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

Abstract

We investigate how the choice of coopetition of the simultaneous pursuit of collaboration and competition dynamically impacts both the participating firms and also the other self-developing ones in the same market. A conceptual framework of mathematical models obtained from the arguments and insights in the literature is used to undertake an in-depth study through a multiperiod analysis from 2013 to 2020 of an exemplar case of coopetition, the two concurrently ongoing coopetition partnerships in the US electric vehicle (EV) market, the Tesla Motors-Daimler AG alliance and the Tesla Motors-Toyota alliance and the other firms which are not involved in coopetition.