S&P lowered Tesla's governance score due to concerns over Elon Musk's dominant role and key-person risk, despite affirming its 'BBB' credit rating. The downgrade was influenced by Musk's significant influence, the company's lawsuit exposures, and board ineffectiveness. S&P suggests increasing board independence to mitigate risks. Despite these governance concerns, Tesla's strong market position and liquidity were highlighted, with expectations of sustained EBITDA margin strength. Tesla's price cuts to maintain market share, efficiency improvements, and strategic initiatives like supercharger network access and software licensing are expected to support its competitive advantage.