What does regional protection in car purchasing mean?
2 Answers
Regional protection in car purchasing is established due to the regional differences in promotional benefits for car sales in many areas, aiming to protect local dealers and prevent customer loss. The following is the relevant introduction: 1. Overview: In simple terms, it means that the vehicles sold must be registered and licensed locally. If purchasing a car from another region, temporary residence permits and other documents that meet local licensing requirements must be obtained. The car must first be licensed locally before being transferred back to the local area for re-registration. 2. Regulatory revision: Regional protection in car purchasing has been regulated in the new version of the 'Automobile Sales Management Measures' issued in 2017. The new regulations require that 'suppliers and dealers must not restrict consumers based on their household registration location. Consumers can purchase cars through multiple channels and enjoy services under the 'three-multiple model'. This policy has broken the regional protection policy.
Regional protection in car purchasing is essentially a rule set by manufacturers to protect the business of dealers in different areas. Simply put, you can only buy a car within your own region and cannot freely go to another city or province to purchase a cheaper car, as dealers may engage in fierce price competition. Manufacturers establish these rules to prevent dealers from poaching each other's customers and causing chaos in the local market. However, for us consumers, while we might enjoy more stable local services like repairs and maintenance, we could also miss out on promotional activities in other regions. For example, Car prices in City A might be high, while City B has promotions, but the protection policy prohibits dealers in City B from selling to customers from City A. I've seen some buyers try to circumvent these rules, such as by purchasing through relatives, but this involves contract issues and carries significant risks, often not worth the trouble. Overall, it's best to fully understand your regional restrictions before making a purchase to avoid warranty hassles later on, ensuring a smoother and more worry-free experience.