Overworked and Underselling: Tesla Faces Fallout for Mistreating China Staff

Photo by Shutterstock
Photo by Shutterstock

Tesla loses ground in the Chinese electric vehicle market, with pressure falling on its sales staff, according to a report by Electrek on Monday.

Electrek reports that Tesla struggles to maintain its former market dominance as Chinese companies like BYD, Xiaomi, and Nio experience rapid growth. Xiaomi’s SU7 has overtaken the Tesla Model 3 as the top-selling vehicle, while competitors also challenge the Model Y’s position.

Despite Tesla’s efforts to stay competitive in China with an updated Model Y, the outlook remains challenging. The company has offered 0% interest financing to boost sales of both the Model Y and Model 3.

Chinese media outlet Jiemian News reveals a troubling situation for Tesla’s sales force. Interviews with current and former employees indicate that the company demands 13-hour workdays from its sales staff, with a daily target of selling one vehicle. However, actual sales reportedly fall short of half this goal.

The report states that Tesla sales representatives are expected to create 10 customer profiles, send three online test drive invitations, and conduct four actual test drives daily. These demanding expectations, coupled with low pay, have led to unprecedented turnover rates in Tesla’s Chinese stores.

The situation has become so dire that one Tesla store in Beijing reportedly replaced its entire staff within just six weeks. One sales employee candidly stated that selling Tesla vehicles in China has become significantly more challenging.

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