Why Are We Not Allowed To Buy Cars Direct From the Manufacturer?

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Hobbes

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Nearly every state, including OK, has laws that make it illegal for an automobile manufacturer to sell directly to the consumer.
It is mandatory that all sales go through a dealer with a showroom floor and inventory and all that other overhead that make the final sales price much higher.

If I didn't know better I would be forced to conclude that it's because the dealers association bribes, err I mean contributes, to politicians that make laws to infringe our right to practice capitalism with the manufacturer of our choice.

Here is a study on the effects of state laws that restrict direct sales to consumers.

http://www.justice.gov/atr/public/eag/246374.htm


A Goldman Sachs report indicates that dealerships account for 8.6% of the cost of a new vehicle.
 

n8thegr8

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I suspect the state income taxes from the business and employees, as well as more excise tax due to the inflated vehicle price has something to do with it. It always comes back to money.
 

SoonerShooter08

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I don't have a problem with the concept of purchasing through a dealership. I do, however, have a problem with the ability to mark prices up above MSRP and the fact that 99% of salespeople know absolutely nothing about the product they're selling. Plus, the fact that many dealership service centers are full of people who seemingly don't know a lug nut from an *******. There use to be a value add from shopping through a dealership, but that's rarely if ever the case now.

To provide context, I've dealt with good dealers. Although, often that involves a road trip as it's a case if luck finding a good dealer that happens to be local to you. I think the manufactures should enforce standards for their dealerships and force them to provide the service level that is more consistent between dealerships.
 

O4L

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I don't have a problem with the concept of purchasing through a dealership. I do, however, have a problem with the ability to mark prices up above MSRP and the fact that 99% of salespeople know absolutely nothing about the product they're selling. Plus, the fact that many dealership service centers are full of people who seemingly don't know a lug nut from an *******. There use to be a value add from shopping through a dealership, but that's rarely if ever the case now.

To provide context, I've dealt with good dealers. Although, often that involves a road trip as it's a case if luck finding a good dealer that happens to be local to you. I think the manufactures should enforce standards for their dealerships and force them to provide the service level that is more consistent between dealerships.

Most all of this could apply to many local gun dealers as well.
 

turkeyrun

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I don't have a problem with the concept of purchasing through a dealership. I do, however, have a problem with the ability to mark prices up above MSRP and the fact that 99% of salespeople know absolutely nothing about the product they're selling. Plus, the fact that many dealership service centers are full of people who seemingly don't know a lug nut from an *******. There use to be a value add from shopping through a dealership, but that's rarely if ever the case now.

To provide context, I've dealt with good dealers. Although, often that involves a road trip as it's a case if luck finding a good dealer that happens to be local to you. I think the manufactures should enforce standards for their dealerships and force them to provide the service level that is more consistent between dealerships.

Some manufacturers DID enforce standards in order to receive gubment bail out money and closed those dealerships who were known to not provide the proper levels of service. Oh that and donating to the wrong party or candidate in the last election.
 

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