While expanding overseas to Europe and China, California-based electric automaker Tesla is also fighting an internal battle – with the states that seek to ban its direct sales practice.
Co-founded and led by billionaire entrepreneur Elon Musk, Tesla’s story is one fine example of the “American dream” coming true – rising as the automaker that sets the trend when it comes to premium electric cars – besides being the best transaction startup in the auto industry in God knows how many years. While selling all year long just a fraction of what multinational carmakers can do in a month, Tesla’s market value rivals many top names.
On the other hand, the electric car company faces internal war – from dealerships that feel threatened by Tesla’s direct sales practice, thus lobbying many states to impose bans on the company’s sales.
Such states, that have already imposed bans on the practice are New Jersey, Texas or Arizona. Now, the first seems to have struck a compromise in which Tesla could win acceptance for its sales practice – while also making sure that any other automaker seeking the same deal would be forced out.
The New Jersey Assembly unanimously voted to allow Tesla’s cars to be sold through up to four showrooms, as long as it has at least one service center – the lawmakers voted that makers of zero-emission cars (electric or fuel-cell) are allowed direct sales as long as their automobiles got a license from the State Motor Vehicle Commission before Jan. 14.