Tesla has a truly monstrous lead in the EV industry in the U.S., which has helped build up the company's economic moat. Key to Tesla's success is its strong brand, which it helped build by first focusing on the high end of the market. Its cars are considered high-tech, and the ability to service them for some issues with just a software update offered an improved customer experience. Despite little to no traditional marketing efforts, Tesla has a standing as a luxury item.

Another advantage Tesla has, thanks primarily to its first-mover advantage, relates to technological know-how. Having been the clear leader in the industry for about a decade now, Tesla has gained some clear expertise in manufacturing capabilities, vehicle software, and vehicle hardware design. This is an edge it's trying to grow.

These key attributes help Tesla succeed even as it sees more competition. Pretty much every other automaker has entered the EV race, but none are as profitable as Tesla.

Looking ahead, CEO Elon Musk claims Tesla's income potential will be truly massive. Part of that potential is related to Tesla's efforts to develop fully autonomous vehicles. If this becomes a reality, Musk sees Tesla launching a robotaxi service that is projected to generate outsized profitability.

Please Subscribe To My Channel
#teslastock #cathiewood #teslastock

Song: Markvard - Vacation
Music provided by Vlog No Copyright Music.