Pub. 3 2024-2025 Issue 1

their community until it’s gone. By then, they’re dealing with a monolith, and that certainly changes that dynamic. I’m concerned about EVs, not that they’re bad, but with the speed at which the government has accelerated the transition timeline. They haven’t thought through all the unintended consequences and have pushed manufacturers and retailers alike into doing things that may not necessarily be what the consumer wants or that the business is ready for. From an infrastructure standpoint, I don’t think we’re ready to be all EV by 2030 and certainly not ready for overland trucking or any of the other solutions that the government is pushing. We need to take a deep breath and realize the benefits of an internal combustion engine. I certainly understand being a caretaker and a steward of our environment, but I think there are some environmental impacts of EVs that we haven’t thought through. Why is the franchise system still the best way to sell cars? As far as cash flow goes, from a manufacturer standpoint, they don’t have to wait to retail the car to get their money; they get their money from us dealers, and then we retail the automobile. From a consumer standpoint, it’s best because they have a broad selection of cars they can choose from. They don’t have to order from a catalog and take delivery of the vehicle in six weeks. It’s a good system all around. The franchise system gives widespread coverage in a state like Georgia. For instance, if we allowed just direct sales and with a few outlets, a client may be dealing with a nameless, faceless entity that has no representation in their community. They would not have anybody to address problems or help them in any way. In many communities across our state, the local dealerships are the largest employers and drivers of local economies. It also affords consumers the opportunity to make the best deal. Whether dealers compete on price, trade-in or financing, it’s just a better way to sell or service cars. The consumer has choices, and it definitely is a benefit to them. How do you think the industry will change in the next 3-5 years? I think we’ll continue to see a consolidation — there may be a few more outlets, but they’ll be owned by fewer dealers. I am concerned about that. There are dealers that are aging and reaching retirement that may not have a second or third generation to take over, and mega dealers who own 40 and 50 different dealerships are buying up these dealerships. Some of the consolidation is a result of the pressures that are being placed on dealers, whether that be from government regulation, which is quite a lot, or financial pressures with their manufacturer partners. They just reach a point where it’s an exit strategy, and they’ll sell to a qualified buyer who will take over. How long have you been a GADA member, and why did you get involved in the association? Regal Nissan has been a GADA member since the store opened. When my dad 7 THE GENERATOR

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