Elon Musk Can't Sell His Teslas in Texas
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- Опубликовано: 18 июл 2017
- In six states, it's illegal to walk into a company-owned store and buy a car.
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When Elon Musk launched the first Tesla sports car in 2008, he didn't just set out to create a mass market for electric vehicles; Musk wanted to disrupt the entire auto industry by cutting out the dealership middleman and selling his cars directly to consumers.
Tesla's sales approach has resonated with customers who want a more interactive car buying experience. Holm, a realtor based in Austin, Texas is one of those Tesla converts. He spends a lot of time on the road driving clients in his Model S. He loves the fact that his vehicle doesn't need much maintenance and can be charged overnight in his garage.
But when Matt went to purchase his Tesla, he couldn't just walk into a store and buy one.
"I actually had to go online, configure it, and order it sight unseen," says Holm. "It was like I was a spy or something getting some James-Bond car delivered."
Unlike the big car companies, Tesla doesn't have a network of independent dealerships that sell its cars. The company runs its own showrooms, but in Texas-along with Connecticut, Michigan, Louisiana, Utah, and West Virginia-the government makes it illegal to walk into a Tesla store and buy a car.
Almost every state has some sort of restriction on directly purchasing cars from manufacturers. The purpose of these franchise laws, which date to the 1930s, is to prevent car buyers from cutting out the middlemen-a big political constituency. The Lone Star State has nearly 1,300 franchised car dealerships employing about 100,000 people.
The National Auto Dealers Association (NADA) has repeatedly argued that the current system of franchised dealers is necessary to protect consumers and ensure fair competition. In a speech before the Automotive Press Association last October, NADA chairman Jeff Carlson stated that consumers preferred the dealership sales model and that dealership networks were "the best, most efficient, and most pro-consumer way of selling new cars and trucks."
But if car buyers really preferred going through third-party dealers, why do they need government protection?
Car manufacturers have tried to sell straight to consumers prior to Tesla. In the late 1990s, Ford attempted to circumvent the dealerships in Texas by starting its own stores and selling used cars through their own company website. The Texas Department of Transportation ruled that this violated the state's franchise laws and ordered Ford to shut down operations.
Now Musk is taking his own shot at selling direct to consumers. In the past five years, Tesla has spent over $1.2 million on Texas lobbyists in an effort to eliminate the direct sales ban.
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They're hurting literally the only car company that makes its cars almost entirely in the US
We have thousands of Teslas here in Houston--I think this narrator is just trying to sell his books....or is it Fake News.
@Chen Lee not anymore, they're making a factory in China to make cars fot the Chinese market thanks to Trump's trade war
Should be awesome for Asian consumers, Tesla can finally take advantage of China's EV subsidies. Also opens up the nearby markets like India.
Pablo don’t be an idiot. China is a huge market. And how many left under Obama’s expensive America. At least ford is investing back
Pablo Ruiz they are planning making hundreds of thousands of cars in China over time to serve the Asian market, as they are in Europe from Germany which will be their largest factory to meet demands in Europe. It’s a smart model.
I would consider buying a brand new car more if the dealers werent involved. Theres almost nothing I hate more than those annoying salesmen trying to upsell me into a car I dont want or need
007K Then ripping you off
You probably never bought a car in your life. Heck, you probably don't even have a drivers license. But here you are, shitting your liberal crap opinion on RUclips.
Sintypitch actually, I've held a drivers license for 4 years, and I do own a car. Not loaned, not bought by my parents, paid for with cold hard cash
007K Did you keep it in the refrigerator?
For just 78999 you cand get you stunning red tesla that will make any girl wet
Mmmmmm just imagine what cars would actually cost the consumer without the *protected middle men* sales model?
A lot!
...less probably.
It's amazing how much our economy is infested with middle men, some helpful but a lot are not. Thankfully, the internet has really helped that though.
Thousands cheaper.
Its part of reason I can't get myself to buy new went to dealer few years back was like "lets talk price" and they flat out would not give price. UNLESS I signed a commitment to buy you realize how asinine that is in order to find price I have to buy. And problem was other dealers were doing same thing. Only way to get quoted a price was to just buy from private seller. Beyond enabling skeezy tactics like this or middle men taking a larger cut. It also creates barrier which is already absurdly high just the engineering of it. BUT then safety road test all that. Cross all those barriers and guess what you need billions of dollars spent on dealerships. BUT it has to be 3rd party so what 3rd party is going to invest in a manufacturer that hasn't sold a single car. While you maybe able to negotiate "side deal" where dealers carry few of cars as a trial run. Fact is most have exclusivity with their chose manufacturer.
The tesla storys not unique it was able to push past alot of these barriers and get noticed because they have so much capital. But there are 4-5 car manufacturers trying to break into market at any given time. That eventually fizzle out due to this limitation. My state has one thats pretty cool little car that few loopholes it sells online like tesla in a few states but it just can't make same push as tesla and despite being well priced desirable car will likely never make it mainstream.
You can't really live in Texas without owning a car. Dealerships here are loaded. The irony is that the first thing to get cut from the state budget every year is transportation, so dealerships make you buy expensive cars to drive on garbage roads.
Texas roads are still 100 thousand times better than Louisiana roads.
Kadulikan pff try buying a car in Germany, you have to pay way more for the same car, pay waaaay more for gas, and then you get to drive on overfilled too small roads.
Texas roads aren't bad lol what? Or atleast where im in. Buttery smooooth.
@@carlosspicy-wiener6727 Do you need a car in Germany? I thought y'all had great public transportation
@@carlosspicy-wiener6727 The roads were big enough when they were planned. The cars got bigger.
I thought Texas was supposed to be a beacon of economic freedom...
Aaron Reichert No, that's just Republican PR. New Hampshire is the only half decent state for economic freedoms
The 'Good Old Boy" read crony/Fascist network is still very much a thing in the south and Texas's legislature meets once every 2 years and not for very long either.
Cancervatives are hypocrits.
They certainly are freer, but not totally.
Not as simple as blaming "Conservatives" if you could even call GWB43 a Conservative, also it said the meat of this law was put in place several decades ago, the Democrats ran the state back then and probably did well into the 1980s if not later.
Dealerships aren't necessary anymore because we have the internet to do our car research before buying, so car salesmen are redundant.
There was an attempt a few years back to make TRUE internet sales a reality but the NADA attacked and killed the effort. Presently many dealerships have created web sites that appear to be true on-line factory direct sales but its actually a sham. After selecting your car and options you will be directed to an NADA affiliated dealer.
Chuck O all Tesla's are sold over the Internet. Even if
Chuck O even if you go to a Tesla store, you place your order on the Tesla website.
exactly, this is the way it's going to be in the future. It's far more efficient and convenient, I actually hate talking to sales people, I just want to see and configure the car myself, it's just 10 times easier and less annoying.
This is the way of the future god damn it, don't stand in our way
It is going to happen... it is only a matter of when.
Probably after the collapse of the big three given the choice to these scumbag dealerships.
Who's here after elon said screw CA
Sauce? Ik this was 3 months ago but I'm curious
@@mj2carlsbad ruclips.net/video/lLGNaQVNJnM/видео.html
@@therealadaa9 thank you
That may soon change. He’s coming.
~~~SOON~~~
Yeah soon
Ted is gonna be on this when the time comes. He will be if he wants my vote. Texas needs all the capitalists it can get right now.
It already did, yall fucking late
In a Cybertruck😎
Paying more money just cause a guy greets and sells you what you researched before hand.... nah
There is zero proof that you pay more for an automobile buying from a dealer, opposed to buying direct from the company. Does Apple sell iPhones for less than electronic retailers or cell phone carriers? No. In most major cities, there are multiple car dealers for a particular brand, competing for your dollar, promising to sell you the same product for less. Those dealers at the same time negotiate to buy their cars as cheap as possible from the manufacturer. You get none of that when a company sells direct. From a "Free Market" stance, if the TX government believes it is missing out on tax revenue from missed Tesla Sales, or enough TX residents want Tesla showrooms, then the laws would naturally be change. Stossel is making an academic argument with little to no applicable results.
manny q this ninja just compared iPhones to cars 😂^^
And lies to you in order to make commission
@@conchobar iPhones sellers don't make a shit load off commission either and don't lie through their teeth and fuck you financially the way car dealers do
@@conchobar Having your car from being delivered to you isn't cheap and even if there was no difference why shouldn't car companies get to decide where they sell their cars?
Its legal to rip people off. Wow
tf kalecgos
I totally love how racist inbreeds lack the ability to write complete and coherent sentences.
and illegal to avoid lolol fuck american politics
Republican state, republican policy. It is all about fucking people in the ass with the largest dildo possible.
welcome to the "free market" according to the Americans.
Texas can’t sell their Elon Musk in Tesla
Andrew G08
Actually a true statement if you think about it.
Sounds like perfume can't be sold in Tesla store
Texas cancels their elonged musk to Tesla
Lol I live in texas and literally see them everywhere
You have to buy it outside of the state and have it delivered in Texas
Tesla is going to win this battle. Just watch!
@@fudgefactor1639 The law did change? That's great to hear. Do you have a link for it?
@@DarkestKnightshade The law is still in place. However, Tesla has gotten adept at handling the purchases as out of state transactions. The tide is turning, most of the Texas GOP suports allowing direct sell, but the Governor and key members of the State government still oppose it. So the change will happen, these dealerships are jusr living in denial of the inevitable at this point.
@@Nuvendil Smh kind of surprising for such bad capitalism/corporatism to exist in this awesome state. But like you say, it's getting weeded out. The corrupt moneymaking schemes can't stand forever. I still love texas.
"Dealerships are pro-consumer!" No they aren't. Not one bit. The biggest, clearest problem is dealers get to pick the price they sell at. Look at Dodge's Hellcats! They sell for usually 30k above MSRP! Straight from the manufacturer keeps the prices down and regular
Ian Austin the manufacturer also herd of this happening and stopped selling there “kool” car to the dealerships that did that
While I don't really like dealers, they are a necessary evil. I have my car maintained at a GM dealership. I follow every single maintenance plan and while it costs a buck or two the car is meticulously maintained and runs well. I couldn't bring my car to a free dealer since it has a 400V-on board system.
@@manoman0 they can be a necessary evil if people are willing to pay and create the market for it.
But they muscle your government leaders to FORCE you to support their dealership industry and snake oil salesmens.
@@7Amps i continue to hear many stories about how car salesman do their best to lie and cheat people. I don't care for their industry; it's a sham.
Don't buy at a dealership then.
2:05 - "You should embrace the franchise dealer network as ... the most pro-consumer way of selling new cars and trucks."
What a load of horse shit. The most pro-consumer approach to selling vehicles is in the cheapest and most convenient fashion, which in many cases is straight from the manufacturer.
Not necessarily true. The dealership model fostered competition by preventing sales monopolies by the manufacturers. A buyer would lose all bargaining power if they only had one place to go to buy the car they wanted. On the other hand, Tesla has a legit case here in that dealerships would be incentivised by Big Oil to NOT sell their vehicles, or offer the sales experience Tesla wants to provide their buyers. In the end, Tesla should just offer up dealership licenses in the way other exotic car manufacturers do; group it in with Mercedes, Porsche and BMW.
Sells Japanese. Sells German. Fucks American companies. Texas isn't anything but a bunch of stuck up pricks
except there are problems with quality control when its direct to consumer. Middle men usually take on that task.
Labeld how many car makers are there today? 1? 2? there's dozens, the dealership model for preventing monopolies is useless in this age
If I wanted to buy a Ford Pickup, I have several options on where I can buy one. If I was required to go to Ford directly, I would be forced to pay whatever price they wanted to charge. The dealership model was made for precisely this reason. As I mentioned in my first post, I do see Tesla's point of view though.
My grandma was already scammed by a dealership. She didn't know she could get a huge discount due to her age, and the seller tried his best to convince her to buy a cheap car in full price, when she could have gotten a sports car with the same price. It's infuriating to see how some people are inhumane and greedy.
Dammit Texas you were supposed to be the chosen one!
Edit: Lets give a round of applause to Jason Isaac for his ongoing battle.
just a matter of time.....slimy dealers, your days are numbered....
What the fuck? Part of America doesnt allow you to buy a thing just because a scammer does not get his cut? I thought It was 2017 lmao
Amazingn0ne there not scammers, there just using legal loopholes to protect there buissness.
this happens in several markets within the U.S. Crony Capitalism.
Unfortunately the US government has its fingers in nearly every industry, and as long as innovation continues the looters will go crying to the government. And the government will merely support the highest bidder. Thus fuck government and lobbying.
Amazingn0ne America.... where regression is the latest advancement
3munchenman Wouldn't that be the industry having it's fingers in everything?
"CARTEL" you bet you're right.
Fast forward 3 years and I see Teslas everywhere here in Texas... and now Musk is bringing them here to build. Hey, things change.
Why would anyone want to buy direct from the company when it is so much fun going to a dealership... ( sarcasm )
Any y cant we order online!
Just the thought of going to a dealership increases my anxiety.
I have eaten a river of shit over my attempts to be funny - better to be clear from the off.
The best thing about dealerships and having a trade in is the fact that you not only take it in the shorts on your purchase, but more times than not, you actually are giving your trade to them for basically free.
The same reason as to why Tesla get Govt. tax payer subsidy....
Bucketlist:
1) Move to Texas
2) Buy a Tesla (who cares how much of a hassle it is)
3) Drive and park in front of lawmakers' homes/offices
Chris Collins did not just watch the video
Michael Johnson ha ha that is a good one but it is more work than it is worth!
Local Memes This video is a bit misleading...it’s actually not as difficult as they make it
Take it from me, no one in Texas wants you here. Stay where you are.
I walked into a dealership once, and that was it, I’ll never buy a new car, always used
You also cannot purchase liquor on Sundays anywhere in Texas. Consider these facts next time you see a Texan puff their chest out to remind you how free they are.
"This law dates back to the 1930s"
So basically it's car dealerships realizing they're useless and no body wants them and they're relying on ancient laws to justify their existence.
Like coal, a lot of old school businesses and industries just don't cut it anymore.
DirtyMilkMan Bingo
DirtyMilkMan Coal still cuts it because it's still cheap. It's environmentalists that are trying to kill it with excessive regulations.
DirtyMilkMan yep. Or like the electoral college.
The only govern for their own state of Texas not the rest of the 49 states.
J 3psilon you mean it makes this country NOT work... or do you call this functional?
Direct sales are the way of the future for car sales. Why buy from a dealer when you can buy from the manufacturer
before we kill off hundreds of thousands of jobs in car sales, how about we figure out how to replace those jobs.
its great to say lets just wipe out dealerships because its a dated model, but whos going to have the income to buy those shiny new teslas?
senor frog You do realize that the jobs argument is pointless right, the manufacturer still will have a dealership, just not owned by a third-party. The jobs argument is a pure piece of BS from the dealership association.
The job argument is one of the worst arguments there is. In the history of human kind thousands of jobs died out. Industrialization "killed of" hundreds of thousands of jobs. Embedded systems, electronic controls and software automation "killed of" thousands of jobs. But in the same way, it created new jobs in different industries. That's just how technological advancement works.
Edit: also, just because manufactures aren't required anymore to go through dealerships doesn't mean all dealerships will close. If they provide good customer service, give good advise, etc. people will still go to dealerships. If their service is shitty though, they (of course) will lose customers.
+senor frog
Worthless jobs are jobs not worth having.
direct sales of everything is the future when buying anything
I’m a dealership technician. If we can’t compete in a truly free market, we deserve to go out of business.
I agree that car makers should be able to sell direct, but I have read stories too of Tesla remotely disabling or de-tuning cars because someone had their Tesla serviced or repaired by someone else, even panel repairs that have nothing to do with the complex electronics, so even where Elon Musk champions free market on one hand he shuts out competition on the other.
Nobody likes shopping at car dealerships.
NOBODY.
dealers and lawyers are the least trusted professions
Long story short, if the state wants to deny itself of a business opportunity, I'll be glad to buy out of state. Fuck these crony dealership-government alliances, holding the free market hostage.
Thurgor Supreme I'll be going to Oklahoma to buy and be able to service it at Dallas Love Field Service Center.
Seth Johnson Shitty rules are meant to be broken, especially when they're only in place because of crony government practices
BiteSized Apple didn't scam you. Supply and demand. No one forced you to buy anything.
A shitty law doesn't become more valid just because it is an old shitty law. Tesla, Solar-City Corp. and SpaceX all together got 4.9 billion dollars in government subsidies. Oil companies got 78 billion dollars in government subsidies. General Motors, Ford, and Chrysler received at least 4 times more subsidies then Tesla did.
What? Tesla isn't taxpayer funded
I live in TX, lemme guess.. the big oil companies have their bull shit hands in this to make it harder to by a EV car.
Some of us like our firearms...AND sticking it to big oil.
+Unum sed Leonem there is no law that says you can't hate big oil, believe in climate change, love progress, and also love guns
you just described me to a T.
Benelli 828
dude watch the vid!! its not big oil its big old nobody wants to face competition so they build a lobby againmst direct car sales
3:23 "It establishes a monopoly for him and eliminates his competition." Tesla's competitor's are other car manufactures, not a local dealership. Removing the middle-man salesman does nothing to hinder the business of Ford, GMC, Toyota, etc...
Seems logical and clear to me, but I'm not a politician looking to fund my continued existence.
This guy is two faced he claims to be for the consumer while at the same time disabling vehicle functions if you do your own repairs or repair outside of a Tesla dealership.
Elon Musk: “Buys Texas”
One state's ban is another state's tax revenue. LOL!!!
yup
If I was a state governor in a surrounding state of Texas, I'd run some commercials in that state to get folks to come to my state to buy more Teslas. Last I checked, sales tax on $70K is a boat load of cash....
+1
kyoko703 Yea but what about us Texans :,(
When you buy a car out of state, and take delivery out of state, the state you bought it in doesn't collect sales tax. Sales tax is only collected when you register the car, in the state you're registering. I have bought two new cars out of my home state, one car in the next state - 90 miles away, and another car 800 miles away.
YOU save no tax money buying a car out of state, and only your home state collects the sales tax.
Sounds a pretty socialist type of law if you ask me.
So much for "free market".
But that law is in republican states
Actually what still makes it a free market is the fact that our government is allowed to get rid of that law, and the people can demand it to be removed or do it themselves. If the people want that law, then let them have it. If they don't want it, they can run for office and work to remove it or demand their leaders to do so.
Thanks liberals
Yeah! F'ing socialism!! Except it only benefits a few rich guys, so... Merica.
@@americanwaffle If people vote for more socialism, is it still a free-market? Of course not. Youre confusing free-market with democracy. If the citizens in a democracy to tax themselves by not getting rid of the middleman, it's no longer a free market.
Texas: "Land of the Freeeeee-ish"
Land of Free Shi$ right Dallas?
It doesn’t help Tesla that Texas’ big money is in oil. Selling an electric car doesn’t help their profits.
its a double threat because car dealerships are owned by the central banks. the cars run by big oil. the only group missing from this big evil is the big pharm. then you'd have him fighting every evil in our world today
Texas is against government regulation, unless it's something that hurts big oil.
This regulation literally has nothing to do with "big oil" and has hurt gasoline powered cars and their manufacturers far more. This regulation is meant to help the car dealers who middleman the entire process instead of the car companies or the consumers.
Er, an increase in the number of Teslas (and other EVs) on the streets decreases the need for oil. So yes, a growth of Tesla sales is a threat to Big Oil as it really doesn't take much to crash the oil market.
Khaos they are lot more effecient that petrol and diesel. The energy produced in a plant is lot more effecient that the same energy produced in small but many cars.
Do you understand that Tesla is solely supported by taxpayers. That without the green money that obama gave them that they would not exist and without subsidies no one could afford to buy one? Tesla won't last 10 years because when it comes time to replace those batteries there won't be a subsidy helping out the consumer and those batteries are likely 10 to 15 thousand dollars.
+snoopyloopy
except Tesla's aren't banned in Texas, they're just banned from selling directly to the consumer, like every other car company is. Did you watch the video? Ford tried doing the same thing, and they got hit with a multi million dollar fine. Let's be real here, the laws are protecting the middle man, which is the car dealerships.
There's a car that's made in Utah that can't be sold in Utah. It's sick, twisted, and mad.
True, and its a gasoline car. Vanderhall Motor Works (vanderhallusa.com). A lot of people don't know this but its a small start up thats being sat upon because they need to sell factory direct. The big dealerships and the Utah auto dealers won't allow him. libertasutah.org/interview/utah-automobile-manufacturer-prohibited-from-selling-to-utahns/
That's the one. Complete B.S.
our roads are better than oklahoma and new mexico
But Utah also has roads and hasn't gone bankrupt
3:10 when the logo is so good it presents itself
Sell them anyway and sue the groups and Politicians that are the Opposition!
Don't know why you are sugar coating it. Simply call what it is, corruption.
As a texan, im disappointed. I hope texas fixes this shit!
swiss moneybag lel.
swiss moneybag, what's to fix? Regulations were overturned two years ago in Texas
KEK
No then I have move to Europe
swiss moneybag write to your representative
2:09 I don't think anyone on Earth believes franchise car dealers are the "most pro-consumer way" to buy a car
Seems true for large appliances too . . ...
Car franchises are cartels. Pun intended.
Lol
America wants more American companies but as soon as one pops up people are scared of it XD/
MHG Scrubadub
That's not the reason dumbass. Texas is a big OIL state.
just saying. It's a pretty funny coincidence.
thats y i always laugh out loud when some fool screams in the comments that AMERICA IS FREEDOM lmao.... they have no idea what their country really is all about lol..
people aren't scared of it..it's only the people who are in the same business as that company that are frightened.
mmmodafoca thats true. its just a funny thing to think about
Why tf was ChilledChaos' intro music playing at the beginning?
And now Tesla is building their next Gigafactory there. Funny how times change...
"Land of the free"
That joke never gets old!
Compared to what rest of the world? Not the western world at least. We are much more free than any American citizen. You live in a police state for god sake.
You don't have a simple tiny problem. Almost every politician is corrupt in the US. You have legalized bribery of politicians. No proposed polices have followed public opinion since 1982. But they do follow the opinions of donors though. Scientifically proven.
So yeah, no democracy is surely a simple tiny problem...
we're not even a democracy, we let people vote for us.
maveric2170 Well, it's supposedly a 'representative democracy', but of course it's anything but that thanks to the corporatism that runs deep in the american political echelons.
You got the money, you got the power, that's the rule of the land in America.
Quite simply what do i need a salesman for.....NOTHING! Ive been to a tesla store and the employee was better and more informed than any sleezy salesman.And he wasnt breathing down my neck trying to make a sale.
Tesla is shit, 6 figure government subsidized car for aholes.
You have to give them $6k for existing. That is why.
TheBigGuy3380 your argument (is it even an argument?) doesn't make any sense at all. And if Tesla is so "shit" what is there to worry about? Remove this restriction on free market enterprise and the market will send all of the "shit" players to the wall.
@@proletariat9467 they paid back their one government ATVM loan (which other automakers took, in higher amounts) early and is not government funded at all. Wtf are you blowing out your ass?
Night Rider exactly 👍
That’s funny, that’s where I saw my first Tesla.
Was in San Antonio Texas
2:06 I started cracking up
Texas tells automakers how and how not to sell their cars? Didn't know Texas was communistic.
They're also racist and sexist .
idpro83
No no no, for them anything that they don't like to do or approve of is communistic.
See, so its fair.
Damn 😂 ain't that the goddamn truth
idpro83 Its more socialist. I still agree though. I didn't even know about this issue.
As a Texan I hate this. My dad wanted a black Tesla Model X. He got it but he went through hell just to get it. My mom wants to get a Model S herself but because of this she just plans on keeping her BMW for now.
William Shinn sounds like you guys are hurting for money 😂
Isn't it as simple as buying it from another state?
are you planning to get a model 3 as well?
William Shinn why not just take a bus over to another state, buy it and drive it over? Who is going to stop you if you already own the car?
StealthyMonk They can use a black car fine as long as they either cover it with reflective foil or keep it in a garage when not driving, however you have a point that silver cars are better, reflect sunlight at high temps, high visibility reduces accidents, dirt isn't as visible as white, and not particularly as a colour for most people. Personally I prefer metallic blue but black has no upsides except being camouflaged at night.
I work at a carwash in pearland texas and I've seen four so far
Rule of thumb: if you need the government to force companies to buy/sell products in a certain way, it's not free market, it's regulated market.
Dealerships are greedy
You got the cartel part right.
heh *car* tel
Skarn22 😂😂😂😂😂 CAR
CARtel lololol
At 0:22 should have been... "When Elon Musk launched the first Tesla sports car, he didn't just set out to create a mass market for electric vehicles, he wanted to disrupt the entire auto industry, BY CREATING A CULT FOLLOWING..." which he succeeded... don't believe me?! just read the comments that's going to follow this opinion... just watch!!
Bill A, sorry but I have to disagree. Elon's products and goals speak for themselves. There would be no cult following (your term) if his products were poor and his goals weren't admired by millions of people world wide.
Why tf is my highschool in the background😂 1:42
Concentrating auto sales into a handful of mega corporations is pro consumer and pro business. Okay.
directions to Texas: go west until you smell sh*t, that's Oklahoma. go south until you step in it, that's Texas.
J Bolo lmaooooooooo
Nah, it's nice here man, we just need a little more edjumacation. And that smell isn't shit, it's seaweed. ;)
Why isn't New Jersey on that list? We have the exact same law here.
The five states were highlighted at the beginning of this whine fest.
Buff Awesome Maryland did have a banned but was recently lessened to have a max of 4 stores
More recently you've now been able to. The law was changed.
From 2015: www.slate.com/blogs/business_insider/2015/03/18/tesla_bypasses_dealers_in_new_jersey_governor_chris_christie_signs_bill.html
If going online and ordering your car via 10 clicks is called “jumping through hoops” then what is not?
National Auto Dealer Associations acronym is Nada. Lol
Cronyism plain and simple.
If car companies were allowed to sell their cars directly to the customers, then car prices would be down by an average of $1,800, but car dealerships have bribed politicians and passed laws that make it illegal to sell cars without a third party dealership
i hope people start demanding an end to car dealership monopoly
I drove a Ford F-150 for 17 years. Back in '07, I wanted a new truck. Upon visiting the local Ford dealership, I found that the F-series was selling for $40k (F-150) , $50k (F-250), and $60-75k (F-350/diesel). After changing pants, I drove to the Toyota dealership and plunked down just $26k for a much nicer vehicle which was built right here in the USA, a Tundra. The average dealer markup is $13k at Ford/Government Motors(GM)/and Mercenary's Bends (Chrysler/Dodge), while Toyota gave me $3000 off the MSRP, included all add-ons free, and threw in a =zero= percent 60 month loan. I hadn't liked a dealership until I found Toyota.
Cartel is right, for the others. Time to toss out every single Rep and Senator (plus all their pages, who know the dirty secrets) and start over with a less corrupt gov't. I had no idea the gov't mandated dealerships, but it's time for it to stop.
Keep Drainin' That Swamp!
I like Tesla and electric cars, but they also have bad customer service when your warranty ends with them and then they start charging through the roof on replacement parts and if you try to fix it yourself they will start turning off features such as fast charging , there should be some sort of buyer protection from big companies from doing this
There are Apple Stores in Texas - shouldn't they close down because they cut out the "middle man" retailers like Best buy?
J Groenveld Apple doesn't step on the toes of big oil.
This has nothing to do with "oil."
It's an ancient law that may have made some sense in the '30s (though I doubt it).
But now, it's about the extremely wealthy car dealership owners keeping out competition that wouldn't use their companies.
I think you missed the part where Ford got blocked trying to cut out the middleman and fined.
there are arabs bribing politicians in texas to keep tesla stores illegal for as long as possible
arabs?? im sure arabs don't own all of the car dealerships in texas bruh..
Tesla: But were made in America
Texas: Yeah we don't give a fuck
its not even texas its these so called association of dealerships who wants to prevent these from happening like TADA texas automotive association something.
Mr_ NutZ at the end of the day Texas is the one enforcing the law so they are to blame
If you put it that way, it almost sounds like a good thing.
+Gus Johnson You don't have to dispose of the batteries, you recycle them.
Gus Johnson coming from a farmer to you... your an uninformed brainwashed idiot now if you can read I'll prove this. The link I've attached is a business biography on Musk. He's created 3 companies PRIOR to Tesla all of them selling for more then 90% of what Americans will earn in ten lifetimes.
www.businessinsider.com/companies-elon-musk-invests-in-2016-4/#1-musks-first-company-was-zip2-corporation-the-webs-first-yellow-pages-in-1995-1
Second really on the batteries??? Have you heard of recycling??? The lifespan on these batteries is VERY comparable to the lifespan of a gas car. Look at all the combustible engines that waste away in junkyards! Look at all the used oil that gets illegally dumped. That toxic crap finds its way to waterways above and below ground.
The days of petro engines are numbered and not just cars. I for one WANT an electric truck, tractor and combine and I believe I will see this in my lifetime. In the meantime the corn I grow feeds people NOT engines. You obviously don't understand because you live in the food capital of the world BUT there are over 7billion people on this planet and in many countries people starve to death every day.
I'll leave you with an idea. I think you should boycott Tesla by going on a hunger strike. Just a thought for you to chew on.
In the EU, dealership requirements would be deemed as a measure having equivalent effect to a quantitative restriction and thus illegal
2:20 that’s in Alhambra California
Tesla is getting rid of the dealership and going the savings to the customer.
how???
JohnsRadios, they need the "showrooms" for the free super fast charge stations
if they don't use dealerships how is someone going to get their car serviced??? or if they need repairs?? or if they want to cancel the lease or sell their car???
Where's the proof they're saving the consumer ANYTHING?? Have you seen the sticker price of a tesla?? The price is anything but competitive, even when comparing in the luxury class. Tesla doesn't want dealerships because they want the extra slice of revenue that NOT using dealerships provides. You're an idiot if you think this is to benefit you.
myNEONCITY If Tesla is a bad deal, consumers will buy from a dealer. Let the free market sort it out. Consumers aren't stupid.
I love (not) when people call competition, anti-competitive.
Good job Texas. So free of you. Must really love your rights there.
You must be forgetting that commiefornia and NY pay for the retarded red states. Just off yourself, and save us the headache.
you talk about "commiefornia" while lobbying to ensure your spot in a competitive enviroment is..unAmerican and socialistic.
Ca La Yeah, but would be denied his 2A rights.
jon paul. Come on, an American talking about world leading violence. Once your country doesn't have a mass shooting every other day, then you can talk. Until then, Yosemite Sam. Shut your ignorant ass up.
shadfurman I love my right to protection of homestead.
true but where will you go for service or maintenance
"Dealership Cartel" haha that seems fitting
These are extremely outdated laws. Without them, we could be buying cars for much cheaper through Amazon or even big-box stores like Costco. Of course, state and local lawmakers are highly incentivized to keep that money rolling into local businesses, so don't expect to see them change anytime soon.
Local businesses give you and your family a place to work. If you take out the middleman stealership requirements then places to work will disappear. Imagine buying your next car on Amazon, would be great! At the same time though what happens to all the dealerships that are no longer needed. All the jobs leave with them, we're already having this problem with retail stores such as Bestbuy. Sooner or later, their doors will close and Amazon will be the monopoly king.
yes sweet then ill work at amazOn
They aren't hiring either, robots took those jobs!
Anthony M then anti trust laws will force the government into splitting up the monopoly like Microsoft.
People will get jobs with Ford when they can sell direct and grow because of the much needed infrastructure.
i will repair their robos
Is this the land of the free? Really?
Henk Jacobse hell no. Land of the corporations
I mean, if the issue gains enough traction you can change the law. Jesus you people act so oppressed. Boo hoo.
The free market is an issue?
Free and lawless aren't the same thing.
Nuanced point. The free market itself is not the issue. Companies paying higher-ups to pass or maintain laws in their favor is the actual problem.
Nice Cadillac Brougham at 4:18. That's the cars we should really have on the market today
Dealerships need to go. 100yrs of this abuse has been enough. Get rid of them.
fuck this... this is part of the reason why I'm buying a Tesla!!
Ashanti Perkins
I'm right behind you. Seriously considering a Tesla as my next car, and things like this are no small part of the reason. ;)
Ashanti Perkins , you won't regret it!
I agree that these laws are complete bullshit, but i'm not crazy about electric cars.
Jake 4.7 Then don't buy one.
I've been driving a Tesla since 2013, and I won't go back to gas. But, there are some circumstances that make them inconvenient. But, as Tesla's Supervharger network grows, it just gets easier and easier. I charge at home every night, so every day, I start with an 80% charge = 245 miles. I only exceed that when taking a trip.
Weazel , the battery has an 8 year, unlimited mileage warranty. At present, no one knows how long the Tesla batteries will last, but they're estimating at least 500,000 miles.
Jobs at dealerships aren't so great from what I can tell knowing several people that work at them. People so desperate to sell cars they had a clown (literally clown) throw himself on the hood of our car as we tried to leave when I was a kid, not the most pleasant experience.
Sorry you had to go through that. Way to drive customers out rather than in.
At 0:22 should have been... "When Elon Musk launched the first Tesla sports car, he didn't just set out to create a mass market for electric vehicles, he wanted to disrupt the entire auto industry, BY CREATING A CULT FOLLOWING..." which he succeeded... don't believe me?! just read the comments that's going to follow this opinion... just watch!!
@TheBigGuy3380, you are missing the point entirely. People should be allowed to buy directly from manufacturers. You should not be forced to go to a car dealership and deal with people who have a perverse incentive to extract as much additional margin from you rather than having the car price be set the same for everyone. If dealers want to compete with a mass-market price that the manufacturer sets and you are allowed to buy direct from the manufacturer *as well as* from a dealer, I'm fine with that. The only reason that dealers don't want that to happen, however, is because they know full well their business model would die, since people loathe dealing with them.
Every single interaction I've had with a dealership has been negative.
Tesla by the way is not government funded. The government programs Tesla takes advantage of are the exact same ones that GM and other car manufacturers also use. But I bet you aren't going to call GM, Honda, Nissan, and other brands "government funded" too.
lol, bullshit...i know a 23 year who made over 150k last year selling cars.
Killer clown
I tried customizing a Cadillac on their website and after inputting everything I wanted with a price, it just took me to a page that said find a dealer and request a quote if they have it in stock. Not very pro-consumer. Dealerships require consumers to have to fight tooth and nail for a decent price and still be unsure if they got it at the end.
C'mon man, this is Texas. Texas is home of economic freedom and prosperity with minimal (or in Huston) to no regulation; this is something I'd expect out of California.
Two words. Political Lobbying
Or public corruption
Or... Welcome to *The United States of LEGAL BRIBERY*
I live in Vancouver, Canada and we don't have Uber because the government banned it to protect taxi drivers :'(
Good for Vancouver. Uber is taxi, just without the trained driver, the insurance, the paid taxes, the guarantee that the car will work or that you will reach your destination.
Uber is how transportation works in 3rd world countries. But with an app.
Without the driver trained to know the streets... Huge problem in the modern days.
At least in Russia all Uber, Yandex.taxi, Gett and etc. drivers must have the taxi licence and ensurance. They also pay taxes. I don't get the problems some countries have with uber.
That's why you should let the free market decide. Let the consumer pick if he wants a insured taxi driver with all the paper work, or some dude on an app. Some government regulation has it's place, but good god it's doing way more harm than good right now.
trained driver? is that a joke?
it made me laugh
"Allowing someone to do something, establishes a monopoly for him" 3:26
That’s weird because I live in San Antonio, and there is a dealership here. You’ll see load of Tesla’s here.
I'm not crazy about musk. but just like healthcare should be open to all in every state.. so should choice of a car.
Wow you don't like a man who is trying to make this shit hole a better place? Weird
Jonny Little ?? because I think he's not such a nice guy you feel like insulting me? come on.. grow up.
Say he puts car companies out of business, that means 100s of 1000s of American jobs gone. Wants to make just electric cars, great fine. But what happens when he disrupts the oil industry? More American jobs, gone. He is also trying to make electric semi trucks, so then what happens when companies like Caterpillar, Cummins, and International can't sell enough engines to companies like Kenworth, Peterbuilt, Freightliner, MACK, etc.? More American jobs, completely gone. I feel like what he is doing with SpaceX is great, but with Tesla, not so much.
Your concern for the oil and semi truck industry are valid. However, Tesla is not going to shut car companies out of business. I bet that a majority of car companies will pivot (most already started) and will just start building electric cars instead. Tesla is not big enough to supply a world wide demand for cars.
Alexander Sage, Not just yet. You just wait and see.
Once the cars are fully self driving it won't matter. Just buy one from wherever and tell it to drive to your house, as long as there are charging stations along the way that they can connect to on their own it won't matter... This of course is still a few years away...
"a few years" Maybe a BIT longer than that...
skeptic moderate while total self driving might be achieved in like 3 -5 years but removing the human completely would still be quite risky
Thats a brilliant idea! Imagine the butt hurt from transportation industry that will follow.
Sam Illing until its hacked and it takes you to a goverment prison facility against your will for you to be processed and put in prison.....
no thanks
Angry Skeleton Corn Man 782746 paranoid much?
Roads are very cracked in Hollywood CA. I visited there with a friend in 2010.
If you could, I can still see some dealership pulling the refusing to work on your car, card. because you didnt buy it from a dealer. or charging you more.
People want to buy a car without dealing with slime bag car salesman. Buying a car should be as easy as buying a loaf of bread.
scumbags want to tax food now...
and the air some people breathe lol
Incognito12000. I have to disagree with buying bread these days. You've got hundreds of types of bread from whole meal to gluten free, banana to raisin, yeast free to uncut with the crusts cut off. I'm so confused these days
Haha, next you're going to tell me weed is also illegal in Texas...
... Wait.
It at least used to be cheap, we had good stuff coming over the border, sadly, Obama beefed up the Border Patrol and then all we got was that dirt brown shit that the dogs couldn't smell. Ironically that worked for me, I worked in kitchens, so I effectively got priced out of smoking. That allowed me to get into oilfield lol.
The Outsider Weed has soooo many benefits thats why its illegal. Weed will do to tobacco companies, pharmaceutical companies and a whole lot other corporations what Facebook did to MySpace. Oh and cannabis oil cures cancer
Oh, how the turntables.
I got a dealership ad on this video
Now do a video of how dealerships increase the price by $5,000 for every other car sold. Consumers are being screwed.
Why can't I buy healthcare directly from the doctor? The AMA is the same goat-rope show in all 50 states.
Matthew Richardson Agreed! I'm Canadian and it amazes me that Americans thinks health insurance for everyone is the same as health care for everyone. Cut the middle man out!
Matthew Richardson bc with health insurance what other people do affects you, and if u have bad health and these companies only take people with minimum conditions then it defeats the whole purpose
Umm, Limey? you refer to a person from Canada using a very very old piece of American slang intended to denigrate someone from Britain? Canada has never been a colonising participant of the United States. Indeed at one time the US wanted to invade and occupy Canada. Oh, and no, I'm not Canadian. Just letting you know than Canadians aren't Poms.
If everyone paid their fare share of taxes then healthcare would be affordable for everyone, without the need for so called health insurance companies that rip off the American public. Just as in every other civilised country in the world, a little bit of your taxes is all it takes, not huge monthly insurance payments as you do now.
@eric Wolff explain why the obama administration did not make that happen as promised for years by the Democratic Party? Democratic Party had no intentions of making public health insurance for everyone because of lobbyists and special interest groups. The obama administration penalized the working poor for not being able to afford health coverage. Also, to get full access of everybody's health records from cradle to grave in order to maximize and justify private insurance companies to charge the individual more money. Eric, I realize your a gullible democrat who thinks that the Democratic Party cares more about people than their purse. Hello! Reality check!!!
3:26
Yea...no its the other way around you laying shell
If there is no dealerships, how to you get the car repaired when something goes wrong?