The influence of a CEO’s personal beliefs and actions on their company’s sales can be a complex and multifaceted topic. In the case of Tesla and its controversial CEO, Elon Musk, this relationship is no exception. A new study examines the impact of Musk’s partisan actions on Tesla vehicle sales in the U.S. from October 2022 to April 2025, providing a detailed analysis of the effects on sales and the broader electric vehicle market.

The study finds that without Musk’s partisan effect, Tesla sales would have been 67-83% higher, equating to an additional 1-1.26 million vehicles sold. This significant increase highlights the powerful influence of a CEO’s actions on their company’s success, and the potential consequences of aligning oneself with a particular political ideology.

Furthermore, the study reveals that Musk’s partisan actions also increased sales of other electric and hybrid vehicles by 17-22%, due to substitution effects. This suggests that the impact of a CEO’s personal beliefs can extend beyond their own company and shape the broader market.

The findings of this study have important implications for business leaders and investors, highlighting the need to consider the potential consequences of their actions on their company’s success and the wider economy. It also underscores the importance of maintaining a neutral stance in political matters, particularly for companies operating in highly regulated industries such as automotive.

The study provides a comprehensive analysis of the impact of Elon Musk’s partisanship on Tesla sales, shedding light on the complex relationship between a CEO’s personal beliefs and their company’s success. The findings serve as a reminder of the need for business leaders to carefully consider the potential consequences of their actions and maintain a neutral stance in political matters to ensure long-term success.