Additionally, tough time during the financial crisis

Additionally, an encouraged informal communication system in Tesla is mainly performed as an open discussion. Musk indicates on his email to his employees that “you can talk to your manager’s manager without his permission, you can talk directly to a VP in another department” (Bariso, 2017). The resulting company atmosphere at Tesla is one of freedom, everyone can freely interact since there are no restrictions. But this could also mean that a matter that should be kept undisclosed might be exposed without hesitation, which presents a certain degree of risk for the company.

Lastly, the utilized informal communication method can convey incomplete information. The incomplete information can spread rapidly via using informal communication channel and the original information can be transformed wrong. This process can also create the misunderstanding situation within the company.Musk’s conflict handling strategy can be described as compromising. It is stated that when Tesla was facing a tough time during the financial crisis which almost collapsed the company, Musk chose to bankrupt himself (Davies, 2013). When Musk had bankrupted himself, this meant giving up the money he earned from his success with PayPal.

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Musk chose to compromise by searching for a middle ground to sustain a struggling Tesla. Since Musk decided to lose his valuable earnings from PayPal in order to preserve the struggling Tesla, Tesla was able to land a loan from the government. The government loan enabled Tesla to get the cars into production and in June 2010, Tesla became the first automaker to go public since 1956 (Davies, 2013). The compromising strategy involved giving up elements in order to establish an acceptable solution.

The negotiation style that Musk had taken when selling PayPal to eBay for $1.5 billion in 2002, was an example of integrative bargaining (Sachdev, 2013). When the bubble burst in 2002, the relatively small PayPal company at the time was acquired by eBay. Even though Musk’s first successful venture company was sold it could be observed as a failure to some degree, but this has only provided him with a platform for his next successful project (Sachdev, 2013).

Integrative bargaining is a negotiation strategy that can create a win-win situation for both parties and this applies to the sale of PayPal to eBay.PowerAuthor Robert Greene, who has studied the idea of power in the workplace for 20 years, defines power in the workplace as “the measure of the degree of control you have over 


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