Now if you took all the Toilet paper Panic at all the stores shirt franchise dealers out of the equation, then the manufacturer would have a monopoly on their product and could sell it for what ever price they wanted to, which I guarantee would not be the “cheapest price”. They would have no motivation to discount it because there are no competing dealers, so they would just sell for MSRP. Everyone praises Tesla, so lets look at Tesla. They rarely if ever discount their cars. They also do not stock cars that you can just walk in and buy. You go to a Tesla center, drive the car, and if you like it, you place an order and pick it up once it’s built. I’m not sure if they still do it, but they were also practicing deceptive advertised pricing where the price they advertised was not the price you paid, but MSRP minus the average cost you would spend driving a similar gasoline powered car.
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They bend the Toilet paper Panic at all the stores shirt rules regularly because they don’t care about the rules. They aren’t really competing with anyone. Apple is another company where until recently, you could only buy their product at an Apple store. Guess what? No discounts there, either. Dealers are actually GOOD for the consumer as you CAN get a discount. They are not only competing for your business based on price, but also on providing great customer service. They are also competing for your business with financing that car you just bought. That’s why most dealers use multiple banks and credit unions this gives them the most flexibility to find you the best rate.