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Texas won't allow Tesla to sell electric cars directly

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Re: Texas won't allow Tesla to sell electric cars directly

#72

Earlier quoted context omitted.

Yeah, it's an example of government as envisioned by the founders working as intended - when someone at the state level overreaches, a federal court strikes it down (I'm hoping the same thing happens to this absurd law regarding dealer sales). This happens in more places than just Texas. Doesn't change the fact that your first statement is not factual anymore. Given time I think we (Texans) can eventually stop / vote…

Well, your current governor is Rick Perry so your recent track record on electing non-morons is pretty bad. Austin != Texas.

That's Governor Goodhair to you.

Re: Texas won't allow Tesla to sell electric cars directly

#73
post #51

Earlier quoted context omitted.

The metaphor is cute, but maybe overstated. Tesla isn't doing this because it's what a self healing network would do. Tesla is doing this because it's a rapidly-growing startup whose production facilities are heavily oversubscribed already. They have no net downsides to giving up the "Texas" market for now, because they don't have enough cars to sell even without Texas (and the handful of other such states). Eventual…

> Once ramped up, they'll want that Texas market. And at that point someone will have to bend. My money is on Tesla coming out on top here. Musk strikes me as the type of person that would rather give up sales while holding a huge "Fuck Texas" sign than to give in. Edit: Added the parent comment I was responding to. Yes, Tesla is playing nice right now. That puts them in a better public opinion. But eventually they'l…

Before you sharpen that mental image too much, remember that Musk (SpaceX) owns a rocket testing facility there.

Re: Texas won't allow Tesla to sell electric cars directly

#74

Earlier quoted context omitted.

Other car manufacturers can't sell directly. Why should Tesla get special rules?

"In its majestic equality, the law forbids rich and poor alike to sleep under bridges, beg in the streets, and steal loaves of bread." -Anatole France

Tesla currently has a market cap over $10B. That is larger than Fiat's.

Re: Texas won't allow Tesla to sell electric cars directly

#75

Earlier quoted context omitted.

Yeah, it's an example of government as envisioned by the founders working as intended - when someone at the state level overreaches, a federal court strikes it down (I'm hoping the same thing happens to this absurd law regarding dealer sales). This happens in more places than just Texas. Doesn't change the fact that your first statement is not factual anymore. Given time I think we (Texans) can eventually stop / vote…

Well, your current governor is Rick Perry so your recent track record on electing non-morons is pretty bad. Austin != Texas.

I don't live in Austin, and Austin isn't as special as it thinks it is. I will repeat myself - I live in the fourth largest city in the United States, which happens to be in Texas, is not Austin, and has a homosexual mayor, who is (all things considered) a fairly conservative Democrat. Some people are just pragmatic.

Re: Texas won't allow Tesla to sell electric cars directly

#76
post #5

All too often, the media as well as average people mistake support for corporate interests as support for "free enterprise." When large corporate interests are essentially writing bills for lawmakers, "free enterprise" is precisely what is not being practiced.

Other car manufacturers can't sell directly. Why should Tesla get special rules?

Car manufacturers can't sell directly to compete against independent dealers of their cars. Tesla has no independent dealers.

Re: Texas won't allow Tesla to sell electric cars directly

#77
This article is misleading - Tesla can and does sell cars in Texas (online), their "physical stores" just can't sell them. Also, Tesla wasn't denied the right, their bill was not voted on (an omission rather than an action). They'll undoubtedly bring it back up next session.

Re: Texas won't allow Tesla to sell electric cars directly

#78
post #7
post #3

There's already a Tesla store in Houston. How did they open that store, and will they be able to keep it open? I've seen a couple Teslas driving around Dallas, and am hoping to see more.

I remember reading some time ago that Tesla's loop-hole for opening storefronts is that they don't actually sell cars to people there... they just inform people about the cars and answer their questions. When it's time to actually buy one, they sit you down at a internet terminal and you order over the web just as you would if you were purchasing from anywhere else.

>they sit you down at a internet terminal and you order over the web

How does this work in light of the law in Texas outlawing this?

Re: Texas won't allow Tesla to sell electric cars directly

#79
post #51

Earlier quoted context omitted.

The metaphor is cute, but maybe overstated. Tesla isn't doing this because it's what a self healing network would do. Tesla is doing this because it's a rapidly-growing startup whose production facilities are heavily oversubscribed already. They have no net downsides to giving up the "Texas" market for now, because they don't have enough cars to sell even without Texas (and the handful of other such states). Eventual…

> Once ramped up, they'll want that Texas market. And at that point someone will have to bend. My money is on Tesla coming out on top here. Musk strikes me as the type of person that would rather give up sales while holding a huge "Fuck Texas" sign than to give in. Edit: Added the parent comment I was responding to. Yes, Tesla is playing nice right now. That puts them in a better public opinion. But eventually they'l…

Musk is getting along pretty well with the lobbyists here. See bill to close the beach for his launch site.

Re: Texas won't allow Tesla to sell electric cars directly

#80
post #50

Earlier quoted context omitted.

The "large corporate interests" being protected in this case are car dealerships, not manufacturers.

At a $10B valuation, Tesla is worth about 1000 times the average car dealership in Texas.

If true, then given the fact that there are about 20,000 car dealerships is Texas (http://txdmv.gov/dealers-portal/motor-vehicle-dealers), that means the dealerships outweigh Tesla by a factor of 20. And that's not even counting the fact that these are all dealers in Texas, whereas Tesla's presence applies to the entire country. If we assume Texas is about 1/10th of the US, that means the local dealers outmatch them by a factor of about 200.
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