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Answering assigned questions about Tesla Motors Company - Assignment Example

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The company also deals with the purchase of powertrain component of advanced electric vehicle (Mangram & Edwin, 20). Tesla motors provide services for the creation of components of electric power train. It…
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Answering assigned questions about Tesla Motors Company
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Global acquisition and mergers activity has gone up in the current year. The year has registered an increase in activities of acquisition and mergers because of a number of reasons including; favorable credit markets, increased cash amount on balance sheets of corporate organizations, decreased interest rates and rise in stock market strength. Acquisition and mergers have become an option for the companies due to elusive internal growth. The rampant consolidations have forced shareholders to support the move with the aim of ensuring their businesses are able to acquire market shares.

Research has indicated a rise in shares of both the sellers and buyers related to the announcement of mergers and acquisitions. One of the rumors this year is the possibilities of apple acquiring or merging with the Tesla motors (Mangram & Edwin, 28). The chief executive of the two companies has been in discussion this year pertaining to the same. For a business to be able to be among the best firms in the world, tesla still has a long way to go. It requires a product lineup that is bigger and it also has to hit the points of mass market price.

The company has to come up with effective ways or system in place that will be essential in ensuring the cars manufactured are well distributed. The company also needs an innovation in battery technology. A new battery that will take a long time before it is recharged is required by the business to drive the wheels of the vehicle. The company also need to continue being competitive in the market. The company has to deal with the tremendous work that is ahead of the enterprise (Mangram & Edwin, 60).

The company can only make an impact in the market and solve the issue raised through merging and acquisition. The company can merge with a corporation such as apple that has already made an impact in the competitive world. The auto manufacturing market is so competitive in the current

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