Tesla’s market share has declined, with 2024 deliveries dropping double digits from 2023. Recent data validates a previous warning that Elon Musk’s actions on Twitter have alienated Tesla’s customer base. The company’s dominance in the electric vehicle market continues to falter, with registrations falling 7.8 percent in Q4 2024.
Critics argue that competition and production constraints are to blame, but data suggests that consumers are reacting to leadership decisions that seem disconnected from core customer expectations. Musk’s Twitter escapades have shifted public discourse, eroding trust among a segment of Tesla’s traditional customer base.
Tesla faces a critical juncture: sustaining innovation while rebuilding the connection with consumers that fueled its meteoric rise. The company must address the multifaceted demands of modern business, where product excellence, public perception, and leadership behavior all play crucial roles. With robust revenue streams but declining deliveries, Tesla’s brand is under strain.
The coming quarters will be pivotal in determining whether Tesla can reverse the trend. Investor sentiment is factoring in the broader implications of leadership decisions and public perception.
Source: https://www.forbes.com/sites/rrapier/2025/02/05/teslas-deliveries-decline-the-warning-signs-i-saw-two-years-ago