Tesla- an electric car company cuts prices for most expensive electric cars to drive demand. According to the company website, Elon Musk, the owner of Tesla said that recent price cuts on other models had fuel demand. Therefore, the company decided to cut the range from $4% on the performance version of Model S to 9% on the more expensive Model X in the United states.
Since the start of the year, it’s Tesla’s fifth adjustment in prices. Musk said repeatedly that we would focus on bringing prices down to drive more demand. This strategy has brought success for Tesla. As the orders spark with a global discount introduced in january.
However, analysts believe it’s the start of a price war by the electric vehicle market leader. In January, Tesla offered a 20% discount on its cars across all its markets.
Desire for people to own a Tesla is extremely high
Elon Musk said, ‘’ The desire for people to own a Tesla is extremely high. The limiting factor is their ability to pay for a Tesla.’’ Also, Tesla avoids commenting on the recent price cuts.
According to the company’s website, it has lowered the prices of its Model S and Model X cars. The basic Model S has been reduced by 5% to $89,990 and the performance Plaid version by 4% to $109,990. T
The price of both the basic and performance versions of Model X has been reduced by $10,000. The basic AWD Model X has been reduced by 9% to $99,990, and the performance Plaid version has been reduced by 8% to $109,990.
According to a report by Reuters, Tesla is planning to release a new version of the Model 3. This model has been codenamed “Highland”, later this year. In addition, there will be a change to the Model Y, codenamed “Juniper”, planned for next year.