TCS Daily

Kudos to ABC News!

By TCS Daily - June 5, 2000 12:00 AM

TechCentralStation readers know all about the lobbying efforts by car dealers to prevent competition from direct sales over the Internet. And now ABC television viewers know all about it, too. In a recent broadcast of "20/20," ABC's John Stossel reported: "The beauty of the internet is that it lets us save money by eliminating the middleman. Just don't try it with cars. In every state but Alaska, state laws require car manufacturers not to sell their cars directly to the public. These laws serve to keep prices artificially high."

Stossel told the story in his "Give Me a Break" segment on "20/20" last Friday.

In an April 3rd address to the Detroit Economic Club, TCS host Jim Glassman cited lobbying by old-fashioned middlemen -- auto dealers in particular -- as a major threat to the New Economy. In his TechCentralStation column that week, Glassman wrote: "We as consumers do not owe our business to the incumbent car dealers. If they can't evolve and figure out how to earn our business in a wired world, if they can't attract us to their showrooms, to their service and repair shops, without a government edict, then they do not have an economic right to exist."

The word is getting around!

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