Venture capitalist Paul Holland claimed that Tesla is manifesting an Art of War strategy in China. After the company joined the Chinese vehicle market, the expert claimed that the company is trying to bring down its competitor right at the heart of its home territory.
Last Tuesday, Paul Holland told CNBC that Tesla, the tech and vehicle heavyweight, have been doing operations in China with an Art of War business strategy. Holland, a venture capitalist, claimed that Elon Musk, the owner of Tesla, wishes to go against its toughest competitor in their very own territory.
Holland explained that Chinese electric-vehicle makers are Tesla's toughest competitors in the vehicle market today. He said that instead of dominating the vehicle market in Detroit, Tesla would compete with Chinese electric-vehicle makers in Shanghai instead.
Holland also manifested that Tesla's business strategy relates to the work of Sun Tzu, a renowned Chinese military leader who informed warfare strategists on how to gain a competitive advantage over opponents. He then hinted that the modern-day businesses and sports figures also use tactics discussed in the book The Art of War where Sun's philosophies were written.
Holland commanded that Musk is wise in his business tactics in China. He also hinted that the toughest competitors of Tesla are all based in China such as Byton who created Model 3 and labeled as the bestselling electric vehicle in the world. He also hinted that the second best-performing competitor of Tesla is also a Chinese company BAIC Group that is also based in Beijing.
He also claimed that Tesla's competitors have also recognized the company as a good comparison in determining the improvements that they want to bring to the vehicle market. He claimed that since his competitors are working with developers in Santa Clara, California, Musk's hometown, Tesla doubling its operations in Beijing and Shanghai is a wise move as well.
In other news, Forbes reported that Tesla has begun delivering its China-made Model 3 vehicles. However, it was hinted in the report that Tesla needs to improve its vehicle productions if it wants to cater to longer-term demand in the world's largest auto market.
After Musk danced on stage in Shanghai during a ceremony that announced Tesla's operations in China, he thanked the Chinese government for allowing the company's Shanghai factory to deploy cars off assembly lines in just a year. The report also indicated that the Shanghai plant is Tesla's first factory outside of the United States.
