Earlier quoted context omitted.
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)
There's a quiet irony in car dealership networks being fucked like this. They spend so much money ensuring their government-mandated monopoly, only to fall victim to a different kind of monopoly.
Car dealerships revert to pens and paper after cyberattacks on software provider
181–190 of 363 posts
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#182Earlier quoted context omitted.
That's a hell of a purchase to make effectively "sight unseen" without the ability to test drive the vehicle first which you would do at a dealership. The last vehicle I purchased was certified preowned and I went through several models before landing on one - much of my decision was based on how the vehicle handled to me.
We buy so many things "sight unseen" because of the quality and reliability. As an average car consumer, I have done many test drives and gotten nothing out of it except the car salesman looking like he did something. I will buy a reliable car sight unseen like I bought my big screen t.v.
For my car shopping, I've usually been locked into a model before I visit the dealer/private party, but if I test drive a car and it drives like some of those rentals, I'd be back to looking at other things. I also just recently test drove a lower trim / different engine/transmission configuration vehicle than I wanted, because that configuration was available to test drive and the desired one wasn't... and I was pleasantly surprised by the drivability, so I broadened my search (helps that the configuration I wanted is more expensive and less produced; it's easier to compromise towards something that I might be able to buy for less)
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#183This 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...
My entrepreneurial mind immediately thinks: Let's create a better solution to revolutionize this industry and make the old, expensive incumbents obsolete. We can drive to the affected car dealers and migrate them one by one. Of course, I'm not going to do it and it's probably extremely hard :)
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#184I 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.
You can price this relatively quickly, and see that it's probably not worth it. ~1 week outage once every ~5 years, let's say you lose 100% of revenue that week, that's 0.38% of revenue. Now most likely they're not losing 100% of revenue, demand for cars is not very elastic... it starts to get pointless all around. Which is frustrating for consumers, but the profit for perfection isn't usually there.
There's also an argument that developing a backup process is a great exercise to help people understand all the parts of your system and how they interact, as a first step to making them more efficient/redundant/secure/delightful.
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#185For about ten years, I've theorized that we will see the rise of 'boutique' doctor, dentist, and law offices that keep only paper records for the sake of the privacy of their clients. There are a bunch of problems that connection and automation bring with them, the rise of digital monocultures seems to be one of them.
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#186This 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...
Maybe part of the problem is the reliance on the cloud. Will the pendulum ever swing back to on prem?
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#187Earlier quoted context omitted.
> government-mandated monopoly Could you expand on this, aren't U.S. car dealerships private businesses competing in a (mostly) unregulated market?
No, they only exist because state laws prevented manufacturers from selling directly to customers.
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#188Earlier quoted context omitted.
> direct manufacturer auto sales are prohibited in many states by franchise laws requiring that new cars be sold only by independent dealers. https://en.wikipedia.org/wiki/Tesla_US_dealership_disputes not a monopoly per se, but "forced demand"
Doesn't just about everyone hate dealing with a dealership? Shouldn't it be very easy to vote to fix that in a democracy?
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#189Earlier quoted context omitted.
Doesn't just about everyone hate dealing with a dealership? Shouldn't it be very easy to vote to fix that in a democracy?
Too bad it's a Republic.
It’s pretty common for modern Western governments to be both of (Democratic, often also Federal) Republic and (Representative, sometimes with minor areas of Direct) Democracy.
Re: Car dealerships revert to pens and paper after cyberattacks on software provider
#190I was involved in the building of the 911 system for my country. When doing that, we had to design it with this in mind. If the system ever fell down, the operators had standard templated papers they would fill, and once the system would be back up they would add the case data back in.
Why say "my country"? There are less than 300 countries world wide, people should know all of them.