Business Communication Skills for Christensen - myassignmenthelp

Question: Discuss about theBusiness Communication Skills forClayton Christensen. Answer: Is Tesla Really a Disruptor? A disruptive innovation according to Clayton Christensen refers to the process which a product or a service takes cause initially in fewer applications at the lowest point of a market, then steadily moves up and substitutes the dominant competitors. The main argument is whether Tesla is in a position to alter the whole automobile sector (Cao, and Emadi, 2012, pp 125). The firm best poise to be performing well reflecting on the 500, 000 pre-orders of all-electric Model 3 to be shipped to non-employees. The company can be considered as innovative, considering its 14-year-old startup valuation which was over $53 billion. However, Tesla does not qualify to be described as being wildly creative or disruptively innovative since it is not bright enough the kind of technology the firm is using. This is because the electric cars which Tesla produces have been used for almost a decade now with no change in technology. The technology itself is considered to be expensive and weak compared to the internal combustion. For Tesla to be a disruptive innovation, it must make use of cheaper technology to produce substitutes that are of lower quality as compared to those provided by mature well-established competitors (Debe, 2012, pp 48). Subsequently, the disruptor battens its accomplishments, catching the industry unaware in the future. Additionally, it is recommended that as a result of the evolving technology, Tesla would introduce substitute products which are considered to be better and affordable right from the introduction stage (Massa, and Tucci, 2013, pp 18). Thus, initiating sudden renouncement of consumers away from the incumbents to the upcoming participants who best make use of the ability and change the economics of the disruptive technology. The Company can also apply the different paths to industry change. It may decide to offer a product that is more expensive, which will shift the buying patterns of the consumers due to its superiority (Kimble, and Wang, 2013, pp 15). The alternative helps redefine the expectations of the consumer thus leading to the creation of a new market space, and a prolonged period for revenue to grow, but at the same time shrinking the gains which cause the industry to fall and causes the sector to be reborn. This is based on new worth suggestion. The article gives a detailed argument for comparing and analyzing the four main appearances of innovating current vehicle models which are portrayed by Toyota, BYD, and Tesla. This study is based on the three major types of new energy vehicles which include hybrid cars from China, perfect electric cars, and the fuel cell vehicles (Eberle, Mller, and Von Helmolt, 2012, pp 8790). Tesla focuses on manufacturing electric luxury vehicles, targeting the rich individuals who pursue to have the best quality products and the need to attempt recently made brands. Chinas leading BYD brand attaches importance to conserving the environment and trying to curb air pollution. Finally, Toyota focuses on fuel cell vehicles and pure electric. The manufacture of new energy vehicles has to be based on an ecological environment that is innovative. With the growth of the new automotive industry, this technology has got a significant duty in leading to the growth of the automobile sector. The core technological development is the battery, motor, and the electric control technologies (Gong, Wang, and Wang, 2013, pp 215). Thus, growth of new energy vehicles is impacted by innovation and the ecological environment where proper utilization of resources, and creating cooperation with research institutes helps create a climate conducive to innovation. The market positioning is of significance when coming up with the new energy vehicles. This is because individuals do not have enough information regarding new energy vehicles. Creating awareness helps people understand the habits of the cars. Additionally, elaborating the acquisition of energy would be of significance when coming up with the new energy regulated vehicles. Hence, for the technology to succeed in the field and to gradually open up the market, the target population must be well stipulated. This helps to have a good competition in prices but occurs after creating a good understanding to the customers about the new energy vehicles. The critical feature to developing a new energy automotive understands the business model. A mature model is formed after a long-participation of all the sectors in the new energy automotive industry and the inter-market (Turton, and Moura, 2008, pp 1096). Thus the model developed for innovating new energy should involve the government, related to the enterprise, and should be related to the operations of the company, based on research. Mastering of the innovation path is also crucial in the development. Mastering enough technology in the new energy vehicle is seen to be the only way the industry will propel to achieve growth that is long-term. The stages undertaken by BYD are the most suitable for the manufacture of new energy cars. Having a clear understanding of the customers is important to determine how the firms tailor-make their products. For example, Tesla targets the rich in the society thus comes up with car brands that are luxurious, including sports cars. On the hand, BYD targets the public transportation sector, basing the technology of its vehicles to ET-Power of the. Based on the customers, appearance of the cars and the accessories used make them attractive. The source of energy to be used should as well be in a position to meet the desired needs and demands of the target users. This results in innovation of new energy by the companies that are involved in the production of vehicles such Tesla. The first article argues that there is little evidence to show that Tesla is an innovative company. It deliberates that the firm has a transition from manufacturing few cars to making massive productions of the same. Furthermore, investors prospect on the firm dominating a future that may feature self-standing vehicles and with sustainable energy consumption. However, the second article gives significant justification to show that the company is innovative enough (Mazloomi, and Gomes, 2012, pp 3029). The article shows that the firm has developed to become among the top ten most innovative organizations in the car industry, with solely over ten years of operation. The team associated with the firm all have technical knowledge which when put together significantly make the firm to be extra innovative. Second, the first article states that Tesla does not fit to be defined as a disruptive innovation. The argument behind this is that it cannot be precisely defined the kind of disruptive technology that the firm offers. This is because electric cars have been in place for a long time without becoming cheaper. However, the second article argues that the coming up of Teslas team to build a high degree of similar cars makes it achieve disruptive innovation among the incumbent industries. Despite the focus on having an entirely electric vehicle by all the sectors, Tesla has a design that is outstanding, with the interior materials being more luxurious. Their prioritization in luxury cars enables them to achieve success in their sales. Third, the article elaborates that there is uncertainty about Tesla becoming the winner in the automotive technology since other main companies manufacturing cars apply the same technology. In some instances, the make use of the same components (Thackeray, Wolverton, and Isaacs, 2012, pp 7858). However, the other article argues out that Tesla shared out its patent innovation with other firms, enhancing the growth of the new energy vehicle industry. The company aimed to encourage the development of the technology. The first article distinguishes Tesla from other companies such as iPhone which invented cell phones, PDAs, and even digital cameras. Nonetheless, the second article gives the company a thumbs-up as the only electric car firm that uses 18650 ternary battery. The Model S is the award winning car in European when we consider the road safety. Its body makes use of aluminum, hence the single in North America using the aluminum body. Tesla is compared to Netflix which is viewed as a disruptive innovator in the video rental market, first with DVDs and second by use of its live streaming. Also, there is no steady supply of revenue from any of it more mature products which help fund other progressive experimentations and research. Though, in the second article, we see the success of Tesla resulting from its unique business model (Richardson, 2013, pp 249). A Clear understanding of its customers and meeting their demand, and ensuring that the worth of the business is maintained is the main determinant of its progress. Development of high-end, highly performing sports cars and dominating the industry, has helped attract high-income earners. Its focus is on the public image that is perceived of celebrities. Tesla has got many vendors who provide it with credit. The firm also was in a position to acquire a huge sum of long-term money as a result of issuing common shares and preferred shares by the new US Department of E nergys Advanced Technology Vehicles Manufacturing projects. Bibliography Cao, J. and Emadi, A., 2012. A new battery/ultracapacitor hybrid energy storage system for electric, hybrid, and plug-in hybrid electric vehicles.IEEE Transactions on power electronics,27(1), pp.122-132. Debe, M.K., 2012. Electrocatalyst approaches and challenges for automotive fuel cells.Nature,486(7401), pp.43-51. Downes, L. and Nunes, P., 2014.Big bang disruption: business survival in the age of constant innovation. Penguin UK. Eberle, U., Mller, B. and Von Helmolt, R., 2012. Fuel cell electric vehicles and hydrogen infrastructure: status 2012.Energy Environmental Science,5(10), pp.8780-8798. Gong, H., Wang, M.Q. and Wang, H., 2013. New energy vehicles in China: policies, demonstration, and progress.Mitigation and Adaptation Strategies for Global Change,18(2), pp.207-228. Kimble, C. and Wang, H., 2013. China's new energy vehicles: value and innovation.Journal of Business Strategy,34(2), pp.13-20. Marquis, C., Zhang, H. and Zhou, L., 2013. China's quest to adopt electric vehicles. Massa, L. and Tucci, C.L., 2013. Business model innovation.The Oxford handbook of innovation management,20, p.18. Mazloomi, K. and Gomes, C., 2012. Hydrogen as an energy carrier: prospects and challenges.Renewable and Sustainable Energy Reviews,16(5), pp.3024-3033. Richardson, D.B., 2013. Electric vehicles and the electric grid: A review of modeling approaches, Impacts, and renewable energy integration.Renewable and Sustainable Energy Reviews,19, pp.247-254. Thackeray, M.M., Wolverton, C. and Isaacs, E.D., 2012. Electrical energy storage for transportationapproaching the limits of, and going beyond, lithium-ion batteries.Energy Environmental Science,5(7), pp.7854-7863. Turton, H. and Moura, F., 2008. Vehicle-to-grid systems for sustainable development: An integrated energy analysis.Technological Forecasting and Social Change,75(8), pp.1091-1108.