Right now most auto makers are playing catch up to Tesla in the electric car race, who had an early start. But one consulting firm has said that once the other manufacturers get the ball rolling, Tesla will drop in its dominance.
Right now most manufacturers are scrambling around and throwing their time and money towards electric vehicles to be able to meet all the regulations coming in the next two decades. Tesla has been able to have an early movers advantage in the EV race, but what will happen once the other major auto makers get everything in order and start releasing electric cars of their own?
Well according to P.A Consulting Group, a consulting agency that specializes in management consulting, technology, and innovation, Tesla will start to fall. Their ranking system factors in the strategy, battery technology, culture, supplier networks, partnerships and financial performance into an overall score.
And while Tesla leads currently in those categories, there will be a strong push from the German auto makers in the next two years. (Along with the Renault/Nissan/Mitsubishi Alliance)
According to PA Consulting, Tesla will drop all the way down to seventh-place. The early 2020s is the target date for a lot of fully electric vehicles from the likes of Daimler, BMW, and Volkswagen, so there will be a surge of new competition. For Tesla, the constant Model 3 production issues and uncertain profit outlook were major factors in lowering the companies ranking, according to PA Consulting.
Now obviously I don’t work for a consulting agency, so what do I know? But the Model 3’s production issues seem to been finally coming to a head (fingers crossed) and by 2021 we should see the Model Y (again fingers crossed) being built in the Gigafactory 3 in China. Yes, everything could go wrong, the Model 3 could slip back into production hell, the factory in China might not make deadlines, and the Model Y may never ever come out. But if all goes right for Elon Musk and Tesla then I don’t see them following down to 7th place on any sort of EV ranking.
Tesla isn’t the only one that will be scrutinized, all these automakers will be releasing their first serious mass produced electric cars in the next few years. There will be many things that could go wrong for each company as they try to transition into electrics. What do you guys think? How would you rank the above companies?
Source: Bloomberg
