Question

Evaluate Elon Musk’s companies. Briefly assess the type of innovations (2 by 2 framework) each of these companies are offering. Further, explain which type of diversification strategy you think Musk is following. Classify each of Musk’s companies in the four quadrants of the BCG matric and based on this BCG matrix, explain what companies in the portfolio would you recommend divesting .

Answer 1

Answer:

1. SolarCity:

-valuable and arranged, however not rare and unreproducible

-disruptive innovation as a result of star panels exist, however area unit currently cheaper. -the question mark as a result of it's the potential for growth however isn't creating cash.

2. Space:

-it is effective, rare and arranged, however, it isn't unreproducible.

-Radical innovation as a result of its new technology and a replacement market in house. Also, an issue mark as a result of it will grow; however, it isn't creating cash.

3. Gigafactory:

-it is effective, rare, and arranged, however, it isn't unreproducible.

-incremental innovation as a result of it uses existing technology in the associate existing market.

-it could be a punctuation mark as a result of it's the potential for growth however isn't earning cash.

Tesla:

-it is effective and arranged however isn't rare and unreproducible.

-incremental innovation as a result of it builds on existing technology in the associate existing market.

-the question mark as a result of it's still growing, however, it features a negative income.

Single Business - WeWork, cola (just beverages)

Dominant business - UPS

Related-Constrained - dope

Related-Linked - GE

Unrelated Diversification - county wife