Tesla Moves to Online-Only Sales to Reduce Car Prices
Tesla Reduces Car prices: Good news for Tesla buyers !!
In order to reduce company costs, Tesla announced that they are closing down most of their physical stores.
Very few of the stores in busy areas will remain open acting as galleries and “information centers.”
The Co-founder and CEO, Elon Musk said, the shift to online exclusivity is being done to lower the price of all Tesla cars by 6% !!
Model 3 cars who had a previous starting price of $42,900 will now be available for sale at a much lower price point!
“This is the only way to achieve savings for this car and be financially sustainable. It is excruciatingly difficult to make this car for $ 35,000 and be financially sustainable. I wish there was some other way.”- Elon Musk via “The Guardian.”
Musk hopes that reduced prices will attract a wider range of consumers and induce more sales.
With this new cost of $ 35,000, it provides an estimation that there is enough demand for the car to achieve 500,000 sales annually.
In January Tesla made an announcement to lay off 7 % of their full-time workforce. Tesla posted a letter online on Friday to let know workers about the job cuts.