Essay Example on Tesla Motor Company Flourishes: New Expansion in Algeria

Tesla Motor Company flourishes as one of the most successful companies in the world. The company is to be established in Algeria. It targets to boost the economy through designing and manufacturing of cars that would be sold locally and internationally (Baer, 2014, n. d). Tesla company is expected to start on small-scale production of electric vehicles as the managers will be expected to focus on the expansion of the business (Hess, 2017, n. d). It is likely that once the proposal of the Tesla company is relevant, the government of Algeria under the authority of the president will accept it and even supports it to be successful. The principal objective of the Tesla company is to ensure that all contributions towards the growth of the economy favor imports and the exports (Vynakov et al. 2016, n. d). Indeed, if the government supports the production of the low-budget electric cars of the French Origin, the manufacturing business will grow and thrive in the country. The units will be significantly achieved with the support of the Algerian government through formulating policies that will favor the growth development of the industry.

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Tentatively, it is expected that the project will have magnanimous impacts on the growth and development of the political state of the country. Once the business activities are boosted in the nation, there are high chances that the political heat in the country will be reduced (Zoran & Zlatomir, 2012, n. d). The increase in the production rates of electric cars in Algeria will make the socio-economic status of the people will be increased by a more significant margin (Herman, 2009, n. d). It will be expected that the plan of the company and the expected outcomes upon Algeria will be rejected by critics (Johnson, 2017, n. d). Still, in the end, it will improve productivity in the nation. It is targeted that by the year 2030, the total car units produced by the company will rise to around 1.5 million units (Pontes, 2018, n. d). Indeed, the manufacturing company plans to contribute to the export growth by 50% and also ensures that it sells 50% of the products to the local Algerian market.

Study of the Possible Impacts of the Project

Introduction

The research was done to evaluate the possible changes and impacts that the introduction of the Tesla car manufacturing company will have on Algeria and other Northwest African Nations. Most of the Northwest African countries are highly influenced by the socio-cultural and economic ties that they share with Europe. (Engerer and Horn, 2010, 1017) It is from this point that the governments from these countries choose to follow the European economic trend of economic development. In the region where the sale of low-budget smartphones, electronics, and laptops is thriving; the purchase of affordable electric cars will also succeed (Pistoia, 2010, n. d). Before the company chooses to invest in the economy of Algeria, they have to look at the companies that have the largest share of the manufacture of cars (Layachi, 2019, 401). It was from the study that it is noted that most of the companies manufacture cars and motor vehicles that are based around the usage of oil and petroleum products.

The study mainly focuses on the possible outcomes, either positive or negative, that would come from the introduction of the company in Algeria. Indeed, the main impact will be on the economic growth and development, while the area that will be least affected will be the social life of the people (Zart, 2017, n. d). The study also has various statistics that explain how far the impacts have gone in terms of affecting the Algerians. The data is either economic or statistical, depending on the issue that is being addressed from the study. All of the information provided displays how the company would impact various parts of Algeria when it was first done (Brahim et al. 2011,127). The changes that are expected to take place if the industry is permitted to operate are included. It is from here that the president will have to make significant decisions regarding allowing the car company to run on the soils of Algeria legally.

Impacts on the Economy

With the construction and establishment of the Tesla company to manufacture electric cars in Algeria, it will be a business that will highly thrive and boost the economy of the Northwest region of Africa. The reason for this was that Tesla would be on a ride to acquire a monopolistic type of market for the sale of electric cars in the region (Pappas, 2014, 154). The company will have to reinvest in its business entity as it will not depend on the petroleum products to fuel or service its vehicles (Fallick et al. 2006, 472). The company will now be creating their investment for their business. At the end of this, the outcome will emancipate that it was the establishment of the company that manufactures the electric cars called Tesla was responsible for the noticeable growth of the economy of the nation at exceptional rates as a nation (Narins, 2017, 321). According to Gartner (2014, n. d), the growth of the production of electric vehicles will improve by 86% if the investment is provided in the company. One reason as to why the growth is expected to be rapid in the economy of Algeria is that they will have zero to minimal competition from other brand manufacturers (Abada & Bouharkat, 2017, 1).

Tesla car company will not suppress the rest of the manufacturing industries of cars. Still, it will bring on innovations to ensure that there is healthy competition and thus building on the economy of Africa (Kolakowski, 2009, n. d). It is from here that it now brings a good growth unto the economy of Algeria. Most of the other brands of cars, like Audi, Nissan, among others, have the excellent capability of taking over the Algerian car market by storm but have not yet thought about the proper idea for the investment (Reuters, 2017, n. d). Automated vehicles, on the other hand, are capable of waving a hand of popularity since the beginning of the 20th century (LaPedus, 2007, n. d). The ability shows that Tesla company has the most significant ability to become a gamechanger of the African economy (NAS, 2018, n. d).

The introduction of the company in Algeria will have a change in the livelihoods of people by the creation of employment opportunities. As explained in the requirements of the company, it is expected that the company will bring the idea to the scientists of Algeria for them to handle the matter and implement the objectives of the project (Amrouche et al. 2012,102). All these events will take place only if the scientists are well employed by the electric car company. The university students in Algeria will also be provided with many opportunities to apply scientific knowledge in the Tesla car company. The rest of the employees would still be hired by Algeria (Khelif et al. 2012). When every mechanism falls in to place the economic livelihood and the living standards of the people who would be working with Tesla car company will be in a better place than before (Amara, 2012, 41).

Looking at the ability of the company to make advancements on the economic situation of Algeria, it will improve the living standards of many people. On regular occasions, when a company is introduced or established in any given area or location, the people living around that place will benefit (Haddad et al., 2017, 462). The study shows that once the company that is meant to manufacture electric vehicles is established, it will assist the people in getting higher income to sustain their living conditions (Whittingham, 2004, 4271). Besides just getting the income to provide the basic needs, it will give them more opportunities to create and generate more revenue (Asma & Harrouz, 2017, n. d). In the end, the government of Algeria is the one that benefits as more of the taxes go unto them. Undoubtedly, it will show that the economic status of the nation would have improved by a more significant margin.

Impacts on the Environment

The use of electric cars in Algeria and other parts of Africa was seen to bring an outstanding impact on proper environmental conservation. Most of the people in the world, especially manufacturing companies, have been urged to design technologies that would suit the needs of the environment (EPA, 2015, n. d). Larmenie and Lowry, (2003, n. d), have expressed various concerns that besides having the electric vehicles to bring positive impacts towards environmental conservation, it will encourage more people to come and invest in the industry (Latreche, 2009, 107). The cars will serve as proper tools for mitigation of the effects of climate change and bring a good chance of the future that focuses on renewable energy (Zdenek and Pavel, 2011, n. d). While the company focuses on transmitting the transport industry from the analog to digital, it also focuses on the matters of environmental conservation.

Tesla company would favor the citizens of Algeria at all times because sometimes, when the oil and gas prices would be up, they would still enjoy the value of electric cars (Islam, 2018, 492). Indeed, from the study, there was an indication that the mass production of quality electric vehicles would highly promote economic growth while at the same time conserve the environment (Escribano, 2016, 1). In the mid-late 2000s, when the price of gases and oil in the world was rising, there were new environmental concerns regarding global warming and general climate change (Burton, 2013, n. d). At that period, the introduction and development of electric cars by Tesla company would be essential in the economy of Algeria (Hartmut, 2005, n. d). The environmental and economic stature of the country would be placed on the radar for having the capability of performing well as the world was opting to follow that direction (Engerer and Horn, 2010, 1017). Since Algeria developed the economic and environmental culture of the European and western countries, the decisions that were made by the United States regarding the ecological conservation measures with the industries also affected them.

Political Impacts

The changes in the political scene will come in with the establishment of a Tesla electric company in Algeria. Indeed, the leading cause of the impacts on political nature is the different ideologies and interests that the political leaders have in the new industry in their nation (Stewart, 2017, n. d). The study indicates that because the electric car company has a terrific impact on the economic condition of the country, most of them would want to have the lion’s share of the profits that the country will harvest form the income generated (Engerer and Horn, 2010, 1017). With some of the political impacts being negative, a good number of outcomes will be positive as the company would be backed to generate more profits and commercial buildings for the nation. Since political changes stem from the economic impacts in a country, it is expected to form the study that some of the leaders would back the introduction of the company in Algeria (Reynolds, 2009, 221). Starting from the president himself, he would urge the citizens of Algeria to keep on backing the agenda of the company. The leaders would use the opportunity to push their fellow citizens to support the company as it brings in better than harm upon the economic stature and their livelihoods as Algerians.

Although some politicians in the nation would still want to protect their businesses, the plan of Tesla can be communicated and be emphasized by other politicians in the government. The project would be backed because most of the items and human resources that will be used in the establishment of the company would come from the funds in