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[–] 142 points 9 months ago (40 children)

God I fucking hate stealerships. If car dealer cartels in the US as a concept die as a result of this era of idiocy we’re in, that’s a pretty great silver lining.

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  • [–] 82 points 9 months ago (7 children)

    Such a weird, American-only practice, like with American health insurance. The whole country is a scam, jeez.

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  • [–] 3 points 9 months ago* (last edited 9 months ago) (5 children)

    Um, only having been tourist to the US, how does it work?

    Edit: the car dealership. What's different to e.g. Europe (the referenced American only practice)

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  • [–] 2 points 9 months ago (3 children)
  • [–] 2 points 9 months ago (2 children)

    The first comment talks about stealership, the next about weird us practice and I have no idea what they are referring to 😁.

    In Europe we habe car dealers, franchise, independent or do buy privately but they can all act independently.

    Is there a cartel or something in the US for car dealerships?

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  • [–] 5 points 9 months ago (1 child)

    In most states, manufacturers are prohibited from selling directly to consumers.

    There are a variety of reasons for it, some were consumer-friendly (like preventing the manufactures from monopolizing repair/service), but it basically created a system of middlemen that raised costs.

    I worked at a Honda dealership in college and I learned a lot.

    For example, when you finance through a dealership, the dealer doesn't actually put up any money. They find a 3rd party financer then tack on a few percentage points.

    Salespersons also earn higher commissions on dealer-provided upsales, such as window-etching, rust-preventative, custom badging, extended warranties, etc, so they try to push those things.

    Dealers are also locked into individual manufacturers, usually. That is, a "family" of dealerships, are actually multiple businesses, each with a contract with a different manufacturer.

    The person that owned the Honda dealership I worked at, owned others. On one side, they had a Pontiac-Buick-GMC dealer, then Chevy, Chevy truck, and Cadillac on the other side. Even they it was all General Motors, they were run separately. Down the street, they had a dealership that sold both new Toyotas and Subarus.

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  • [–] 14 points 9 months ago* (last edited 9 months ago) (3 children)

    Want wasn't it regean that made it a law you couldn't buy directly from the manufacturer because he was buddies with people who owned major dealerships. And it just stuck since then.

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  • [–] 21 points 9 months ago (1 child)

    He also imposed an import tax on motorcycles because Harley Davidson was deathly afraid that riders would rush out to purchase a Japanese bike that didn't drip oil everywhere and reliably starts when you press the button.

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  • [–] 3 points 9 months ago

    Things like that and tariffs are absolutely useful tools for trade issues: TARGETED, TEMPORARY tools. There would have been nothing wrong with temporary protection for Harley Davidson if it were temporary, if there was a deadline where they have to start competing again.

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  • [–] 2 points 9 months ago

    Regulations were put in place to prevent manufacturers from opening their own stores right next to the dealers they worked with. Dealers assume some risk when they take on inventory. Apparently it’s not like a bookstore where any unsold copies just go back to the publisher. It’s still a flimsy justification though and enshrined these middlemen who then enshittified everything. Worse, in some cases manufacturers are entirely prevented from selling direct, even if they don’t work with dealerships. It’s too much.

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  • [–] 7 points 9 months ago (1 child)

    Bet most of them voted for Trump too.

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  • Which is hilarious considering how so many of them are getting absolutely wrecked by the tariffs. Because they can either eat the tariff and hemorrhage money, or pass on the tariff to customers and hemorrhage sales (and thus hemorrhage money).

    I wonder when they’re gonna realize that they should try something other than shooting themselves in the dick? Time will tell, I suppose.

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  • [+] 11 points 9 months ago (3 children)
  • [–] 7 points 9 months ago* (last edited 9 months ago) (1 child)

    Deregulate? So corporations can enslave you completely? Huh?

    Where did Americans get this idea that regulation is holding you back? Probably the same "think tanks" that convinced so many they were poor because of immigrants instead of.... as usual.... the wool being pulled over your eyes by the wealth addicts....

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  • [–] 5 points 9 months ago

    Probably because the regulations protect the corporations while screwing the consumers. If a rule heavily benefits the companies then it could be a good idea to remove it. Although I do think that blanket deregulation is too broad and too prone to being twisted against the populace.

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  • [–] 8 points 9 months ago (22 children)

    I'll take any silver lining, but I'm not sure if whatever replaced it will be any better given how the Chinese have acted in markets they've achieved majority stake in.

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  • [–] 25 points 9 months ago (21 children)

    Tbh being able to purchase cars direct from the manufacturer would be dope. New car dealers are literally nothing but middlemen.

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  • [–] 18 points 9 months ago (3 children)

    Yeah, useless middlemen are kinda a thing in the US economy.

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  • [+] -8 points 9 months ago (2 children)

    Hate middlemen all you want, but that employment level is the driving economic force behind the middle class. Get rid of the middleman, without any serious wage reforms, and you'll have a nation of 5% filthy rich, and 95% dirt poor.

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  • [–] 8 points 9 months ago

    I really don't think it's that hard.

    Other countries have figured it out and nationalized these various industries. The fun part is that there's still luxury, concierge medical care and insurance too alongside nationalized health care.

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  • [–] 9 points 9 months ago (3 children)

    Fully agree. I just don't trust China any much more than the US to respect privacy and consumer choice. Color me prejudiced if you want, but I've dealt with enough Chinese suppliers to have a decent idea of how they operate.

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  • [–] 12 points 9 months ago (2 children)

    I mean I don’t either, but us unitedstatesians are now subjected to the tender mercies of Palantir, which is kind of fucking awful… so, potato, potato.

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  • [–] 6 points 9 months ago (1 child)

    Fair. At least the stated mission of the Chinese isn't to be evil for evil's sake. Palantir just seems like an accelerationist's tool and nothing more.

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  • Yep, and the CEO essentially says as much on a regular basis. Not to mention, the origin of the name of the company is the scrying sphere that Sauron and Saruman (the bad guys) in LOTR use, so that’s telling in a comically dark fashion as well.

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  • [–] 3 points 9 months ago (12 children)

    I don’t drive, so I don’t buy cars. But I’m curious, how would that work to buy directly from the manufacturer as opposed to a dealership? Like I assume they would still have to have the equivalent of a dealership, where inventory is locally stored, can be test driven, can perform servicing. I assume that’s pretty much the same as a dealership right?

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  • [–] 14 points 9 months ago (6 children)

    If you go to a us dealership, there’s pretty much always some sort of financing deal or somesuch. But there’s also very often a “dealer markup”. Never, ever pay that.

    That said, for some cars, they refuse to budge on that. For instance, when the new Nissan Z came out a few years ago, the dealers tacked on like 10-15k pretty much across the board, and then Nissan corporate was surprised when it didn’t sell too well… because the dealerships got too fucking greedy.

    If I needed to buy a new car, I’d vastly prefer to just spec it out online, click “order”, and then have a text come in when it arrives at my local Nissan or BMW or Hyundai maintenance facility (as appropriate for the car). I do not want to talk to a human and have to literally socially engineer them into giving me a fair fucking price. Jesus christ.

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  • [–] 5 points 9 months ago (4 children)

    All dealers gouged all car buyers during Covid shortages. Jeep was particularly agregious and the world would be better without any Stellantis products.

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  • [–] 2 points 9 months ago (3 children)

    Lmfao who wants to buy a Chrysler Stellantis product? They’re just… bad. They’re not even cheaper. They’re just worse, and break more.

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  • [–] 1 point 9 months ago (2 children)

    They look tough / classy though!

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  • [–] 2 points 9 months ago

    The problem is the sticker price typically already has excessive dealer markup built in. A line that says that is pure scam , never pay that. But even if you consider the list price, there’s an entire industry around trying to figure out the dealer actual cost and how to pay only a reasonable markup. Meanwhile you have these scammer who are paid commission based on how much they can con you out of. Their incentive is to be predatory

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  • [–] 2 points 9 months ago* (1 child)

    For example Tesla does not have dealers. They have to have similar functions but they’re owned and operated by Tesla, not a third party

    • they have showroom, including visible places like malls
    • they have service centers, somewhat regional. I have two within half hour drive, but also do a surprising amount of service visits mobile
    • they have places to pick up your vehicle, typically a service center, or some of the time they are delivered

    New car experience you go to a dealer, independent middlemen, where they attempt to steer you toward higher profit choices, and the prices are all negotiated where they’re the only ones who know the cost and they have a practiced skill to extract money. It’s exhausting and time consuming

    New car experience with Tesla: you may look at the vehicle in the mall or online. you schedule a test drive from wherever is nearest: mine was at the mall they had a showroom in the shopping area and a small section of the parking garage for test drive. You buy online and pay list price where all the options, prices, and financing are visible before you choose to buy. They schedule a pickup time, which might be from a regional service center. Much simpler and easier, and you never feel exploited or scammed

    You’re not spending any time getting exploited by a sales-bro, none of that stupid thing where they “have to speak to their manager” so you can stew or second guess. No games with interest or tradeins, surprise incentives, bargains with the devil

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    [+] 61 points 9 months ago (19 children)
  • [–] 8 points 9 months ago (4 children)

    Un-american here. Does Canada have the same direct sales ban as the US? Same dealer lobby in both countries?

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  • [–] 3 points 9 months ago (3 children)

    Tesla does not use dealerships in Canada or US. Dealerships and insurance agents, brokers , real estate agents are are redundant leeches on society.

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  • [–] 1 point 9 months ago* (2 children)

    It was a fight though, and that’s probably still going on in some states. There were many lawsuits trying to block them. At one point Tesla was opening locations on native reservations to escape state level protections of car dealerships.

    I think common sense won out, believe it or not. Given the dealership model, it makes some sense at least historically, to protect dealers from manufacturers. But when you have a manufacturer that doesn’t have dealerships and never had, where does your argument about protecting these non-existing dealers go?

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  • [–] 1 point 9 months ago (1 child)

    Some states have a carve out for Tesla only.

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  • [–] 1 point 9 months ago* (last edited 9 months ago)

    Wow, 12! You’re right

    And sure enough, searching for Rivian returns that they are only allowed to sell in 25 US states. It probably hasn’t mattered much with the R1 generation being relatively few sales but now that they’re coming out with R2 and R3, and expecting a lot more sales, they need a way around this

    It’s ridiculous that any state would create a law for a single manufacturer: that needs to be fixed

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  • [–] 7 points 9 months ago (5 children)

    Do you write for a living? You should write for a living. 👌

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  • [–] 4 points 9 months ago (4 children)

    Was gonna say the same thing, evocative

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  • [–] 2 points 9 months ago (3 children)

    And now a mod removed the comment?! 😔

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  • [–] 6 points 9 months ago (6 children)
  • [–] 11 points 9 months ago* (3 children)

    I was confused too. This comment doesn't look too bad but given it's a 7 hour old account it made several multi-paragraph comments like this in a formulaic outrage-bait kinda way. This comment looks fine but the full comment history is pretty AI like

    Full comment history: https://files.catbox.moe/uf48if.png

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  • [–] 1 point 9 months ago (2 children)

    Fair enough. Wish we'd get a reason something was removed though.

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  • [–] 55 points 9 months ago (1 child)

    How many US car manufacturer CEOs endorsed Trump? I'm betting a lot.

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  • [–] 1 point 7 months ago

    Living in the Detroit media market I didn't hear off any of them endorsing Trump. Usually they give lots of money to both sides so they can get favours regardless of who wins. Endorsements are more likely to cost them money from opponents than any that's gained from supporters or favours they couldn't get otherwise.

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  • [–] 45 points 9 months ago (3 children)

    When all you want to do is sell vastly more expensive but quality poor versions of last century's product, you should be afraid. American automakers have had the government prop up their manufacturing for decades leaving the rest of the world open to create this century's products.

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  • [–] 9 points 9 months ago* (2 children)

    Oh man...I am American but I yearn for the day when I can buy a pickup with a full bed the size of a Daewoo Lanos

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  • [–] 91 points 9 months ago (2 children)

    American free market advocates when the market is free:

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  • [–] 42 points 9 months ago (4 children)

    “It’s bad for consumers” is one of those phrases that’s been misused so often I’m amazed these cunts still try to use it with a straight face. It’s like “I’m not racist, but” in terms of phrases that are widely understood to mean their direct opposite.

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  • [–] 10 points 9 months ago (3 children)

    They’ll stop using it when people stop falling for it.

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  • [–] 3 points 9 months ago (2 children)

    I’m not sure anyone actually does fall for it per se; it’s one of those lies that literally everyone knows is a lie, but CEOs and corrupt politicians need it to be true in order to justify what they want to do next so they have to go through the process of saying it first.

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  • [–] 39 points 9 months ago (16 children)

    Good, maybe they'll realize nobody wants cars being as complete as AAA video game titles... Aka overpriced shit that's half assed with loads of issues.

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  • [–] 6 points 9 months ago (2 children)

    Don't forget their hurtling towards the subscription model. You pay for all the features, then pay monthly to be able to use them.

    The only bright side is that you'll be able to find hacks that enable them all on piratebay.

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  • [–] 5 points 9 months ago* (10 children)

    I'm literally worried about buying a new car. It was bad enough when I did in 2019 getting a car with actual buttons and still half the basic features I have to tap a screen for. It's never, never felt comfortable like my old Mazda3 2012 or Honda Civic 2003 did. I just want fucking buttons and knobs man. I also hate all of the "safety features". Which are just essentially "feel safer while using your phone and driving" features that all the idiots on the road use them as. Everyone can see your lane assist correcting you every 5 seconds Debra! You're gonna kill someone.

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  • [–] 3 points 9 months ago (7 children)

    I must have made it just under the wire

    My 2018 Honda Civic doesn't have a touchscreen, all knobs and buttons, and the only safety features are things like airbags/traction control/ABS

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  • [–] 1 point 9 months ago (5 children)

    What does the backup camera use for a screen?

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  • [–] 3 points 9 months ago (2 children)

    You can still have a screen without it being a touchscreen.

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  • [–] 1 point 9 months ago* (1 child)

    Obviously but I find it hard to believe a manufacturer would waste their time with that in 2018, but it does appear to be the case on LX and lower trims. They just get a 5" display.

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  • [–] 1 point 9 months ago

    It runs a tiny RTOS called eCos. Just does backup cam, AM/FM, Bluetooth, and USB sticks (as long as the media is WAV or MP3)

    My only complaint is that it sorts media files on USB sticks by timestamp rather than alphabetically

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  • [–] 1 point 9 months ago

    Right?! Yeah don't enforce safer driving practices or anything. Just make it easier to not pay attention.

    I've always said phones should lock you out of almost every feature when motion/gps data shows movement. Then you have to put in a PIN to use your phone as a passenger. Like the Navi screen warnings of before "do not use while driving". This way people can be held accountable for the dangerous shit they do.

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  • [–] 36 points 9 months ago (3 children)

    This might be the best thing to happen to Americans in a long time and it’s the result of shitty anti consumer US policy 😂 at long last I might be able to buy a Toyota helix

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  • [–] 12 points 9 months ago (1 child)

    I'm an American.. The US deserves this. Glad this is happening.

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  • [–] 4 points 9 months ago

    I think you mean this as deserved punishment and I agree, but maybe there’s also a silver lining: we deserve this, to break up the dead dinosaur cartel, to restart innovation, to free consumers from a prison of protectionism around overpriced legacy vehicles and help light the way to future technology

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