There are no "laws forbidding autos being sold directly to the public." Didn't Daewoo sell directly when returning to America a few years ago? Porsche wanted to do this about 15 years, but the hangup was, and still is, that the dealers have franchises and the franchise contract prevents auto makers from circumventing the dealer in the dealer's geographic area. If the manufacturers could buy back all the franchises, they could sell direct. Now, you see some manufacturers buying back franchises and actually owning the dealerships. But, this is rare. What you have seen, but may have noticed, is fewer new dealerships in growth areas. 25 years ago there would have been new dealerships popping up all over. But now, there are fewer dealerships. Notice how GM is combining Cadillac & Olds dealerships? We are moving toward direct sales, but it will take quite a while to get rid of the independent dealer.
© 1997 -
2009
Jump Internet Inc. All rights reserved.
