Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Tesla Motors Inc (TSLA) Won’t Punish Unsatisfied Customers

Tesla Motors Inc (NASDAQ:TSLA) is implementing a new program that in essence guarantees customer satisfaction. The new program involves a trial period, Phil LeBeau said in a report on CNBC.

Tesla, is TSLA a good stock to buy, Phil LeBeau

Called the “Happiness Guarantee,” the scheme was implemented by Tesla Motors Inc (NASDAQ:TSLA) along with lowered lease rates for the outgoing Model S.

“[…] Basically, it comes down to this: if you lease a Model S, you have three months in which if you don’t like it for any reason at all, you can return it no questions asked,” LeBeau said.

Nonetheless, there is a caveat for this new Tesla Motors Inc (NASDAQ:TSLA) policy. People will not be able to return their leased Model S vehicles only to take out another lease on a later version of the Model S to get the latest features of the vehicle.

According to LeBeau, the new program will cut the electric car maker’s lease prices by 25%, the company estimates. It remains to be seen whether this new program will drum up interest from customers, the CNBC contributor added.

Meanwhile, what interested one of the CNBC contributors more than this new program is the fact that governors of different U.S. states are moving to ban Tesla Motors Inc (NASDAQ:TSLA) from directly selling their cars to their constituents. For example, Gov. Rick Snyder of Michigan has signed into law more restrictions on the direct selling of the company of its cars in the state.

Tesla Motors Inc (NASDAQ:TSLA) shareholders includes Daniel Benton’s Andor Capital Management which reported owning 1.25 million shares of the company by June 30. At the time the institutional investor reported the stake, it was valued at about $224.29 million and made up 16.27% of the firm’s portfolio.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.