MNC: A Good Citizen

Tesla, Inc. is my choice of a multinational corporation that reveals good citizenship. A multinational corporation is an enterprise that sells its products in the global market. Since its launch in 2003, the company has grown in the motor industry, to become the leading maker of electric cars and a leader in green energy (Schmidt, 2020). The company is based in California, but serves a global market, directly or indirectly through subsidiaries companies such as SolarCity. As we have learned, MNCs can be good or bad citizens. From that understanding, I will support my observation that Tesla, Inc. is a good citizen based on its effects on the community, customer satisfaction, employee welfare, and government relations.

Tesla, Inc. is at the forefront of serving the community by addressing critical community concerns. Arguably, a community is a critical stakeholder for any MNC since its members define the company’s brand image. The definition is done through responses to the business’s products and lobbying activities. One way to ensure that the community defines a corporation positively is to ensure that their environment is improved or made safer. For instance, Tesla, Inc. has availed affordable clean energy solutions such as SolarCity, electric cars, and durable batteries (Wills, 2014).  In that perspective, Tesla, Inc. has won the hearts of many people globally by addressing community needs. In satisfying such community interests, Tesla, Inc. is a good citizen, especially to its customers.

In almost all market dynamics, customer satisfaction is paramount. Companies must ensure that their products met customers’ preferences and that the pricing is reasonable. Tesla, Inc. has identified that quality products and fair pricing are the denominators of customer satisfaction. Hence, the company has invested significantly in its corporate social responsibility to enhance its customer satisfaction. For instance, Tesla, Inc. identifies that the available electric batteries for automobiles are expensive (Wills, 2014). They collaborated with Panasonic to produce more affordable batteries, thus making electric cars affordable. Also, the company offers free recharging services through an extensive network of charging stations. That way, customers’ need for quality cars and products and favorable pricing is met.

Besides caring for its customers, Tesla, Inc. has shown value and respect to its employees. The company appreciates that employees are a critical factor that influences its success. Studies have found that business success is directly linked to increased productivity of employees (Seppälä & Cameron, 2015). Therefore, Tesla, Inc has worked on the employee factors that would improve productivity and improve their livelihood. For instance, the company has invested in a competitive compensation strategy and is actively involved in the training and development of employees to equip them with technical skills and leadership. Besides, it offers benchmarking experience for other companies through collaborative programs. That way, the company improves the livelihood of its employees and shares its knowledge base to enhance the productivity of other companies.

Lastly, Tesla, Inc. honors the government and is allows it to be an active stakeholder. Notably, the government as a stakeholder may present limits or opportunities for a corporation. However, the major requirement for a positive stakeholder relationship is the compliance of the law. For now, Tesla, Inc. has complied with the US government’s operational tactics (Wills, 2014). For instance, its strategic supply chain management complies with the material sourcing standards, and the production is in line with various environmental regulations (Wills, 2014). That way, Tesla, Inc deserves the title for a “Good Citizen.”


Schmidt, B. (2020). Tesla sells more electric cars than next two biggest EV makers combined | The Driven. Retrieved 9 June 2020, from

Seppälä, E., & Cameron, K. (2015). Proof That Positive Work Cultures Are More Productive. Retrieved 9 June 2020, from

Wills, J. (2014). Government Clean Air Regulations and Tesla Motors. doi: 10.31979/etd.2ezv-twvd