Hacker News Reader

Comment by colinmhayes | Hacker News Reader

It’s not stubbornness. It’s literally illegal in 48 states to sell direct if there’s ever been a dealership for their brand in the state. As the video goes over ford os trying really hard to dump dealers, it’s not easy.

View on HN

Stubbornness in supporting the direct to consumer business model. Talk is cheap, and other car companies can’t even do that, though this Ford CEO here is starting to crack.

What do you want the cord ceo to do? Selling his cars directly is illegal, it’s just not an option at this point. He instituted a rule that says that the in demand cars have to be sold to the person that ordered them but dealerships essentially told him to fuck off. Now what?

Now it’s time to work on changing the laws. Tesla has been going at it alone.

Tesla has massively raised its prices. Why does it matter if it’s a dealership raising prices or the manufacturer itself? The demand is greater than the supply and cars in the U.S. are essential for all but a few households. Prices are going to rise. It’s just a matter of who is getting the increased profit: the dealership, the manufacturer, or a third party.

Dealership markup is highly variable vs MSRP which is across the board so it matters a lot.

Also Tesla prices are only up 15%. That is inline with inflation. Dealer and scalper markup on game consoles is way beyond that.

15% is far greater than what other car makers have raised their prices by. There is a discrepancy between MSRP and what buyers are willing to pay. Someone will attempt to capture that profit.

Reply on news.ycombinator.com