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The local population of the Nambé Pueblo numbers less than 1,700, however, the property is only a half-hour drive from nearby Santa Fe. Albuquerque, New Mexico’s largest city, is a 90-minute drive away. With a combined population of over 600,000 in the two cities, there should be a significant potential clientele if people are up to the hike.
Tesla has continuously strived to establish direct sales across the country. Eliminating third-party dealers who add their own profit margin allows Tesla to keep prices lower. In addition, it prevents external companies carrying its brand from potentially damaging its reputation through shady practices or simply poor customer service. In pursuit of this goal, the company has been fighting in court for years.
Dealers have long held power as a pressure group and have done a lot to consolidate their position in the industry through legislation in many states. Tesla has worked hard to find workarounds where possible, but he is slow to go through politics and the courts.
All in all, it’s a win for Tesla and another blow to the dealership model in America. However, while the company may have won this battle, the dealers and their political allies will continue to fight.
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