For those of you who haven't heard, it recently came to light that Elon Musk's jaguar company, Tesla, had been actively deceiving customers for months. If you're wondering what led to his downfall and how this scandal could be avoided in the future, read on. It all started with a twitter thread that went viral, with users voicing their complaints against Tesla’s deceptive practices. Through a postmortem on the thread by CEO Elon Musk himself, he revealed more troubling information about his company’s practices: they were nothing short of unethical and illegal according to two California law companies that assisted him. This scandal has been devastating for Mr. Musk, his company's reputation, and our planet as a whole. The scandal was first started by a twitter thread posted by Reddit user ‘Winslow_Tesla’. It is one of the most popular threads of all time with over 400,000 upvotes on Reddit. This post detailed some troubling practices that Tesla was doing to their customers. Making what would be considered unethical sales tactics, they would call their customers on the phone. Then out of nowhere sales representatives would just start up again without giving any warning that they are being recorded on the phone call. Winslow_Tesla also posted photos of the actual documents that specifically outlined how employees were supposed to talk to customers. From that point on Elon Musk went into damage control mode. Elon Musk tweeted out that he would investigate this matter, but it was already too late. There were other users on twitter who had also had bad experiences with Tesla before, and they added their own experiences to the thread, making it go even more viral. The sheer amount of frustration an anger garnered by these users’ experiences made this scandal look bigger than it actually was. They even used social media editorials against him, showing how he would respond to tweets about his company’s practices using ironic remarks and non-apologies. This is not the first time Elon Musk has made headlines for his controversial tweets. Elon Musk then posted a blog on Tesla’s website that stated that ‘If any employee ever feels pressure to do so, we would like to hear about it’. That was basically his non-apology for telling his employees to do these practices. Shortly after, two law companies filed lawsuits against Elon, Tesla and its employees saying that they had violated various laws such as: unfair competition by engaging in deceptive business practices, illegal recording of phone calls and unlawful trade practices and fraud under California law. The one part of the lawsuit that stood out the most was when they said that Elon failed at proper oversight involving ethics and value. The lawsuit also calls for Elon Musk to step down as the CEO; however, he is still the chairman and will be overseeing Tesla’s operations according to this latest update. This scandal has taken a toll on Tesla’s financial performance as well. They lost $700 Million in share value since this scandal came to light. While it still can be salvaged through better oversight; I think it's safe to say that we won't see this scandal repeating itself anytime soon. To avoid any of these scandals from happening again, I have three suggestions on how you can avoid being deceived by your company: 1.) Don’t trust anyone who gives you unsolicited offers.
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