In the battle between Tesla Motors and entrenched car dealers, reinforcements have arrived for the status quo in the form of General Motors. With the recent setback in New Jersey, the battlefield has shifted to Ohio, where another proposed ban on direct car sales awaits authorization.
According to Automotive News, GM’s Selim Bingol, VP of global communication sent a letter to Ohio governor John Kasich urging him not to allow Tesla to operate under “a completely different set of rules.” Ohio has become a place of contention after an underhanded effort to ban Tesla sales failed at the last minute, just like the successful New Jersey ban that snuck through at the last minute.
Meanwhile though, states like Texas and Arizona are changing their tune in regards to direct sales, as Musk’s proposed battery Gigafactory could bring thousands of jobs and millions in tax revenues to the sunny states. Most major automakers have remained quietly on the sidelines though as the Tesla saga unfolds, and GM ‘s letter is one of the first public statements on the matter.
If you need any further convincing that the dealership model only benefits car dealers and makers, well, here’s your sign.
Source: Automotive News