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Strategy as What a Business Should Do Over Time to Succeed: A Case Study of Tesla, Inc

Author

Listed:
  • Murali Chari

    (Rensselaer Polytechnic Institute, New York, U.S.A.)

  • Vitor Fernandes M. Ferreira

    (Rensselaer Polytechnic Institute, New York, U.S.A.)

Abstract

Why businesses succeed or fail is a central question in strategy. Extant literature is well developed in explaining the relative success of firms at a point in time. There is not as much known, however, about what a business should do over time to succeed. We begin to address this gap with a study of Tesla, Inc. Following recommendations to ensure reliability and validity (Gibbert et al., 2008), we study how Tesla succeeded as a startup in the capital and scale intensive industry, when the relevant technology and supporting infrastructure were nonexistent. We contrast Tesla with its competitors to draw conclusions. We then articulate strategy insights from the study including for a preliminary theory of strategy as what a business should do over time to succeed.

Suggested Citation

  • Murali Chari & Vitor Fernandes M. Ferreira, 2025. "Strategy as What a Business Should Do Over Time to Succeed: A Case Study of Tesla, Inc," American Business Review, Pompea College of Business, University of New Haven, vol. 28(1), pages 319-343.
    • Handle: RePEc:ris:ambsrv:0138
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    File URL: https://digitalcommons.newhaven.edu/americanbusinessreview/vol28/iss1/15/
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    More about this item

    Keywords

    Business Strategy; Strategy; Case Study; Tesla Inc;
    All these keywords.

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General

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