In today’s modern world, clients are not only looking at the quality of the advertised products but also at the brand. Since the brand is represented by CEOs, the public is watching the posts and articles regarding this group of executives. Thus, the moment Elon Musk decided to advise President Donald Trump couldn’t have gone unnoticed. As a consequence, a public mobilization made Tesla production experience a large wave of canceled orders.
There are at least five known persons who have canceled their orders for Tesla Model 3 even though they had already paid the deposits. Given that the price of one such vehicle starts from $35,000, the company is already recording prejudices amounted at $175,000. This public mobilization is the aftermath of the decisions made by Tesla CEO, Elon Musk. The young entrepreneur declared himself against the promises made by Donald Trump during the race for the presidential seat. However, Elon Musk is now working by the side of the new President of the United States.
On the other hand, Elon Musk may have his hands tied in this situation. The moment he became a public figure, he has been working to build public trust. One of his main professional morals is that of protecting the environment by replacing sources of fossil fuels with clean energy. However, since the U.S. President has shown numerous times that he doesn’t believe in climate change, the two public figures seemed to share antagonistic views only. Contrary to this situation, Elon Musk is still working for Trump. The question remains why.
According to Huffington Post publication, Elon Musk was forced into this agreement. Even though Tesla has become a world renowned brand, the young CEO faced bankruptcy for at least two times. In 2008, he managed to avoid an economic collapse by starting SpaceX, a space exploration project that received $6.5 billion funds from NASA and U.S. military. Another company of his, SolarCity, promised to turn any household into an environmentally friendly home thanks to solar panels. However, despite the public acclaim, the company didn’t score a single profitable quarter since its beginnings in 2012.
The alarming financial status of his projects gives Elon Musk no choice than to continue his collaboration with Trump if he wants to keep his business afloat. Through his Twitter account, the Tesla CEO supports the progressive views and encourages people to come up with an advisory council that he himself would deliver to the President. On the other hand, other people are of the opinion that his guidance will not be taken into account no matter how close he stands next to the President of the United States.
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