However, amid recent store closures and related staffing cuts, Tesla announced on Monday that it has chose to reopen some stores that are in high visibility areas.
"A few stores in high visibility locations that were closed due to low throughput will be reopened, but with a smaller Tesla crew", the company said". The stock has slumped since then, closing at $284.14 on Friday, after Chief Executive Officer Elon Musk slashed the prices of Tesla cars and announced the company will close nearly all its stores.
That move was supposed to help lower prices by about 6 percent on average, instead Tesla will raise prices by about 3 percent on average and it will keep more of its retail stores open, according to the company.
There are just days to go before the newest all-electric SUV made by electric auto pioneer Tesla, the Model Y, is introduced to the world.
It's unclear how many stores Tesla will keep open, exactly, and where.
It will now close "about half as many" stores - making half the cost savings.
Legal experts have said the SEC could now pursue multiple avenues, including a higher fine, imposing further restrictions on Musk's activities or removing him from Tesla's board or helm. These are stores that we would have closed anyway, even if in-store sales made up our entire sales model.
Potential Tesla vehicle buyers will have a week to place orders before prices rise for the Model S and X, the company said.
Tesla says that all sales worldwide will still be done online.
The price hikes will go into effect in a week, giving potential buyers a chance to place orders before that happens.