Solution to Dealership problem

Solution to Dealership problem

Is there an e mail for Elon?
I have an idea I want to pass by him.

bobsfm | March 14, 2014

here is my note to Elon-thoughts?

Subject: Tesla Nation-A solution to the "dealership" problem
Like many of my colleagues I am outraged that the dealerships in New Jersey and Texas in collusion with politicians are undermining
the basic principles of free enterprise and competition. While I know you will find an appropriate answer to the temporary "noise", we have a fairly simple solution that avoids long term legal battles.

I believe there is no restriction on setting up a "used car dealership" under the Tesla umbrella. Such places could serve for education,test driving etc but not be the primary point of sale for new cars. New cars would be purchased on line, which is done today anyway.
I don't see this method as being much different from current conventional purchase methods and it circumvents the ICE dealership issues.

I know you will find a viable solution, just my two cents.

Brian H | March 14, 2014

Pure deception, since the cars sold never left the mfr's possession. Not happening.

buddyroe | March 14, 2014

How is it deception? It would provide a great outlet to sell used cars coming back in from leases and would also provide an outlet that would allow Tesla to start taking trade-ins. Then, Tesla can sell their used cars and auction off the other brands. At the used car dealership, people would come in a test drive 1, 2, and 3 year old cars. And could be provided instructions on how to buy a new car if they didn't want a used one.

bobsfm | March 14, 2014

Not deception.
They take in cars from customers who have had it a month or so and pay them a little more than the cost

Timo | March 14, 2014

Good luck finding Tesla owner that wants to return car after just a year or two of use.

bobsfm | March 14, 2014

You missed the point. They sell it back to the dealer for equal or a little more than they paid and buy a new one.

They are selling today for more than they cost due to demand vs production

PorfirioR | March 14, 2014

Open a bunch of stores that sell Tesla floor mats, offer the car as an optional item.

mrbarnes | March 14, 2014

There are service centers in the state and there are owners who require loaners when their cars are serviced. All loaner vehicles are for sale (current Tesla policy). These loaners could be sold at used dealers. Prospective buyers could test drive and purchase loaner or order new vehicles. It could work.

jordanrichard | March 14, 2014

Bobsfm, I thought about this idea too, among many others. I am just not too sure if the "factory to customer" ban applies only to new cars. I/we would have to see the actually law and see if the word "new" is in there.

If it's not, then this seems very plausible. Tesla could do a backroom deal like Christie, with present owners. As suggested a present owner is given an incentive to trade in their 2013 MS for a 2014 "model" Perhaps an upgrade, that was the whole point of having P85 loaners, correct? Tesla then builds up an inventory of used cars. They just have to be sure to always have at least one car on hand.

I just thought of another idea. Tesla builds stores that aren't selling cars, they are just a car search service...... :-)

Brian H | March 14, 2014

I'm glad you're not my accountant. I'd be living on negative income.

ggtsla000 | March 14, 2014

free transport shuttle service to nearest out-of-state tesla dealers.

just an allusion | March 14, 2014


LOl! That'll circumvent all of the hoopla!

J.Allen | March 21, 2014

I just hate the idea that they have to act as if they are anything but free to sell their product exactly as they want to.
The answer must include an unfettered Tesla business model, nothing else will work.
I'm convinced that the fight has to be for an all out win, federal judicial order declaring this state-by-state attack unconstitutional ending it or legislation in each state allowing Tesla to pursue their business model.

dollardragon | March 21, 2014

When the Federal government started an embargo against Iran it made it illegal for US companies to sell to Iran. The Koch Brothers started a 100% German Company to get around this and they sold some kind of manufacturing plant to Iran and made a ton of money.

This is where a good law firm earns their keep. They spot loophole big enough to drive through and help create the vehicle to do it. If done right, no one is the wise.

There are probably a dozen good ways to do this and this may be one.