Tesla Expats

Industry and Competitors

Hyundai Iconiq EV

https://www.fleetcarma.com/ev-review-2017-hyundai-ioniq-electric/

Korean Auto Industry

• Up to $20,000 incentives to buyers of electric vehicle, availability for government funding for electric vehicle-related developments

• Imported cars made up 15% of the new vehicles purchased, up 8.7% from the previous year

• Hyundai, a South Korean company, has most successful electric vehicle, starting at less than $20,000

• Most electric vehicles that exist in South Korea are affordable

Samsung SM3 ZE

https://www.greencarreports.com/news/1113996_renault-samsung-sm3-ze-electric-sedan-battery-upgrade-gives-130-mile-range-in-korean-tests

• Two Tesla stores in South Korea, 145 charging stations, and fourteen superchargers

• Lack of electric vehicle infrastructure, led to active expansion of superchargers

• Model S, including the P100D version offered, Model 3 will be available by the end of the year; this is where we will focus our marketing

Tesla in Korea

Marketing

Marketing Tactics

• New Gigafactory being built nearby in Shanghai; will lead to lower costs and faster delivery

• Very poor air quality, and electric vehicles becoming more popular to reduce emissions

• Model S particularly unique in being one of the first luxury electric vehicles in the country; still provided with tax incentives

• Model 3 marketed to the more general population, but maintains the luxury brand associated with Tesla

• Focus on early adapters and first movers due to unique vehicles Tesla offers

• An invitation is an obligation; rude if you don't accept

• Moderately high power distance emphasizes superiority in the workplace; can't leave until your boss has left

• Ask for input from everyone before making a decision; process may take a lot of time but is important is such a collectivist society

• Try not to oppose or criticize someone in front of their peers; saving face is essential

Business Environment

http://morningjapan.com/kien-thuc-can-thiet/van-hoa-nhat-ban/cach-trao-doi-danh-thiep/

Other Challenges

• Expatriates should bring their own clothes, get used to drinking tea, and prepare to constantly dine out on Korean dishes

• The more one tries to integrate themselves into the culture, the less severe culture shock will be

• Public transportation will be the easiest way to get around, as traffic can be very bad

• Hiking one of the many mountain trails is the best way to break barriers with locals

Challenges with Adaptation

http://www.expatfinder.com/south-korea/expat-guides/article/culture-shock-in-south-korea/626

• Interview process with both US and Korean executives, at least three rounds; also interview family

• Provide applicants with a Cultural Intelligence test to see if they are more likely to be successful

• Previous successful experience in East Asian countries to bring an awareness of the type of culture and knowledge of language, not expected to be fluent

• A lot of time put into forming relationships in Korea, looking for someone loyal and outgoing

Selection

How to Prepare Expatriates

• First week of training spent observing the environment and workers

• Provide a translator/teacher for first few weeks to learn language and communicate effectively

• Quarterly Skype meetings with expatriates to catch up and provide more training where needed

• If success after one year, begin training a local replacement to take over after the second year

Training

• Introductions with families on nearby military bases; provides rest of family with friendly face

• Several options for international schooling of expatriate children

• Children's Grand Park offers a place for kids to be spend time outdoors

• "Kid Cafes" around the city allow opportunity to play while parents can relax with a cup of tea

Families

When the Expatriates First Return...

Initial Return

• Six months prior to the expatriates returning, work with them to begin the re-integration process to alleviate stress

• Provide them with two weeks to acclimate back into the US culture

• Hold returning interviews to find out what they learned, what worked/did not work, and advice they have for the future

Where to Next?

Moving Forward

• Review what the expatriates learned to determine if it would be beneficial to send them overseas again

• Would prefer to offer expatriates more opportunities to work overseas, especially in other East Asian countries

• If successful, but they did not want to keep traveling, we would offer them a position in Global Marketing management

• Offer chance to train future expatriates in East Asian host countries, along with day-to-day duties

https://legacy.lib.utexas.edu/maps/middle_east_and_asia/asia_east_pol_2004.jpg

Questions/Comments ?

https://www.wired.co.uk/article/tesla-model-3-production-stock-problems-engineering