Tesla prices fluctuate more than other manufacturers’ prices, which complicates planning and increases risk, said SAP’s fleet manager based in Walldorf, Germany, to the Handelsblatt newspaper.
An SAP spokesman confirmed the comments and said the company had never offered Tesla to employees in Germany, which is its largest company car market. Tesla made up a small part of the company’s global fleet.
SAP joins car rental company Hertz Global Holdings Inc. in withdrawing from Tesla purchases. and Sixt SE.
Car price cuts are not always good for companies
The reason for abandoning Tesla vehicles is quite surprising. Well, this reason appeared later price reductions all car models at Muska. This action was aimed at increasing car sales. Meanwhile, rental companies and other fleet owners see the depreciation of car values as one of the biggest threats they have to deal with.
Increased borrowing costs, a sluggish economy in parts of Europe and growing pessimism around electric vehicles are worsening the industry’s prospects. In December number of electric vehicle registrations in Germany dropped by almost half.
Last month, Musk announced further price cuts to stimulate car demand in Germany, France and Norway.
