Business Disruption: Tesla & Elon Musk

Business disruption has seen the rise of leaders within nearly every industry. Those who choose to move against the grain have been among company such as Steve Jobs, Jeff Bezos, and many more. They systematically changed how business is done by elon musktaking a different approach to leadership and operations and succeeding in doing so. Civil, business disruption is the cornerstone to improvement across industries from quality of product/service to efficiency improvements. In today’s marketplace many know of the disruptor that created Tesla, Elon Musk. Lets look into the foundation behind this rarity in the world of innovation, the “High end disruptor”.

Fitting to the mold of disruption, Elon Musk injected Tesla, a forward thinking, innovative car into an age old industry that some would say is set in its ways. Disruptors often break into markets by providing cost-leadership deals to drive buzz and word of mouth but Musk took the polar opposite approach in how he launched Tesla, by making it a top-of-the-line option for buyers.

Business Professor Jeff Dyer dissected the market entry by citing their “leap-frog” entry over the top of the industry’s heads. By setting price at the high end they are already giving themselves the opportunity to be the new alternative to a stagnant industry as well as being the best at what they do. They essentially have gotten big fast and gotten it right all at once. Pulling design and body composition from their sister program SpaceX, the program that plans to commercialize space flight. The body of their cars are inspired by the aluminum frame and aerodynamic designs that SpaceX’s scientists use.

A company that Tesla can compare themselves to in their infantile state is one that everyone knows, Apple. Apple broke onto the scene by offering a more functional, more expensive alternative to the Sony Walkman and since that point, the rest has been history for the gadget and tech giant.



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