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Ah. Why can't they sell cars direct to customers in Texas?
by dotcoma 6y ago
Ah. Why can't they sell cars direct to customers in Texas?
- erk__ 6y agoThey have laws that forbid direct sales there [0], there are laws like that in many states and countries. [0]: https://en.wikipedia.org/wiki/Tesla_US_dealership_disputes#Texas https://en.wikipedia.org/wiki/Tesla_US_dealership_disputes#T...
- unstatusthequo 6y agoWhich is absurd.
- spectramax 6y agoMusk should negotiate with the state of Texas: If you want to grow and compete, having a Tesla presence in Texas, you're gonna have to get rid of ancient absurd laws.
- vinay427 6y agoA kind request to please consider a more substantive alternative to your comment, as recommended by the HN guidelines as I understand them. There's no perspective I can gain by reading a comment that essentially expresses an upvote or downvote on a view, and I expect you have a perspective worth sharing.
- not_really 6y agoYou are not a mod. The same can be said for your comment.
- deleted 6y ago[deleted]
- vinay427 6y agoSome historical context from the Wikipedia article a sibling comment links to, because a few seem to assume some states created this law as a response to Tesla: "The laws against direct sales arose historically in the United States starting in the 1930s, as automobile manufacturers started using independently franchised dealerships to offload the tasks of retail selling and servicing vehicles.[35] The laws have been actively defended into the 21st century and extended to online in-state sales.[36][37] Such regulations protect dealerships against a manufacturer opening its own dealerships and competing against resellers, which could be seen as an abuse of the manufacturer-franchise relationship.[35] Critics view the laws as thwarting legitimate competitive pressure that benefits consumers, and some have described them as "protectionism",[35] and "crony capitalism".[38]"