Tesla’s “sell directly to the consumer” approach has been grating nerves ever since they started operations. The newest case comes from the state of Georgia, where the one Tesla store in Marietta, located about a half-hour from Atlanta, sold 173 cars within the last year. That’s 23 cars more than legally allowed by the current license they hold, which allows Tesla to sell vehicles “in accordance with custom design specifications of the customer”. As a result, the Georgia Automobile Dealers Association filed a petition with the Georgia Department of Revenue to have Tesla’s license revoked.
Considering that Tesla CEO Elon Musk has maintained that the best way to purchase one of his cars is by a direct sale, and that Tesla is actively fighting similar battles in Missouri, New Jersey, New York, Ohio and Pennsylvania, it’s unlikely that Tesla will suddenly have a change of heart and bend to the rules. As it is, there is a five-month wait for a new Model S, and the Chinese market has been snapping these cars up left and right. There is no incentive for Tesla to comply, and if they did, they risk alienating the customer base they have already forged. Dealership unions have put out videos decrying Tesla’s sales approach, as seen below:
It’s apples and spaceships…..
Tesla NEEDS to keep control of the product,high performance and high end electrics are still emerging technologies. I can see Tesla loosing future market share and even the company itself if is required to place a middle man between the company and the customer. The internet is full of stories about customers unhappy with their local dealer service dept,all franchise stores, because of over priced service and improper repairs. Tesla cannot take the chance that some mega dealer group can control repair of these cars. Not to mention the screwing an up selling service writer could do.
All of these dealer protests and direct sales bans are designed to block the eventual Chinese take over of the US auto market.
Georgia also just lost the battery mega factory to Nevada.
What happened to Free Enterprise? Businesses evolve. Industries evolve. Evolve with it, or get left behind. What’s the expression- “Lead, follow, or get out of the way”… Besides, these cars are priced well beyond the average car price. They aren’t going to put bread n butter Chevy, Ford, Honda, etc out of business.