EV brand Scout Motors can't sell directly to customers in its home state. Here's why
Briefly

Scout Motors, supported by Volkswagen, is entering the electric SUV market with plans for a quick app-purchase process. However, South Carolina's legal restrictions on direct manufacturer sales and owned service centers pose significant challenges. The state's laws require all vehicle sales to go through dealerships, which some argue ensures competitive pricing and local service quality. Advocates for dealerships fear that online sales could increase prices and diminish local business involvement, emphasizing the vital role of local dealerships in community welfare and consumer protection.
Supporters of the dealership model argue that it provides necessary competition and ensures quality service, which fosters community ties and economic stability for local businesses.
Scout Motors aims to revolutionize the EV buying experience with a streamlined app-based purchase model, but state regulations hinder direct manufacturer-to-consumer sales.
Read at Fast Company
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