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PESTEL Tesla's excess water usage - Coggle Diagram
PESTEL Tesla's excess water usage
Political
Political ability
Federal election
The new government expected is to create a green environment in German
Government objective to eco friendly environment
Government policy
Concern to reach the climate goal of carbon neutral by 2045 where one requirement for that is need of electric vehicle manufacturing
By disregarding bureaucracy of German, government offered pre approvals for the construction.
"Economy Minister Peter Altmaier" stated that His (German) bureaucracy takes more time
Economic
Taxes and Subsidies
Favorable tax conditions and €400mln of subsidy from German
Government to Gigafactory
State and carmaker subsidies of up to EUR 9000 on pure EV purchase for
consumers
Electric Vehicle Further Incentive Taxation Act 2020 to 2030 Under which all-electric
vehicles registered between 2011 and 2030 enjoy a 10-year tax exemption
Unemployment
Gigafactory will provide new job opportunities for 12,000 unemployed
Consumer Demand
In 2021 compared with 2020, EV manufacture in Germany increased by 86%, while combustion-engine vehicle
production dropped by 23%
Exports of EV in
Germany increased by 92%
Competition
25% of EV market share in EU is taken by Volkswagen, and 13% by Tesla
Tesla's EV were previously shipped to Germany from China, since the factory is located in German demand can be easily matched
Socio Culture
Demographic influence
Future Mobility
The regional government aspires to turn the area into future mobility and energy transition hotspot
Education opportunity
Low literacy level compared to other regions where Tesla provide trainings as well to fix it
Cultural Barriers
Tesla should adopt and understand the culture of German to survive and attract Stakeholders
Lifestyle and Trends
Special infrastructure construction for Giga factory: Roads and Highways
Germany's manufacturing ability is more focused on quality, productivity, and attention which will lead to a quality finish product
Language and religion
Language is the most important communication factor within the stakeholders internal and external
Establishing e-mobility to get to know customers
Legal
Environmental based Laws
Violation of regional Federal water act
Law suits against the company due to excess water usage
800 residentials complained against the excess water usage issue
Company's excess water usage ensure that they violated responsibility towards water usage.
Construction law violation by Tesla
2/3 Tesla's factory located in Wetland
Safeguarding environment and the resources
Usage of drinking water in manufacturing process of Tesla
30% of regional water is to be utilized in the automobile manufacturing of Tesla
Law for Employees
Stronger labor laws of Germany which is a greater support for labor force
Business expansion which need license and permit
The slow phase of permitting law and Germany’s bureaucracy is slowing down the construction of the new plant.
Permission was issued to build the factory by the government in the beginning but due to lawsuits there is a possibility of a factory dismantling
Technology
Infrastructure
Roads & highway construction to giga factory by government
Energy crisis in EU may impact power supply of manufacturing at Gigafactory
Tesla constructed the world’s largest supercharger network for its EV’s
High-tech
Tesla’s EV’s are unique with its high-tech features like: large touch screens, karaoke, bioweapon defense mode, autopilot, over air system updates etc.
Operational & manufacturing system
Germany’s experience in car manufacturing is useful for Tesla to meet German standards
solar panels installed at factory’s rooftop will reduce power plant use= less water use
use of non potable water sources for cooling tower system
R&D
High R&D investment upto $3000 which is three times than the competitors
Ecology
Natural disasters
Water and water deficiency experience in past which will make the region's condition worse.
Hazards expected in future due to Tesla's Giga factory constructed in 2/3 of wetland, 30% regional water usage
Natural Resources
Destruction to water resource by using drinking water, 30% of regional water in manufacturing
Destruction to plants - cutting down woods for ground works of company construction
Concern on environmental protection
Tesla cause risk on biodiversity of the region by cutting down woods
Human/community opposition being an evidence regarding Tesla's anti environmental protection activities
No sustainability towards Environment
Failure to implement 3Rs in Tesla's manufacturing process
