Investors only 'wait' if you can show revenue growth and large market.
Tesla was very capital efficient compared to how hard the task was, only just enough to get the next product out. By the time they were making big loses, you could see the Model 3 was gone turn around once they reached scale. There was always a clear story of if we do X next, that means Y.
> I keep coming back to Apple. How'd Apple avoid the trap?
I think by changing CEO radically at the right time. Whatever was gone work for Apple, it wasn't any of the typical things you would think off. I'm not at all a Jobs fan, but I don't think many people could have turned it around.
Jobs had the ability to come back and radically shift the company. They also had the benefit of 20 years of loyal costumers, maybe the biggest asset Apple had was their loyal costumer base (or captured market). Personally I can say my dad was a complete Apple fan, he would just buy Apple. He simply didn't care the higher performance or any of the other things.
Tesla was very capital efficient compared to how hard the task was, only just enough to get the next product out. By the time they were making big loses, you could see the Model 3 was gone turn around once they reached scale. There was always a clear story of if we do X next, that means Y.
> I keep coming back to Apple. How'd Apple avoid the trap?
I think by changing CEO radically at the right time. Whatever was gone work for Apple, it wasn't any of the typical things you would think off. I'm not at all a Jobs fan, but I don't think many people could have turned it around.
Jobs had the ability to come back and radically shift the company. They also had the benefit of 20 years of loyal costumers, maybe the biggest asset Apple had was their loyal costumer base (or captured market). Personally I can say my dad was a complete Apple fan, he would just buy Apple. He simply didn't care the higher performance or any of the other things.