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I don't necessarily disagree, but I do suspect those who believe a dismantling of franchise laws will bring about a fundamentally transformed and vastly more pleasant buying experience across the industry will find themselves disappointed if/when that day comes.
There's a difference between dismantling franchise laws and letting factory stores compete. We already have factory outlets for clothes that compete with traditional retailers, we have Apple stores competing with online retailers. Why can't we simply let Tesla sell their cars their way and let the consumer decide? Oh, right, Because it migh mean that the old ways are outdated and unsustainable.
So far Tesla stores are doing a great job of creating customer satisfaction. It'll only make traditional dealers better and weed out the crap ones.
Of course there's motivation to "play those games." You don't think they're going to try to latch on an extended warranty? You don't think Ford is going to try to steer you toward Ford Credit, BMW isn't going to try to steer you toward BMW Financial Services, etc.? You think it's just coincidence that nearly every manufacturer has its own captive finance division? GM is about the only one that doesn't, and that's only because they were forced to divest GMAC/Ally when their ship was sinking.
Ditching franchise laws may or may not bring consumer savings and other benefits, but I don't understand why people think the actual buying experience would be fundamentally different.
I regret not being clear.
I believe there's little motivation on the part of Tesla to play those games. At this point the big carrot for financing through Tesla is the Buyback Guarantee, but even that is not exclusive. If you finance through Wells Fargo or US Bank you get full access to the buyback program. So yes, if your intent is to win all the internet points, you're right, there is something in it for Tesla but nothing close to the beating you'll take from a traditional dealership.
My intent is not to "win internet points," whatever that means. My intent is to disabuse people of the fantasy that the buying experience will be vastly better at a corporate-owned dealership versus a franchise-owned dealership if franchise laws are repealed.
My intent is not to "win internet points," whatever that means. My intent is to disabuse people of the fantasy that the buying experience will be vastly better at a corporate-owned dealership versus a franchise-owned dealership if franchise laws are repealed.
Well, the only examples we have to go on are traditional dealerships, and the Apple Store and the Tesla stores. So far, the experience at the Apple and Tesla stores have been a hit with consumers, and been much better than the traditional methods. So, in that regard, it's not a notion that should be immediately disavowed.
Don't get why Tesla doesn't have local dealers and play by the rules already established.
If you buy a Tesla, you need to take it to a Tesla shop to get it serviced. Just add a few desks and a couple sales guys to sell the damn things. You add more jobs to the community, it's a win win. Plus, I guarantee you will sell more cars if you have a real dealership, instead of selling them out of a shopping mall.
That's loser talk. Innovation is found upon thinking outside the box and it is the archaic, non innovative, way of conducting business that helped put the Big 3 in such trouble they have been in recently.
Well, the only examples we have to go on are traditional dealerships, and the Apple Store and the Tesla stores. So far, the experience at the Apple and Tesla stores have been a hit with consumers, and been much better than the traditional methods. So, in that regard, it's not a notion that should be immediately disavowed.
What is fundamentally different about buying an Apple product at an Apple store versus Best Buy? What is fundamentally different about buying a Tesla from a Tesla-owned store versus an independent Tesla franchise -- or do the latter even exist anywhere?
What is fundamentally different about buying an Apple product at an Apple store versus Best Buy? What is fundamentally different about buying a Tesla from a Tesla-owned store versus an independent Tesla franchise -- or do the latter even exist anywhere?
The latter do not exist. If they did, we wouldn't be having this conversation. The comparison is the factory store that exists from Tesla vs any existing auto dealership. Elon wants to be in control of how his car is marketed, delivered and serviced, and not merely suggest it to someone who can ruin his reputation like many local dealers have done for the manufacturers they represent.
The upsell and financing are not baked in the cake in the direct sales model. There's really little motivation to play those games. You yourself said the money is in service.
Un-clicking a few boxes is so much nicer and easier than spending 20 minutes with some toupee'd slob in a plaid suit.
MI is a right-to-work state now. Of course that could always revert within one election cycle.
Anything "could" happen, but its not too likely.
Most of the general public, even liberals, don't really care for the unions in the current era.
Further, after several years of right to work, forcing non-union employees back into the unions would cause a backlash that many employers just wouldn't care for as it would create distraction in the workplace. Right-to-work merely allows unions and employers to negotiate contracts that require employees to pay dues, it doesn't require the parties to negotiate that kind of contract.
I just don't see the legislature being very quick to stir up the pot that the repeal of right-to-work would cause.
"Most of the general public, even liberals, don't really care for the unions in the current era.
Further, after several years of right to work, forcing non-union employees back into the unions would cause a backlash that many employers just wouldn't care for as it would create distraction in the workplace. Right-to-work merely allows unions and employers to negotiate contracts that require employees to pay dues, it doesn't require the parties to negotiate that kind of contract."
Do you know 'most' of the general population of Mich? This screed belongs somewhere else. Check out a little more about right to work before spouting off, please. Few dealerships that i am aware of were unionized. The real thrust of 'right to work' is an attempt to defund unions by allowing workers to benefit from a negotiated contract and not pay dues. IMO this was especially aimed the MEA and public employee unions. I also am interested in the tesla technology and mrktg. If the range and cold weather performance became workable and affordable, I'm in,too. Hmm, I probably will need the enhanced floor mat package.
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