% price reduction of domestic models really makes peers compete. The audience was amazed. As a listed company that sells pure electric vehicles as its main business, why can Tesla make such an exaggerated move? Seize the market To understand Tesla's actions, we must first start with Tesla's business strategy. Tesla’s first sales in China was in 2014. According to its financial report, Tesla’s revenue in