- Tesla introduced Thursday that it was shifting to an online-only gross sales mannequin.
- “Many” of the corporate’s 378 shops can be closing, it mentioned in a weblog publish, which is able to imply extra layoffs.
- In January, Tesla fired 7% of its workforce in a bid to chop prices.
In a shock announcement on Thursday, Tesla mentioned it was closing “many” of its 378 retail shops around the globe because it shifts to an online-only gross sales mannequin.
That can imply one other spherical of layoffs on the electrical automaker like affected some 7% of its workforce in January in a bid to chop prices following its manufacturing ramp for the Mannequin three.
Tesla didn’t reply to questions from Enterprise Insider about what number of shops can be closing, or what number of workers is likely to be affected.
“Shifting all gross sales on-line, mixed with different ongoing value efficiencies, will allow us to decrease all automobile costs by about 6% on common, permitting us to attain the $35,000 Mannequin three value level sooner than we anticipated,” the corporate mentioned in a weblog publish.
“Over the following few months, we can be winding down a lot of our shops, with a small variety of shops in high-traffic places remaining as galleries, showcases and Tesla data facilities. The necessary factor for purchasers in the USA to know is that, with on-line gross sales, anybody in any state can rapidly and simply purchase a Tesla.”
On a convention name with reporters and analysts, Musk mentioned the closings had been the one approach to maintain prices down.
“We can be closing some shops and there can be a discount in head depend in consequence,” he mentioned. “There is no different method for us to attain the financial savings required.”
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Extra from Tesla’s announcement:
- Tesla is lastly releasing the long-awaited $35,000 Mannequin three
- Tesla is eliminating most of its shops and going to an online-only gross sales mannequin
SEE ALSO: We took the Tesla Mannequin three for a check drive. Listed below are the most effective and worst options
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