Elon Musk's Politics and Tesla's Customer Base
Before 2022, Tesla was a leading electric car manufacturer and a favorite among eco-conscious consumers. However, CEO Elon Musk's recent activities, including buying and transforming Twitter, campaigning with Donald Trump, and leading DOGE, have sparked controversy.
A new working paper from Yale aims to quantify the impact of Musk's extracurricular activities on Tesla's sales. The findings suggest that his politics may have cost the company around one million sales.
Those bumper stickers, his role in DOGE, and all the headlines made us suspect Elon's political activities might be having an impact on Tesla's sales.
As Michael Jordan once said,
Republicans buy sneakers too, highlighting the potential risks of alienating customers due to political affiliations.
Some longtime Tesla owners have found themselves apologizing for Musk's politics, with some even displaying bumper stickers that read,
I bought this car before I knew Elon was crazy.
Author's summary:
Elon Musk's politics may be driving away Tesla's customers, potentially costing the company one million sales.