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Car dealerships revert to pens and paper after cyberattacks on software provider

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Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#21
post #13

This is what happens when a single player (CDK Global) has massive market share (90% when measured by number of vehicles sold [0] --- EDIT: this is actually the combined market share of CDK + Reynolds, who have a non-compete agreement ---). The entire industry becomes fragile to product issues and/or malicious attacks. Anti-trust is important. [0] https://casetext.com/case/loop-llc-v-cdk-global-llc-in-re-de...

Also, the vendor becomes insulated from customer demands.

Why patch things or work your ass off, when none of your customers have an alternative? (especially if PE buys the business or CEOs get a stock price focus and gut engineering to keep-the-lights-on levels)

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#23

Related note: car stealerships are a relic of the past. There is no reason why a middleman should exist when buying a car. Consumers should have the option to purchase directly from the manufacturer. I am personally not a fan of Tesla as a vehicle, but I admire the business model of buying directly from Tesla. Stealerships are a drain on the consumer. All that land they own can be used for productive economic activit…

I agree they're useless middlemen but I don't believe for a second that the direct-to-manufacturer model wouldn't also be enshitified eventually too.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#24

Related note: car stealerships are a relic of the past. There is no reason why a middleman should exist when buying a car. Consumers should have the option to purchase directly from the manufacturer. I am personally not a fan of Tesla as a vehicle, but I admire the business model of buying directly from Tesla. Stealerships are a drain on the consumer. All that land they own can be used for productive economic activit…

I think you go too far. I too have a deep dislike for dealerships, but they are not useless. Specifically, it's a place you can go to test drive cars and they have OEM-certified garages for warranty repairs. Can't test drive when you buy online.

I think the main problem with dealerships is the government granted monopoly. If a dealership is in a region, most states prevent any other dealership from setting up shop in that region. That's why so many of them are passed from father to son like a dynasty. No competition at all -- and they act like it.

Restore competition and the "stealership" aspect should go away.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#25

Related note: car stealerships are a relic of the past. There is no reason why a middleman should exist when buying a car. Consumers should have the option to purchase directly from the manufacturer. I am personally not a fan of Tesla as a vehicle, but I admire the business model of buying directly from Tesla. Stealerships are a drain on the consumer. All that land they own can be used for productive economic activit…

It's interesting, because in theory the requirement for independent dealerships could promote competition - they can compete to offer the lowest markup over MSRP, offer different addons, or offer better service. Just like going to a specialist shop for computer parts or audio gear or whatnot.

But instead we ended up with a system where car dealerships basically own local lawmakers and got laws passed that not only prevent the manufacturer from competing with them, but make it really hard for people to start new dealerships to compete with them. And the experience shopping for cars at a dealership is absolutely terrible, which shows you that they don't feel any pressure to compete.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#26

Earlier quoted context omitted.

My hot take is auto dealers are a notoriously painful enterprise sales cycle due to network effects aka "good 'ol boys" club (anecdotally from folks in tech who have to deal in this industry).

can confirm. also the high cost entailed to retrain folks from one system to a newer one.

[deleted]

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#27

I'm trying to buy two cars right now, and this has put a big wrench in the process. The dealership can't tell me what's on their lot compared to what's on their Website, except by going out and searching.

Even when the system is working they have to go search the lot, because half the cars listed in the system are phantoms.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#28
post #12

I think every process needs a paper backup. There’s just no telling when something will be down. If you run a SAAS you could offer this as a feature. Even hire data entry people to input transactions later if needed.

Is there anything relevant to recovery / graceful functional degradation in SoC2?

If not, this feels like an obvious match there.

E.g. "Company has a defined and demonstrated process by which they can (a) offer degraded but limited functionality in the event of full system outage & (b) accept data updates via a backup method, until system restoration."

Sure would have helped with Change Healthcare...

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#29

Related note: car stealerships are a relic of the past. There is no reason why a middleman should exist when buying a car. Consumers should have the option to purchase directly from the manufacturer. I am personally not a fan of Tesla as a vehicle, but I admire the business model of buying directly from Tesla. Stealerships are a drain on the consumer. All that land they own can be used for productive economic activit…

I agree they're useless middlemen but I don't believe for a second that the direct-to-manufacturer model wouldn't also be enshitified eventually too.

It's what we had before the laws prohibiting direct-to-consumer/manufacturer-owned dealerships. It's hard for me to find any reliable sources that explain why we got those laws though (was it because direct-to-consumer was bad?)

It seems like the EU has reined in the worst excesses of dealerships a lot, and allows direct-to-consumer. Maybe the US will follow suit in a few decades.

Re: Car dealerships revert to pens and paper after cyberattacks on software provider

#30
post #3
post #2

This illustrates the difference between a Business Continuity Plan and Disaster Recovery.

I don’t know anything about operations management, securitization, etc. What’s the difference between these two? Also, I work for a very large HW company, and we’re locked down . From my point-of-view “operations” just works. What does this look like for a small not-in-computers company? Like, how could the Seattle Public Library have secured itself from ransomware with a turnkey, reasonably priced solution?

The BCP is what you execute while the DRP is in process.

If you have a BCP with no DRP you're probably going to survive, painfully.

If you have a DRP and no BCP the company may be dead before the disaster is recovered.

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