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Tesla headquarters ends cooperation with tmall.com
Photo: zol.com.cn
 
Tesla Motors, which had planned to join China's widely known November 11 online shopping carnival, has unilaterally decided to cancel the plan, according to a Chinese financial newspaper. “The decision suggests that Tesla China lacks efficient communication with its headquarters back in the US. And the company's strategy to use e-commerce for growing its franchise is not working out”, an industry insider was quoted as saying.
 
Earlier, Tesla China announced to open a store at tmall.com and join its iconic November 11 shopping carnival in a high-profile way on October 20. The move was also seen as Tesla's first trial of collaboration with a third-party platform for sales, besides its own official website sales. It's also known that Tesla had originally prepared 18 Model S for sales on the day of carnival, which could be delivered in 5 days at the earliest after placing the order and making full payment. Besides that, Tesla offered to install household charging post for free for those who'll make orders during the event.
 
However, the US headquarters strongly opposed the plan when it was disclosed by the media, the newspaper said. Besides, the source also claimed that by the time Tesla called quits, tmall.com had already sold seven units of Model S.
 
Tesla headquarters was unsatisfied with the deal because the cooperation method with tmall.com didn't conform to the normal delivery rules of the company, and so would be unfair to its previous buyers, the source said. In fact, Tesla had previously learned a lesson in the China market. At the beginning of this year, 23 Tesla buyers in Beijing and Shanghai filed charges, criticizing the carmaker for failing to make delivery as it promised. One buyer even smashed his new car in protest. In Tesla's made-to-order mode, buyers are normally expected to wait 4-6 months after making orders through its official website.  
 
According to the cooperation plan with tmall.com, buyers from five cities, including Beijing, Shanghai, Hangzhou, Chengdu, and Shenzhen could have their new cars delivered five days after full payments.
 
“For Tesla to figure out a way to both uphold its good reputation and open up more efficient sales channels would be a difficult task. And Tesla China apparently hasn't thought the whole thing through,” Zhang Xin, an industry analyst told eeo.com.cn.

The article is translated and edited from a news by eeo.com.cn. 

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