Responding to media on Tesla, NADA sets the record straight

Responding to media on Tesla, NADA sets the record straight

The question of manufacturers selling directly to consumers is settled for now in Virginia and Maryland, but three Federal Trade Commission staffers brought it up again nationwide with their blog defending Tesla. Dealers could still get calls from news reporters who donêt understand the dealer franchise system. Hereês how NADA responded to media inquiries about the FTC blog:

–For consumers buying a new car today, the fierce competition between local dealers in a given market drives down prices both in and across brands. On the other hand, if a factory owned all of its stores it could set prices and buyers would lose virtually all bargaining power. And, of course, buying a car isnêt like buying a pair of shoes online. Cars require licensing to operate; financing and insurance to take home; and they contain hazardous materials, so states are fully within their rights to protect consumers by standardizing the way cars are sold.”

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