Tesla fans take sales push to Obama
A petition to the White House to permit direct-to-consumer sales attracts 100,000 signatures.
A petition to the White House to permit these sales -- started earlier this month by a Tesla fan -- has attracted more than 100,000 signatures along with support from billionaire Richard Branson, requiring the Obama administration to issue a formal response.
What that response may be is tough to say.
The National Automobile Dealers Association, a powerful lobbying group with members in every congressional district, is waging a fierce battle against Tesla. Of course, the industry has loads of influence on the state level as well. The association estimates that its members employed 963,400 people in 2012, up from 933,500 a year earlier.
As Steve Blank recently wrote in Forbes, industry lobbyists in New York and North Carolina are pushing new laws that would make it illegal for Tesla to sell directly to consumers. The company is facing similar fights in other states such as Colorado and Virginia, according to media reports.
"Having a dealer franchise network increases competition and forces down prices, saving consumers money," a NADA spokesman said in an emailed statement. "Consumers do better with multiple sellers, multiple retailers in a given market."
Tesla, whose Model S recently got a near-perfect score from Consumer Reports, wants to have 50 of its own stores by year's end, up from 34 in the first quarter.
Writing in his blog last year, Musk argued that existing car dealers have a vested interest in touting conventional gasoline vehicles over electric cars since that is the source of most of their sales.
"It is impossible for them to explain the advantages of going electric without simultaneously undermining their traditional business," he writes. "This would leave the electric car without a fair opportunity to make its case to an unfamiliar public."
--Jonathan Berr does not own shares of the listed stocks. Follow him on Twitter @jdberr.
Bottom line - if the car is too expensive, people won't buy it. If Tesla is willing to take that risk on, I say let Tesla go for it!
What NADA really means is "Whaaaaaaa. Make Tesla play with us...whaaaaaaa.....we want our share of their profits....whaaaaaa!!!!"
If the automobile dealers do such a great service for the consumer then consumers will demand a dealer network for Tesla. Government should stay out of this issue and let Tesla sell its cars the way it sees fit.
Remove the welfare tax credit from the cars.
Government shouldn't have any say to who they sell to and how.
Direst to consumers buys force prices down?
Of course it would. That's the problem, it would KILL NADA's profits
ANY company that claims that a new competitor should not be allowed to compete with an established company, because the public would be hurt, is LYING. The ONLY thing to be hurt is the established company's profits. They don't WANT to compete!! They want guaranteed profits. Well, here's a clue, Capitalism DOES NOT guarantee profits; only state control can do that. If ANYONE say otherwise, they're GD LIARS!!!
Have lobbyists STOLEN AMERICAN FREEDOM TOO!!!!
Don't you think it's about time to REMOVE ALL LOBBYISTS FROM OUR ONCE DEMOCRATIC GOVERNMENT??
Tesla, go one more better, PRODUCE A WORKING MAGNETICALLY-DRIVEN ELECTRICAL MOTOR FOR YOUR AUTOMOBILES and the American People will buy them REGARDLESS!
They are DAMN NEAR FREE to operate and they are 100% NON-POLLUTANT! Then, they CAN'T STOP YOU FROM SELLING DIRECT because you will no longer be in competition with them. Their automobiles are HIGHLY-POLLUTANT, i.e., A totally different brand!!!
Use Howard Johnson's 3 viable patents and we already have the AC/DC motor technology to make this conversion very quick!! GET IT DONE!!!!
It's embarrassing that a company must petition the President himself just to be able to market their product in a way that others don't. Sometimes I wonder: what happened to our country? This isn't the America I thought I would inherit. The place I was raised in would never cut off an avenue of marketing a product.
And who the hell is NADA (wonderful acronym, by the way, considering what they are doing here) anyway? And who died and dubbed them the arbitors of competition?
I meant say as long as any government does not subsidize it. That it pays all taxes like everybody does.
This unfortunate nation has had the pleasure of being led by a bunch of weenie pussies for the past few decades. Get off your knees and taking loads in the face and kick some **** and stick up for what the people want.
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