Elon Musk Pledges to Make Things Right After California Small Business Loses Money From Tesla Cancelling Major Order

By: Julia Mehalko | Published: Mar 02, 2024

A Black-owned bakery in San Jose, California, recently revealed that Tesla had ordered 4,000 mini pies — only to then completely cancel the order last minute. This left the small business reeling, as they had already spent money, time, and energy on this large order.

After this news went viral online, Tesla owner Elon Musk heard about it. Musk then offered to make things right for the small bakery.

Elon Musk Responds to Bakery

After Giving Pies, a small bakery in San Jose, revealed their story publicly about Tesla’s canceled order, many took to social media to blast Tesla for its actions. Various news articles were written about the situation.

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A close-up of Elon Musk looking away from the camera.

Source: MINISTÉRIO DAS COMUNICAÇÕES/Wikimedia Commons

Now, Musk has joined in the mix. “Just hearing about this. Will make things good with the bakery,” he wrote on X. In another post, he said, “People should always be able to count on Tesla trying its best.”

Giving Pies’ Story

Voahangy Rasetarinera, the owner of Giving Pies, talked to local news stations about the unfortunate situation Tesla left her in. According to Rasetarinera, Tesla got in touch with her for a last-minute order on Valentine’s Day.

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Many breads and baked goods in a bakery window.

Source: Yeh Xintong/Unsplash

The car company put in an order for 2,000 pies. For the small business, this would end up being $6,000.

The Bakery Worked Hard Last Minute

Even though this massive order was a last-minute one, Rasetarinera said that she and her employees worked hard to get it all done. Many worked overtime to ensure that they would get this order done in time.

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A baker puts powdered sugar over a tray of pastries.

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As she and her team worked, however, Rasetarinera began to realize that Tesla wasn’t being as open and upfront as she thought they would be. After all, they’re a huge car company.

The Bakery Owner Had Issues With a Tesla Rep

After the order was set, Rasetarinera tried to get in touch with the company for payment for the large order. This money was needed to get the ingredients for this massive order, as well as pay her staff for the extra time they would be working.

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A red Tesla logo against a black background.

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Rasetarinera said that she’s worked on large orders before. She’s also worked with big tech companies. She’s never had such an issue getting payment before. With Tesla, she had to chase them down to finally get in touch.

Rasetarinera Finally Got in Touch With Tesla

Finally, Rasetarinera was able to get in touch with a representative from Tesla named Laura. Laura apologized to Rasetarinera for the delay in payment. She also increased the order from 2,000 mini pies to 4,000.

Various mini pies on a wooden surface.

Source: Jametlene Reskp/Unsplash

According to Rasetarinera, Laura reassured her that money was no issue when it came to this order. Once this matter was settled, Rasetarinera and her employees quickly got to work to ensure everything was done in time.

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Tesla Never Paid Any Invoices and Then Canceled

Though Rasetarinera and her employees managed to make this mass amount of pies, Tesla never paid any of the invoices Rasetarinera sent to them. By the end of the week, Rasetarinera was shocked when Laura messaged her to say that the order was canceled. They no longer needed the pies.

A close-up of a Tesla logo on a red cube against a red background.

Source: Alexander Shatov/Unsplash

This cancellation was last minute, which frustrated Rasetarinera. As the owner of a small business, this has put her behind thousands of dollars.

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Rasetarinera Took to Facebook to Vent

Clearly frustrated by this last-minute cancelation, Rasetarinera took to Facebook to discuss how she felt. She wrote that the experience “left me reeling, realizing the extent of the impact on my small business.”

A close-up of a person holding a phone that is open to Facebook.

Source: Solen Feyissa/Unsplash

“I had invested time, resources, and effort based on assurances from Tesla, only to be left high and dry,” she wrote. Once she publicly talked about what happened, her story — and her bakery — went viral.

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Tesla’s Initial Response

After the story began to make headlines, many hoped that Tesla would rectify this issue. However, they didn’t pay Rasetarinera back at first. According to reporting, a Tesla representative said that Laura was not authorized to approve payments.

A blue Tesla car parked in front of a wall that has the Tesla logo on it.

Source: Tesla Fans Schweiz/Unsplash

Later, Tesla still did not offer to pay for the canceled order. However, they did offer to give Rasetarinera a tour of their factory.

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A $16,000 Canceled Order

Once this initial story became headline news, more information was learned about Tesla’s cancellation. According to Rasetarinera, the entire order was over $16,000.

A zoom-in on a light fixture at a bakery, with a menu on the wall behind it.

Source: Tyson Moultrie/Unsplash

Rasetarinera also didn’t take on any other orders during this time, as she and her employees were busy working overtime to ensure Tesla got their huge order. As a result, she declined other opportunities she could’ve had.

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The Community Came Out to Support the Bakery

As the bakery’s story went viral online, lots of people around the country heard about this small bakery’s unfortunate situation. Many in the bakery’s community wanted to help out and ensure they found a way to bounce back.

A busy bakery with many people lined up to order and workers behind the counter near baked goods.

Source: Jamie Hagan/Unsplash

As a result, many customers showed up over the weekend after this incident to support Giving Pies. This prompted Rasetarinera to say she was “so grateful” after more than 300 customers arrived.

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Things Are Looking Up for Giving Pies

Since Tesla’s cancelation, things have been getting better for Giving Pies. Thanks to community support, the bakery has experienced its business triple in a brief amount of time.

A person wearing gloves puts toppings on multiple pies on a surface.

Source: Toa Heftiba/Unsplash

Now that Musk has worked to pay back the bakery and make things right, many online have voiced their support and hopes that the small business won’t have to struggle any longer from the cancellation. 

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