I think you misunderstand what Tesla is trying to do. Here is a map of what they have done so far (red is current, gray is “coming soon”... notice the blank space over Michigan):
http://www.teslamotors.com/findus#/bounds/55,-70,15,-115,d?search=service
Tesla wants to run their *own* dealerships (complete with service centers and everything) instead of franchising them out. They believe that a franchisee that might also own other dealerships selling gasoline-powered cars would do a poor job of advocating the benefits of electric cars, since such a dealer would have mostly gasoline-powered inventory.
What this Michigan law has done is prevent Tesla from opening up local dealerships and service centers in Michigan using their manufacturer-owned business model.
“I read the article rather rapidly and maybe my question was addressed and I missed it but how does Tesla handle “trade ins” without dealerships being involved? Not allowed?” -Graybeard58
Tesla wants to run their own dealerships where all that kind of stuff would be handled. As far as you, the customer, is concerned it would be just like any other dealership except that the salespeople would not get paid based on commissions. Tesla is doing this in other states and this new law in Michigan ensures that it can't do it there, unfortunately.
“Prior to the change, automakers were required to sell through their own franchises. Now they can sell through any franchise. Ford can sell through Mercedes, Chevy can sell through a Toyota franchise. (Tesla needs lots of techs to fix the cars before any franchise will sell them)” -cripplecreek
Riiiiiight... so *that* was the point. I'm sure Ford and Toyota and Mercedes were all just waiting to hold hands and sell each others’ cars. /s
Posting images of the governor's baloney explanation proves nothing. Of course he doesn't want to admit that the only reason the law was changed was to ensure Tesla is locked out of Michigan.
“Its ridiculous to believe what has become a very de-regulatory legislature under a very liberal ‘green jobs’ republican would suddenly change direction to regulate Tesla out of the state.” -cripplecreek
It is ridiculous until you look at all the money that Joe Hune and Rick Snyder get in campaign donations from the dealers’ associations.
“I used to work for a major Ford dealership here in Michigan.” -cripplecreek
That explains a lot.
Oh goodie.
The Tesla sales liar has arrived.
So the claim is that a manufacturer doesn’t get to choose and impose conditions on a franchisee?
Personally, I suspect it’s probably just an attempt to keep hidden Tesla’s financial arrangements.
There is a cottage industry trying to get accurate numbers for total Tesla sales. 26 thousand last I checked. A dealership (Toyota) I worked for sold 5500 a year. It was one of 6 in the Denver area at the time.
In the world of car makers Tesla is puny.