Comments on: Auto Dealers Say Tesla Opening Stores In Minnesota Is “Not Fair”

By: Top 33 Electric Vehicle Stories Of 2013 (So Far) | PlanetSave

Top 33 Electric Vehicle Stories Of 2013 (So Far) | PlanetSave — Wed, 29 May 2013 22:28:50 +0000

[…] has been battles with conventional auto dealerships and dealership associations. They have been fighting Tesla’s unique self-dealership model. But Tesla has largely been backed up the public, the courts, and even ethical auto dealers… […]

By: Poll: Texans Support Tesla Motors Right To Sell Directly To Consumers | CleanTechnica

Wed, 24 Apr 2013 11:01:24 +0000

[…] undermines their own business. Which is perhaps one of the reasons why there has been such a backlash from car dealerships against Tesla – Tesla is selling a superior product, while also being a completely independent competitor […]

By: Stan Stein

Stan Stein — Tue, 12 Mar 2013 14:47:00 +0000

Nada says they have “a whole mess of people working on franchise laws” ? Tell us, nada, exactly what is the “work” you are doing? Having a meeting now and then? Having lunch with a franchise owner once and a while? Paying a polling company to take a worthless poll for a few unqualified opinions? There is no work…if there was, and it was actual work, with results….this article wouldn’t be an article…..the issue would be cut and dried.
If the mfg. wants to offer full retail services….parts, repair, etc….and it didn’t violate any existing agreements with anyone…..it shouldn’t NEED any legislation….there was no anti trust issue……other industries do this same thing….apple has apple stores, but you can buy their products from independent dealers,
As far as adding “several hundred dollars” …..a window sticker is a window sticker…..only dealer prep and locally installed/applied items are added to the sticker price. The only debate here is cutting out local or regional companies from getting to sell these cars themselves…..but the auto industry has been doing that for years from one dealer’s territory to another’s…..”Just a short trip over the bridge to ……where the prices are lower and the trade in values are higher” Oh please, gimme a break

By: aligatorhardt

aligatorhardt — Tue, 12 Mar 2013 13:22:00 +0000

Well said, Jack. Government should not be forcing subsidizing profit margins on non essential services, nor should they be blocking technology that improves our air quality for all.

By: windbourne

windbourne — Mon, 11 Mar 2013 23:13:00 +0000

There is a lot of that by both parties.
Compare the Space Launch System vs. private space. The SLS is pushed by most of the top republicans (basically, the neo-cons). Worse, they are working hard to kill off new private space.

By: Zachary Shahan

Zachary Shahan — Mon, 11 Mar 2013 21:43:00 +0000

it is very interesting.

and, basically, interesting how far hypocrisy can go without people realizing it.

By: windbourne

windbourne — Mon, 11 Mar 2013 01:28:00 +0000

What is interesting is that it is the republicans who work hard to kill off Tesla (as well as SpaceX), while preaching for private industry. Yet, it is the republicans that back the outmoded forced dealer nightmare.

By: Zachary Shahan

Zachary Shahan — Sun, 10 Mar 2013 21:45:00 +0000

Completely agree. Think I’m going to go ahead and throw this into the article. As well as the short one-liner Ross added.

By: Jack Burgess

Jack Burgess — Sun, 10 Mar 2013 15:19:00 +0000

In 48 States there are antiquated franchise laws that forbid or severely restrict automakers from selling vehicles directly to the public. In other words, when you want to buy a new vehicle, you must go through a dealership and PAY SEVERAL HUNDRED DOLLARS MORE than you might otherwise!

These franchise laws are long overdue for repeal. Many of them were written over 100 years ago and are completely out of step with a modern market. At this point, they are protectionist and just plain anti-competitive. Most troubling, they prevent needed changes to the outdated “dealership only” purchasing business model. Dealership businesses that typically exalt the free-market system and decry government regulations are using these franchise laws to protect an ancient, restrictive business model that was created before television, cell phones, the Internet, and e-commerce. They inject a middleman into a process that doesn’t require one, ultimately raising the costs of our vehicle purchases and limiting our selection of products.

Why are the dealerships and their mouthpiece, the National Automobile Dealers Association (NADA), in such a frenzy to shut the Tesla stores down? Why are they lobbying in Colorado for even more restrictive franchise laws specifically aimed at Tesla?

The simple answer is that NADA and the dealerships are using political influence to protect themselves from any sort of free-market competition that may threaten their 100+ year old business model. Anyone who believes in free-market capitalism should be appalled.

In a Fox News article (http://www.foxnews.com/leisure/2012/10/27/is-tesla-selling-its-cars-illegally/), the NADA chairman, William Underriner, was quoted as saying that NADA “has ‘a whole mess of lawyers in Washington’ who work on state franchise laws.” This is CRONY-CAPITALISM AT ITS WORST, where a powerful group of businesses and their political lobbyists influence legislation for the benefit of a well-connected few at the expense of the rest of us.

Any dealership that truly adds value to the process of buying a new vehicle or in servicing those vehicles should have no need for the protection of a franchise law. It is painfully obvious that customers in a modern free market should have the choice of how they purchase their vehicles, be it at a dealership, from a direct manufacturer store, through the Internet, or however else.

By: Ross Chandler

Ross Chandler — Sun, 10 Mar 2013 10:59:00 +0000

Very few tears are going to be shed over dealers having to compete harder.