Say you—an Indian—had INR 10,000 to spare in July 2016 and were presented with two options: invest it in buying Tesla stock (NASDAQ: TSLA) or use it to book the Model 3. Which one would you pick?

With the benefit of hindsight, we know that had you chosen to invest in Tesla, your INR 10,000 might today be worth somewhere in the region of INR 1,50,000—a return of nearly 1,500%. But if you were one of those who decided to book the Model 3, you’d still be waiting for your car. 

But such is the magnificent force field around Tesla that very few of those who plonked down the INR 10,000 five years ago would mind having done that. (Of course, it’s another matter that most of them were wealthy enough to have not noticed the missing returns and have surplus wealth to also invest in Tesla).

Late as it may be, Tesla is finally setting up its India play. No, the Model 3 is still in the air (“late this year or early 2022” is the current ETA). But the Tesla India organisation is beginning to take shape.

Can Tesla pull off an Apple in India? What I mean is that the market for luxury cars (a segment Tesla is sure to fall in, given that even conservative estimates place the price of an Indian Model 3 around the Rs 50 lakh price point) is currently quite small. How small? Take a guess.

19,781. In a year. Sure, a pandemic year. But last year it was 40,000. Still small change for a country of 1.3 billion people. Can Tesla supercharge the growth of a new category of electric luxury cars in India? Its new founding team has their job cut out. Tesla is putting the pedal to the metal in India. Office, check. A potential manufacturing plant, check. Impending launch of Tesla Model 3, check. But to crack the India market, it will have to make the right friends in the right places.