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> their government-mandated monopoly Anyone can open a dealership, except manufacturers, and it looks to be a reasonable and non discriminatory process. Cri
by akira2501 2y ago
> their government-mandated monopoly
Anyone can open a dealership, except manufacturers, and it looks to be a reasonable and non discriminatory process. Critically, the government does not mandate the minimum or maximum number of dealerships in an area, so competition is not harmed in any way. This really does not seem like a monopoly issue.
- snotrockets 2y agoGood luck trying. Dealerships hold municipal governments by the balls.
- akira2501 2y agoWell.. where I live.. most municipal governments tax car dealerships to the point where they all exist mostly in one county that doesn't tax them as much. In the county that does, they have every incentive to open more, and dealerships have healthy competition and turnover. It doesn't seem like there are any 800lb gorillas in the market where I live.
- throwaway7ahgb 2y agoUnpopular opinion: Manufacturers like this model, in the sense that artists "like" ticketmaster. Dealerships take a lot of inventory and capital risk away from manufactures. Most (unlike Tesla) do not what to deal with retail customers directly.