Tesla Looks less Competitive after Earnings

$Tesla(TSLA.US)$ getting out competed by chinese EV manufacturers like $BYD COMPANY(01211.HK)$, even Elon saying that without tariffs they would be “destroying them”. In an effort to remain competitive, TSLA has dropped their vehicle prices numerous times at the cost of a shrinking margin on per vehicle sales. This earnings was particularly worrying since it shows that even at a lower cost per vehicle, consumers are not buying at the same rate as before. Given the current strategy, it begs the question if Tesla will need to drop prices further to entice consumers? In Elon fashion, he promised a “next generation vehicle” which we can expect to take significantly longer to manufacture than projected as is usual for Tesla.