They market themselves as environmentally friendly while representing a comedically small percent of global emissions reduction. And within the auto industry itself the increasing efficiency of ICE vehicles has reduced emissions by far more than Tesla and their electric car hype.
At the same time, they advocate infrastructure expansions to accomodate their vehicle's needs while handwaving away the emissions and environmental consequences this process would create. And every time this is mentioned people just blubber some line about the long term while covering their ears to the tide of environmentalists saying that we need change /now/.
They might conquer Europe through legislation but the only reason that's practical is because European countries are tiny so the range issue is less relevant to them. Tesla hasn't actually cleared their hurdles, they've surrendered to them.
Meanwhile, they drum up this idea that Tesla's can be more than toys for rich people even though no one blue collar who isn't already a hard fan chooses a Tesla. In fact, speaking of legislation, they're so uncompetitive that Europe has to ban ICE engines for them to gain ground.
Even you framed this as Tesla competing against luxury brands, key word being luxury. This world where they've paved the way for cheap mainstream electric vehicles is a fantasy. They've paved the way for novelty in the luxury market and since doing so have shown little aptitude beyond their ability to wield that accomplishment as a shield to deflect criticisms.