Strategic Alliance with Competitors in the Electric Vehicle Market: Tesla Motor’s Case

Table 1

Factual data for the Tesla coopetition case.

	Tesla Model S	Daimler Smart Fortwo	Toyota RAV4 EV
Quantity sold in 2013^1	18,650	923	1,096
EV price	57,400^2	17,890^3	49,800^4
Cost excluding powertrain^5	40,050	10,050	30,050
Powertrain cost w/o coopetition^6	3,000	15,000	15,000
Powertrain cost w/t coopetition	3,000	7,356	7,474
EV substitutability  ^7	1	0.159	0.068
Alliance monitoring cost (USD)	1,200,000^8	515,123	805,300
Alliance fixed payment (USD)		3,210,617.32^9	8,475,411.32^10
Assets (USD millions)	2,416.93^1	117,604.13^11	336,957.57^12
Bargaining power against Tesla [24]	—	48.66	139.42

 ¹http://www.hybridcars.com/december-2013-dashboard/.
²http://www.teslamotors.com/models/design.
³http://usnews.rankingsandreviews.com/cars-trucks/Smart_Fortwo/prices/.
⁴http://www.toyota.com/rav4ev/#!/Welcome.
⁵http://www.reuters.com/article/2012/11/05/tesla-results-idUSL1E8M51DA20121105.
⁶http://online.wsj.com/news/articles/SB10001424127887323981304579079492902482638.
⁷http://www.economicswebinstitute.org/glossary/substitute.htm.
⁸http://files.shareholder.com/downloads/ABEA-4CW8X0/3039494247x0x727013/9885dd26-2e82-4052-b171-3685fd8150b3/  
Q4’13%20Shareholder%20Letter.pdf.
⁹http://www.valuewalk.com/2013/06/how-tesla-motors-inc-tsla-is-helping-toyota-and-daimler/.
¹⁰http://www.sfgate.com/business/article/Tesla-signed-to-build-power-train-for-electric-2353819.php.
¹¹http://www.daimler.com/Projects/c2c/channel/documents/2432182_Daimler_2013_Annual_Financial_Report.pdf;
http://www.ecb.europa.eu/stats/exchange/eurofxref/html/eurofxref-graph-usd.en.html.
¹²http://www.toyota-global.com/investors/financial_result/2013/pdf/q4/summary.pdf.