That 100-year-old business model wants to sell maintenance. Agassi does not address that issue at all.
Tesla Loses Head Of Global Sales To Lyft Tesla Supercharger Taxi
Still his piece is worth reading as it will educate his many followers on aspects of the electric-car business that may be more familiar to Green Car.
Why do car dealerships not like tesla. Add the dealers markups and what you are paying is about 25 above the real wholesale price. And because EVs require MUCH less service than an ICE theres not much in it for the dealers. But Tesla Stores work differently than car dealerships primarily because customers cant buy a Tesla in the store.
Because of the franchise. Teslas cars are sold directly from the manufacturer which mean that Tesla stores are not welcome in Connecticut. Theres a lot of pressure to get everything sold.
The showrooms can be different -- nicer and smaller. New Tesla owner Seeger for one isnt worried because the Tesla is a simpler kind of car. The dealers first line of attack is to claim that protecting consumers from engaging directly with auto manufacturers like Tesla is actually.
But they still have to be built and Tesla has to pay not the dealers. The move came amid the announcement that the. Of course the pickup truck blocking trick known as ICEing among Tesla owners short for internal combustion engine might be more about aggressive luddites than it.
I would argue that a huge part of the Tesla revolution isnt about the car its about the sales and distribution model. Much of that will depend on how Tesla is able to handle the things dealers do now like service. They are not like regular dealers they probably arent trying to shaft you.
Yet for state officials banning Tesla is not a good long. That would lessen their power and their disproportionate share of profits in the channel. What they are is overworked and being pressured to get cars out of the door by the end of the year.
Numerous studies show that more and more drivers are doing most of their research online before even stepping into a car dealership. Dealerships arent helping. The problems that Tesla has faced with automotive dealers and state dealer franchise laws represent a combination of unintended consequences special interest influence and the challenges of developing new technologies in marketplaces dominated by entrenched.
Tesla will only sell its vehicles online the company said. The company will shutter many of its brick-and-mortar stores and fire its dealers. So for Tesla they get to keep that 25 not having to split it with the dealer.
BTW that 15 you mentioned is what the factory makes selling to the dealer not you. The entire argument against Tesla selling cars directly to consumers is that car dealers might have to face competition from the companies they currently represent. Theyre geared toward moving a lot of gas engine cars Dealerships in the US.
This is why the traditional car companies are keeping a close eye on Tesla. They still have to service the cars in some fashion albeit the plan is. A National Automobile Dealers Association spokesman said dealers make triple the profit from service as they do from selling new cars.
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