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Tesla Resigning Direct Sales : News

After bitter courtroom battles and a brutal stare-down of dealership lobbying groups across the country in a bid to establish a unique (in the auto industry) direct-to-customer sales model, it looks as if Elon Musk has blinked first, if his comments on Autoline Detroit last week are to be taken at face value.

“We may need a hybrid system,” explained Musk, in answer to an Autoline question about scaling up his fledgling car company. “… a combination of our own stores, and some dealer franchises.” (emphasis mine).

If it happens, it would be a stunning turnaround for both Tesla Motors and Elon Musk, who have built a rabid following and loyal customer base in part because of its radically different approach to selling cars and the transparency and customer access afforded by the lack of a franchisee/middle-man. You can read more about Musk’s apparent surrender in the article, below, which originally appeared on Cleantechnica.

So much for a "Free Market," America.


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