Georgia Car Dealers Want Tesla Store Shut Down

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Why do Georgia dealerships want the Tesla store shut down? For selling too many cars already...the bastards! :rolleyes:

The Georgia Automobile Dealers Association filed a complaint with the state’s Department of Revenue last week claiming that Tesla is illegally selling cars, as it’s sold 173 cars at its one retail store in the state. That’s more than the 150 it’s allowed under state law, the group alleges.
 

Ducman69

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Tesla's business model with direct sales is far more in line with today's market needs. IMO, dealerships are what need to be done away with, and I'm no Tesla fanboi.
 

hyperion0101

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Sep 17, 2010
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To be honest, I'd rather just buy a car directly from the manufacturer.

Dealers as a business model need to disappear. They don't really add much value and they have the tendency to screw people over. Just protecting the status quo I fear.

That way we'd see a better buying experience.
 

Terminus

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Can I set up financing, order direct from Ford.com, and have it delivered to my door?

No?

Fuck them.
 

Siryak

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To be honest, I'd rather just buy a car directly from the manufacturer.

Dealers as a business model need to disappear. They don't really add much value and they have the tendency to screw people over. Just protecting the status quo I fear.

That way we'd see a better buying experience.

I agree! I have no problem seeing dealers become obsolete. They are just a middleman adding an unnecessary cost to the already expensive vehicles IMO. With the current business model 3 different people are making money.

1. The manufacturer
2. The Salesman
3. The Dealer

By allowing them to sell directly you cut out the need for the dealer profit. This will allow the manufacturer to lets be honest line their pockets a little better, but also allow them a little more wiggle room on the price since they just need to break even on dealership costs and make money on the car.
 

sfsuphysics

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The Georgia Automobile Dealers Association filed a complaint
Translation: Another backward as fuck state who has rules/laws that don't allow a direct sales of cars to consumers.

Not sure why Tesla doesn't just open up a shell company that is a dealership, and that happens to be the only dealership that Tesla deals with.
 

IRSmurf

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I see no problem with letting dealeships die. We're still going to need all those garages to maintain our crappy old ICE engines and drivetrains.
 

m heisty

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Dealers do actually offer quite a few benefits. Such as inventory which would be very difficult for any manufacturer to handle on a national and global scale. However there shouldn't be any bans on a manufacturer selling directly to the public if they do not directly compete with their dealer partners. In other words the company has to decide if it wants to sell directly to the public and limit its customer reach or use a dealer network and work on a more volume business model. Should Tesla be prevented? No, however the dealer network shouldn't be absolved either.
 

Quix

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Dealers do actually offer quite a few benefits. Such as inventory which would be very difficult for any manufacturer to handle on a national and global scale. However there shouldn't be any bans on a manufacturer selling directly to the public if they do not directly compete with their dealer partners. In other words the company has to decide if it wants to sell directly to the public and limit its customer reach or use a dealer network and work on a more volume business model. Should Tesla be prevented? No, however the dealer network shouldn't be absolved either.

How is inventory difficult for manufacturers to handle? Most manufacturers already manage their inventory, including dealer inventory, in an integrated computer system (I know for certain that Mazda and Ford do, most others likely do too).
 

ShamisOMally

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"Tesla sold too many cars this month! This is an outrage!"

Yet if a dealership sold over 150 cars in a month they would be celebrating it in the streets
 

DarkStryke

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Tesla's business model with direct sales is far more in line with today's market needs. IMO, dealerships are what need to be done away with, and I'm no Tesla fanboi.

There's a reason they're called stealerships.
 

Ozymandias

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How is inventory difficult for manufacturers to handle? Most manufacturers already manage their inventory, including dealer inventory, in an integrated computer system (I know for certain that Mazda and Ford do, most others likely do too).

I don't know what m heisty is talking about either. Car manufacturers have to track millions of car parts from a multitude of parts manufacturers flowing into their factories and dealerships. Handling completed inventory across the country wouldn't be much harder.
 

Semantics

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Do they have a fucking ban on masturbating too many times in a day too?
Naw you need a middle man to protect your sperm to hand transaction. The middle man is there to prevent market fluctuations and to act as the primary customer service. Keeping your sperm at a constant rate so you don't get a dry one or flooded and ruin the carpets.

Car dealerships are looking less and less necessary as middlemen. That being said knowing people who work at car dealerships and how they operate has gotten me great deals on cars, ofc knowing how they operate just tells me how flimsy of a business it is. A little too influenced by the manufacturers to push out numbers and meet quotas.
 

Parmenides

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Translation: Another backward as fuck state who has rules/laws that don't allow a direct sales of cars to consumers.

Not sure why Tesla doesn't just open up a shell company that is a dealership, and that happens to be the only dealership that Tesla deals with.

Crony capitalism, smells of southern democrats
 

McFry

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Crony capitalism, smells of southern democrats

lol, yeah, Texas/Arizona/Georgia all known for their powerful democratic base. Just wait till the other big blue states like South Carolina/Alabama/Mississippi join in, the dems will be unstoppoppabbabble!
 

SGA76

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Am I the only one here who had to call the cops on a dealership for refusing to give my keys back when I went shopping for a new car?
Scum of the earth, they just need to die off.
 

Jagger100

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Can I set up financing, order direct from Ford.com, and have it delivered to my door?

No?

Fuck them.
They don't get special treatment.

Shitty dealers want from Tesla what they've achieved with everyone else, to force car makers to go through them. Tesla's fashionability among some will give it only a temporary reprieve from respective state legislatures..
 

Semantics

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Am I the only one here who had to call the cops on a dealership for refusing to give my keys back when I went shopping for a new car?
Scum of the earth, they just need to die off.
That's why you say you took the bus there and park a bit away. The trade in sell is always there to delay you from leaving. Borderline criminal, absolutely but the borderline part is why some dealerships use that hard sell tactic.

All you ever have to do is come in at unwanted times, really late or really early near the end of the month. Find the guy who doesn't seem to be making his quotas or better yet if the dealership isn't making it's quotas overall which gets the salesman and the mangers both trying to sell you cars instead of them fighting over the price as the rebates/bonuses from the manufacture is worth a ton more to them than you are as a customer.

That being said none of that would change with direct selling, it just remove the middleman which in this day and age is questionable if we need them.
 

rudy

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Dealerships are fine and they do offer a local service which is fine. But it is absolute utter commy bullshit that there is actually any law protecting dealerships. If a company wants a direct model WTF ever would we prohibit that? Actually I will tell you why because the dealers never had a say in this. The laws are put in place by the big auto companies that want to stifle competition. Any large car company is eventually going to put dealers around because it is needed to get the volume of sales. So the only company that is ever hurt by these types of laws are new up and coming companies like tesla, elio, etc.... that do not have a dealer network in place already and would be forced to put their cars in flea market dealers who sell a mix of cars and wont give a shit about your car and will probably only sell it if the profit margin is higher or someone desperately wants it. If tesla ever gets to the point they sell enough cars they will surely put dealers into most larger cities regardless of the laws.
 

BladeVenom

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Once Tesla starts doing it, others will follow. Dealerships don't want the competition. Elio Motors is going to use direct sales to.
 

SGA76

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That's why you say you took the bus there and park a bit away. The trade in sell is always there to delay you from leaving. Borderline criminal, absolutely but the borderline part is why some dealerships use that hard sell tactic.

All you ever have to do is come in at unwanted times, really late or really early near the end of the month. Find the guy who doesn't seem to be making his quotas or better yet if the dealership isn't making it's quotas overall which gets the salesman and the mangers both trying to sell you cars instead of them fighting over the price as the rebates/bonuses from the manufacture is worth a ton more to them than you are as a customer.

That being said none of that would change with direct selling, it just remove the middleman which in this day and age is questionable if we need them.

I shouldn't have to. I should be allowed to walk at any given time, not held against my will.
I'd LOVE to see cops do stings on these people and strip them of their licenses.
 

Geef

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This reminds me of back when Henry Ford started making vehicles and the Association of Licensed Automobile Manufacturers (ALAM) had a patent for making vehicles and said "you have to pay us to have a license to make vehicles." Ford told them to go Fu** themselves and they went to court for almost 10 years and Ford won. If he hadn't won then we would be paying an extra tab on every car anyone buys to pay ALAM.
 

Semantics

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Once Tesla starts doing it, others will follow. Dealerships don't want the competition. Elio Motors is going to use direct sales to.
Not quite the reason why the big 3 didn't do it was because of direct sale ban laws have been on the books for nearly a century in some states.

But like i said the protections that dealerships once offered no longer seem as necessary in a world where information can flow more easily. Right now their fighting to protect their franchises as they know full well they couldn't compete against direct sales from manufactures as people will just want the lower overhead and thus lower price no matter what.
 

Merc1138

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Ideally, the dealership system would just go away. It's stupid, it serves NO benefit to the consumer at all, frustrates the hell out of consumers, and works against some manufacturers. It should simply be up to the manufacturers if they want to use a traditional "dealership" system, and then let the consumers vote with their wallets.

Hell, my Mom doesn't even use her free oil changes because she'd rather pay $35 at the oil change place, than put up with the dealership. Maintenance and repair could simply be done at authorized factory trained service centers, without a salesman jumping down your throat the moment you drive onto the lot.

Every time I've gone shopping for myself or with someone else, it always ends up in some argument with myself or the person I'm with leaving pissed off 9 times out of 10. I see car companies running commercials about drama free transactions and what not, I've never seen that in person. Even simply getting the trim package and color you want can be a pain in the ass. Does the closest dealership have it? Nope. Does their sister dealership 100 miles away have it? Nope. Does the competing dealership 20 miles away have it? Nope. FFS, why can't I just pick what I want and buy it from the manufacturer? Then if I do find what I want at a dealership, it's the ONE dealership in the area that doesn't simply have a license plate frame, no they have stupid badges or stickers on the car advertising their crappy dealership so now I have to argue with them about removing that crap and not screwing up the paint in the process.

If any new company offering a product started the way dealerships currently operate, in an open market where the competition can sell however they want, that new company wouldn't last a year since no one would be willing to put up with their BS unless the prices were so unbelievably low, you'd be a fool not to. But that just can't happen with the dealership overhead.
 

Armenius

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I agree! I have no problem seeing dealers become obsolete. They are just a middleman adding an unnecessary cost to the already expensive vehicles IMO. With the current business model 3 different people are making money.

1. The manufacturer
2. The Salesman
3. The Dealer

By allowing them to sell directly you cut out the need for the dealer profit. This will allow the manufacturer to lets be honest line their pockets a little better, but also allow them a little more wiggle room on the price since they just need to break even on dealership costs and make money on the car.
You forgot one: The state government gets a piece through taxes. When the dealer sells a vehicle at a markup, the higher sale price means more tax money collected. With these laws on the books the government is also getting a larger piece.
 

Bone_Enterprise

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Surely I am not understanding this correctly:

"The Georgia Automobile Dealers Association filed a complaint with the state’s Department of Revenue last week, reports CNNMoney, claiming that Tesla is illegally selling cars, as it’s sold 173 cars at its one retail store in the state. That’s more than the 150 it’s allowed under state law, the group alleges."

They "legally" cannot sell more than 23 cars, what?
 

Bone_Enterprise

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Cannot sell more than 150 cars rather, either way I don't understand why that is an issue.
 

m heisty

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How is inventory difficult for manufacturers to handle? Most manufacturers already manage their inventory, including dealer inventory, in an integrated computer system (I know for certain that Mazda and Ford do, most others likely do too).

Dealerships control their inventory nationwide, given that most cars on dealers lots are not actually owned by the dealership. What I was trying to say was that manufacturers are in the business of manufacturing cars, not selling them. Tesla can realistically manage this because they have maybe a 100 show rooms, however when you are talking about GM or Ford they have hundreds of dealers in every state. For them to directly control the dealership network, hire the employees, manage the service centers, provide any real competition will be next to impossible. They are two different business models, that have next to nothing in common other than the product. Running a dealership is not as simple as putting up a sign that says "for sale' and having some cars out side. You guys act like its the simplest thing in the world. Might want to stick with what you know.
 

Entilza

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Model 3 or iii can't come soon enough... Finally cars are going to get interesting again.
 

beowulf7

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Model 3 or iii can't come soon enough... Finally cars are going to get interesting again.
With the Gigafactory just being "won" by Nevada, it's going to be a great disruptive technology that Tesla puts out there instead of a niche vehicle that it currently is.

Gotta live these disruptive technologies that scare that crap out of Luddites who just want to maintain the status quo. :cool:
 

Thuleman

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Wait a minute ..., aren't red states supposedly pro-business?
How's the Republican government limiting sales to 150 vehicles?
 

spintroniX

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Wait a minute ..., aren't red states supposedly pro-business?
How's the Republican government limiting sales to 150 vehicles?

because that's bullshit rhetoric they like to sell to the populace...

all government is a scam, period. It doesn't matter which rhetoric they espouse. At the end of the day, they are robbing your freedom and taking your money for the privilege.
 

McFry

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For the few of you who seem to have been abused at dealerships having your keys held hostage, I actually never give the keys to a salesman, even when they want to appraise my car. I just tell them "i want to ride with the guy doing the test drive, in case he damages anything". When they say something lame like "oh he wont damage anything" I just shrug my shoulders and stare at them basically dismissing their claim.

And thats actually the real reason I ride with them because I'm paranoid about what may happen to the car. Regardless, you at least dont have to worry about your keys being confiscated while you are trying to leave.
 
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