It's interesting, also, because back until the late 70's, most dealerships
(perhaps all) were tied to one manufacturer.  I believe they were
independent, but if you associated with GM for example, you could only sell
GM vehicles.  That model broke down when Japanese cars started getting
popular and US-maker dealers either had to diversify or they would go broke.
So they diversified, to some degree anyway.

So, would Tesla's model cut down on competition?  One comparison I'm
thinking of is cell phone services.  There are only 4 major carriers in the
US.  While you can buy a lot on line or change service features on line,
they do have company-owned retail outlets and phone and plan prices are
universally set by each compnay.  That would be similar to Tesla, I think.
Do you consider that there is insufficient competition among carriers?
Would there be a consumer benefit if independent retailers could set the
plan and phone prices?

Peri Hartman


-----Original Message-----
From: [email protected] [mailto:[email protected]] On Behalf
Of EVDL Administrator
Sent: 29 June, 2013 2:01 PM
To: Electric Vehicle Discussion List
Subject: Re: [EVDL] the Tesla petition

I have mixed feelings about this.  In fact this is a larger discussion that 
might not really have a place on the EVDL as it may spill over into a 
general discussion of selling all kinds of vehicles.

I think it makes a lot of sense for a low-volume specialty vehicle (and 
let's face it, at least for now that's what an EV is) to be sold nationwide 
by its manufacturer.  I'm probably OK with Tesla selling directly to the 
customer.

But I'm not so sure I want GM, Toyota, Ford, and Chrysler doing it.  I can 
just see them undercutting local dealers until they drive the dealers out of

business, then setting much higher prices for customers.  True, there would 
still be competition between, say, Nissan and Mistsubishi.  But if you had 
your heart set on a Nissan Leaf, you'd pay the manufacturer's list price, or

you wouldn't get your car.  

Thus I think direct vehicle sales would, in the long run, reduce competition

and increase prices - great for them, not so good for us.

Besides, if they ran all the car dealers out of business, where would guys 
with lousy taste in suits get jobs?  ;-)

Maybe the answer is to allow manufacturers below some ceiling sales volume 
(I dunno, pick a number) to sell directly, and maintain the status quo for 
manufacturers with larger sales.  Or, dare I suggest it, allow direct sales 
of EVs and not ICEVs?

David Roden - Akron, Ohio, USA
EVDL Administrator

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