Tuesday January 28, 2020
Home Lead Story Tesla CEO Elo...

Tesla CEO Elon Musk Explains its Store Closures to Employees

The announcement was followed by a slashing of retail employees compensation and closure of the first set of stores

0
//
Tesla CEO Elon musk, board
Tesla CEO Elon Musk. (VOA)

Electric Vehicle (EV) maker Tesla’s CEO Elon Musk emailed staffers to explain the situation at the company in the wake of his announcement of closing several of its retail stores and go all-in with online car sales.

“In a new email to employees, Tesla CEO Elon Musk acknowledged some ‘uncertainty’ among the company’s salespeople regarding the sales strategy transition as he tries to reassure them with more details about his plans and expectations,” the Electrek reported on Thursday.

“Stores with a high visitation rate and that lead to significant sales will absolutely not be closed down. It would not make any sense to do so, except in rare cases where the rent is absurdly high. Moreover, Tesla will continue to open stores throughout the world that meet the above criteria,” Musk wrote in an email to his employees.

tesla
Visitors inspect Tesla electric cars at Brussels Motor Show, Belgium, Jan. 18, 2019. VOA

Meanwhile, stores that are in a location with low visitation rates (i.e. empty most of their opening hours) and lead to low sales would be gradually shut down.

When the EV maker launched its long-promised $35,000 version of the Model 3 earlier in March, Musk said they plan to make that price viable by moving all sales online only, thus, closing stores and reducing retail headcount.

Also Read- Contamination Of Contaminating Groundwater In Assam Remains A Silent Issue

The announcement was followed by a slashing of retail employees compensation and closure of the first set of stores. (IANS)

Next Story

Tesla CEO Elon Musk Allays Environmental Fears on Tesla’s Plant in Germany

The Berlin unit will manufacture SUV Model Y, which could go into production by 2021. The unit could initially employ 3,000 people. The headcount could rise to 7,000

1
Tesla logo
A Tesla logo is seen in Los Angeles, California. VOA

Tesla CEO Elon Musk has responded to environmental concerns including excessive water use for building the massive ‘Gigafactory 4’ near Berlin to produce electric cars for the European market, saying that such concerns were baseless.

The leading non-profit organization BUND (Friends of the Earth Germany) met Tesla officials last week to discuss possible environmental pollution from the planned Gigafactory.

“Sounds like we need to clear up a few things! Tesla won’t use this much net water on a daily basis. It’s possibly a rare peak usage case, but not an everyday event,” tweeted Musk.

“Also, this is not a natural forest a” it was planted for use as cardboard & only a small part will be used for GF4,” he added.

Tesla CEO Elon musk, board
Tesla CEO Elon Musk. (VOA)

The site where the Gigafactory will be built has invited protests over concerns that the facility will excessively use water and cause deforestation by destroying 300 hectares of forest.

“Giga Berlin will build sustainable energy vehicles using sustainable energy, so net environmental impact will be extremely positive!” Musk said.

Also Read: OPPO Joins Hands with IIT Hyderabad to Boost AI, 5G Integration

After Shanghai in China, Musk selected Berlin as Tesla’s next gigafactory outside the US where the company is planning to invest 4 billion euros ($4.4 billion) and produce 150,000 cars a year.

The Berlin unit will manufacture SUV Model Y, which could go into production by 2021. The unit could initially employ 3,000 people. The headcount could rise to 7,000. (IANS)