Tesla has certainly experienced its fair share of public chaos over the past year.
Now, let me start by saying that Tesla has made some interesting (I don’t use this word casually) strides in the auto industry while the general shift is away from fossil fuels. For example, refusing to sell consumers another car if they assert their rights under state lemon laws.
However, based on the news, there seems to be plenty of unrest happening with the company from top to bottom. A recent report from CNN is predicting that sales are projected to drop in the near future.
Elon Musk, the man behind the brand, has landed himself and the company in all sorts of hot water. It is said, he has made enemies with investors, customers, government officials, lawyers, and more.
While nothing is set in stone, there have been several blaring signs that a potential nosedive is lurking behind the corner for the electric car innovator. Here are three of the big ones.
Trouble at the Top
Tesla is no stranger to high executive turnover rates. The past year has been no exception.
Perhaps the most concerning part is that the company’s high-profile departures have come from various departments; including manufacturing, communications, engineering, sales, human resources, and finance. Some of the key people to leave over the past year were:
- Sarah O-Brian, Vice President of Communications
- Gabrielle Toledano, Chief People Officer
- Dave Morton, Chief Accounting Officer
- Justin McAnear, Vice President of Worldwide Finance
These are just a few of the many high-ranking executives to leave. One of the biggest surprises with February was that Tesla’s top lawyer, Dane Butswinkas, left the company after a mere two months!
While the reasons behind these departures are not clear, the fact that high-ranking employees are dropping this quickly is not a sign of consistency.
Additionally, at the very top, Musk’s relationship with the media hasn’t exactly been smooth. It can be said that this pattern started last April, when Musk tweeted that Tesla went bankrupt. This was an April Fool’s joke to poke fun at questions regarding the company’s financial wellbeing.
Needless to say, investors and analysts were not amused.
A great deal of Musk’s/Tesla’s criticism started in the summer of 2018 when he tweeted about the possibility of taking the company private.