The Tesla Motors Inc (NASDAQ:TSLA) Model X, with rising pre-orders and DeLorean style falcon doors is the company’s big buzz right now, but many people who would love to own an electric car but are still priced out of the market are looking forward to the Model E, the economy model that is supposed to cost around $30,000 – $40,000. Now automotive artist Theophilus Chin has taken Tesla CEO Elon Musk’s comments to create a rendering of what the Model E could look like.
“I referred heavily from the Pininfarina-design Tata Pr1ma concept. I’ve lowered and stretched the Pr1ma so to make it look sleeker and meaner. I still think looks a bit too tall,” said Chin on Autoevolution.
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Affordable Teslas important for growth
Musk has always said that he intends to have an affordable Tesla Motors Inc (NASDAQ:TSLA) model that competes for middle class market share, and bulls on one of the most expensive stocks on Wall Street (even after it fell back from its $200+ high) are relying on this as part of the company’s growth strategy. When Tesla Motors Inc (NASDAQ:TSLA) first started making sales you would have been hard pressed to see one of their cars on the road outside of major American urban centers. It’s now expanding into the rest of the country (with at least one model registered in every US state) and Europe. The Model E will allow Tesla to grow in depth as well as reach.
Tesla Model E makes Ohio legislation more important
The upcoming Model E means that legislation currently being debated in Ohio could have more punch than it seems at first glance. The bill would ban Tesla Motors Inc (NASDAQ:TSLA)’s business model by preventing auto manufacturers from also acting as retailers. The Ohio Automobile Dealers Association says that it isn’t worried about Tesla Motors Inc (NASDAQ:TSLA)’s sales but doesn’t want other manufacturers to follow suit. Considering Tesla had 120 sales in Ohio last year, that may be true, but when the Model E comes out Tesla will likely want to open more retail locations (it currently only has two in Ohio) and will be a more serious competitor for dealers. In the past, dealers didn’t have to worry much about the relative merits of one brand over another since they could carry multiple brands, but every Tesla sale is a direct loss for them and those sales could become much more significant.