Tesla backs off on store closure, set to hike price instead

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Tesla backs off on store closure, set to hike price instead

Electric vehicle maker Tesla Inc. had evaded its plans of closing all of its US stores, a blog post on Tesla’s official website revealed on Monday, the 11th of March 2019, and the post also added that instead of shuttering all of their US stores, the Tesla Inc.

would be hiking prices of their high-end vehicles as much as 3 percent, as the EV manufacturer had been thriving for profitability. Later on, Sunday (March 10th), the company said that they would be closing only half of their stores, they had initially planned to shut down, as the company had been exploring the options of cutting overhead and shifting their whole distribution network online, a move which was widely criticized.

In the blog post, the electric carmaker said, “Over the past two weeks we have been closely evaluating every single Tesla retail location, and we have decided to keep significantly more stores open than previously announced.

As a result, Tesla will need to raise vehicle prices by about 3 percent on average worldwide”. Apart from that, problems had not stopped trailing the electric carmaker, as the Tesla head Elon Musk had until the day on Monday to proffer a decipherable explanation why he should not be held responsible for his recent tweets, which the US SEC said, had breached a September fraud settlement.