When Tesla releases its first quarter earnings this afternoon, the company’s CEO Elon Musk will field the usual questions about new products, new factories, and progress toward its futuristic vision of self-driving cars and robot workers. But Musk will also face increasingly urgent questions about its current state of affairs — and why everything seems to be going to shit.
Earlier this month, the company reported its first year-over-year sales drop in four years, a sign of rougher waters ahead. Tesla’s stock has fallen more than 40 percent since the start of the year, including a 13 percent drop in the last week. The company laid off over 14,000 employees last week, 10 percent of its global workforce — which could end up being closer to 20 percent when all’s said and done, according to Bloomberg. Today’s earnings report is expected to include Tesla’s lowest profit margins in six years, a sign that rampant price-cutting continues to exact a toll.
I think you make a valid point that it’s extremely difficult to avoid buying from companies or CEOs you disagree with on political or moral grounds.
However, in the case of Tesla, I’ve lost faith in the product. If I bought a Tesla, I don’t know if I will discover that corners were cut, that features will be removed over the air, or that the company has suddenly crashed and burned.
So, the erratic, narcissistic CEO is the reason I won’t buy a Tesla anymore, but it’s not a sacrifice because I consider it to be the pragmatic choice as well.