Elon Musk, Tesla Price Cuts Are a Losing Business Strategy

Elon Musk has started an electric-vehicle price war that Tesla can’t finish.

Under increasing pressure from new competition, Tesla spent the past year slashing the average price of its models by roughly 25%. The Model 3 fell from $48,000 to $44,380. The luxury Model S, meanwhile, plunged from a high of $130,000 to $96,380. The cars, as they say, have been priced to move.