The Florida Legislature
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Office of Program Policy Analysis and Government Accountability

Review of the Automobile Manufacturer Licensing Program , Report No. 95-41, February 1996
 
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  • Florida regulates more dimensions of the automobile manufacturer-dealer business relationship and does so more stringently than does any other state. Manufacturer and dealer groups disagree on whether the program is needed and on its effects.
  • The program has typically upheld manufacturer- and dealer-proposed business actions, indicating that both parties generally are proposing business actions (terminating dealerships, establishing new dealerships, changing dealership management, or selling dealerships) that meet statutory criteria.
  • Recent professional literature concludes that programs like Florida's may reduce industry competition and increase consumer costs in vehicle purchases.
  • The level of competition among dealers should be determined by the free market rather than by government regulation. However, given the program's history, changing the law to streamline regulation appears the best alternative.

Which Government Program Summaries contain related information?

Department of Highway Safety and Motor Vehicles

What other OPPAGA-related materials are available?

  • Report No. 97-71 Follow-up Report on the Automobile Manufacturer Licensing Program, published in April 1998.

Copies of this report in print or alternate accessible format may be obtained by telephone (850/488-0021), by FAX (850/487-9213), in person, or by mail (OPPAGA Report Production, Claude Pepper Building, Room 312, 111 W. Madison St., Tallahassee, FL 32399-1475).
e-mail address: oppaga@oppaga.fl.gov


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