Tesla (TSLA) Aims to Expand in China's First-Tier Cities on Launch
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Tesla (Nasdaq: TSLA) will be aiming to get more buyers in China's first-tier cities geared up to purchase its Model S in 2014, amid most other automakers looking to gain share in second-tier cities.
According to China Daily, one Vice President for Tesla in China commented,
Hundreds of Model S units are said to have been pre-ordered in China. Buyers in China have to put down about 250,000 yuan for one of two models: the S or the X. Online pre-ordering has been available since December 14th.
There are still a few kinks for Tesla to work out. First is the translation into Chinese. China Daily noted that the well-known translation of Tuo Su La has been criticized as being too narrow-minded for a company like Tesla. "Tuo" means expand, "su" indicates speed, and "le" embodies happiness. The word could also be interpreted as
One local businessman with the trademark for Te Si La -- which he has held since 2006 -- refuses to give up the name.
Another issue for Tesla in China is pricing. The government hasn't determined what tax policies the automaker will face, which could markedly change the final price of the Model S.
Finally, local manufacturer BYD also launched its electric vehicle last week, touting the ability of the car to be charged at home and that mileage was enough to accommodate the travel needs of most city drivers.
Shares of Tesla are up in early trading Thursday.
According to China Daily, one Vice President for Tesla in China commented,
We have great expectations for the market in China, and opening showrooms in more first-tier cities would be the major way that Tesla approaches rich buyers across the country ... Our challenge is how to satisfy the high demand in China.
Hundreds of Model S units are said to have been pre-ordered in China. Buyers in China have to put down about 250,000 yuan for one of two models: the S or the X. Online pre-ordering has been available since December 14th.
There are still a few kinks for Tesla to work out. First is the translation into Chinese. China Daily noted that the well-known translation of Tuo Su La has been criticized as being too narrow-minded for a company like Tesla. "Tuo" means expand, "su" indicates speed, and "le" embodies happiness. The word could also be interpreted as
free from vulgarityor
refined.
One local businessman with the trademark for Te Si La -- which he has held since 2006 -- refuses to give up the name.
Another issue for Tesla in China is pricing. The government hasn't determined what tax policies the automaker will face, which could markedly change the final price of the Model S.
Finally, local manufacturer BYD also launched its electric vehicle last week, touting the ability of the car to be charged at home and that mileage was enough to accommodate the travel needs of most city drivers.
Shares of Tesla are up in early trading Thursday.
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