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The National Automobile Dealers Association seeks a meeting with management at Tesla Motors...
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Wednesday, October 24, 2012, 7:28 AM ETThe National Automobile Dealers Association seeks a meeting with management at Tesla Motors (TSLA +1.9%) over the company's plan to bypass the traditional dealer model to sell cars. Though the electric vehicle automaker has already been sued twice by state auto dealer groups over the issue, a defiant Elon Musk seems more determined than ever for his company to go its own way.
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This news story has 14 comments:
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Hark! 'tis the keening whine of a worthless parasite on a business model that's in the midst of disruption. I'm sure they do have a whole mess of lawyers in washington. Most worthless rent seeking industries do. Doesn't mean they'll win. Tesla is a new brand and a new company. Dealerships have done nothing to build it, nothing to promote it, and have no moral claim to it. Certainly the consumers best interests are not served by an entirely parasitic middleman.
very much to the point comment.
Totally agree.
Many of the lawyers are actually on the state level though.
Porsche, actually tried to make all it's dealers "Company Owned" stores back in the late 1980's
Legal hurdles proved too cumbersome, and they failed as a result.
Nice car, by the way. I'm over six feet tall, and there was at least five or six inches of head room for the driver. My wife sat in the back seat and commented favorably on the leg room and the flat floor!
Go Tesla!
It makes sense that Tesla is cutting out the middlemen, less people making a profit off the car means more profit for Tesla or offering the car at a lower price or both. It's to the advantage to the consumer
However, just to be legal… Tesla ‘SHOWROOMS’ are NOT dealerships! Thus, they are NO different than any other automaker ‘showing’ their cars at shopping malls, fairs, events, car-shows, etc. The only difference is Tesla pays a little extra to show their cars in a FAR more stylish way! In NO WAY what-so-ever does the staff at ANY of Tesla’s numerous showrooms pressure, bother, or try to sell you ANYTHING! If you want their help buying a Tesla, they will only answer questions, and tell you who to contact to buy a one. Thus they are nothing close to a ‘DEALER-ship’.
Even the most a first year law student could have these lawsuits tossed out of court! However, the publicity is doing FAR more GOOD for Tesla, than harm! So my hats off to them!
The Tesla staff were most helpful.
ps.
I went to a GM dealer to check out the Volt. I was a joke .. few of the sales people could tell you anything and the one who claimed to have the answers DID NOT> Typical in that dealer model .
You go Tesla.