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Dealers mobilize to protect their margins from automaker subscription services

Six individual auto brands — Lincoln, Cadillac, Porsche, Mercedes, BMW and Volvo — have established or are trialing a vehicle subscription service in the U.S. Three third-party companies — Flexdrive, Clutch and Carma — run brand-agnostic subscription services. And three automakers — Mercedes-Benz, BMW, and General Motors — have also launched short-term rental services. Dealers, afraid of how these trends might affect their margins, are building political and lawmaking campaigns to protect their revenue streams. So far, three states are investigating automaker subscriptions, and Indiana has banned any such service until next year. It's certain that those three states are the first fronts in a long political and legal battle. Powerful dealer franchise laws mandate the existence of dealers and restrict how automakers are allowed to interact with customers to sell a vehicle. On top of that, Bob Reisner, CEO of Nassau Business Funding & Services, said, "Dealers and their associations are among the strongest political operators in many states. They as a group are difficult for state politicians to vote against." In California earlier this year, the state Assembly debated a bill with wide-ranging provisions to protect against what the California New Car Dealers Association called "inappropriate treatment of dealers by manufacturers." One of those provisions stipulated that subscription services need to go through dealers, but that item got stripped out when dealers and manufacturers agreed to discuss the matter further. In Indiana, Gov. Eric Holcomb signed a moratorium on all subscription programs by dealers or manufacturers until May 1, 2019, to give legislators more time to investigate. Dealers in New Jersey have taken their campaign to the state capitol, asking that the cars in subscription programs get a different classification for registration purposes. Automakers run the current subscription services and own the vehicles. Sign-ups and financial transactions happen online or through apps, leaving dealers to do little more than act as fulfillment centers to various degrees, with little legal recourse as to compensation amounts when they're called on to deliver or service a car. That's a bad base to build on for business owners who've sunk millions of dollars into their operations.

2015 Mercedes-Benz GLA250 4Matic Quick Spin [w/video]

Certain expectations come with the name "Mercedes-Benz." We picture cars with luxuriously appointed interiors, fashionable exteriors, Autobahn-worthy performance, and a ride that delivers an optimal balance between agility and outright comfort. Expectations, though, are no friend to the GLA250. This is a car that is deeply confused as to its purpose in life – can it be a proper Mercedes-Benz while still being a reasonably priced, subcompact crossover? After a week behind the wheel, we believe the two are mutually exclusive. Driving Notes The exterior styling is similar to the not-for-America A-Class hatchback, with the only major differences found on the rear end. That means that even with its flashy 19-inch AMG wheels and sport body styling – more aggressive front and rear fascias – the GLA is a stylish piece. We might even call it cute. Considering our 4Matic model's reasonable $34,225 starting price, the interior treatment is both attractive and uses mostly quality finishes. The matte Satin Light Brown Poplar wood ($325) covers a large portion of the dash, while the real metal found on the air conditioning vents is elegant and handsome. There is a lot of plastic in the cabin: It's soft on the dash, and switches to a piano-black finish in spots, but the center console and door finishers don't feel like they came from the Mercedes parts bin. In general, the GLA's cabin feels roughly equal to that of the Audi Q3 and BMW X1 – nice, but a step lower than what we've come to expect from Mercedes. The two-piece, leather-lined seats look great, but even with standard 14-way adjustability, they lack support. The bottom cushion is very flat, and doesn't support the legs. For this author, that's a recipe for near-constant back pain. That said, the chairs do look good, especially in the brown of this test car. The GLA250, like a few other models in the Mercedes range, uses a 2.0-liter, turbocharged four-cylinder, delivering a weak 208 horsepower. It makes up for that shortcoming with 258 pound-feet of torque from 1,250 rpm to 4,000 rpm. On paper, this sounds good, but in the real world, the 2.0T's power is tough to access. That's due more to the shortcomings of the seven-speed dual-clutch automatic than the engine itself. With three modes – Eco, Sport, and Manual – we thought we'd find at least one that could serve up precise downshifts.

Petrolicious profiles mustard 1972 Mercedes-Benz 280 ready to go anywhere

The Mercedes-Benz sedans of the '70s and early '80s are certainly attractive models, but with their hard lines, the four-doors really don't have the graceful curves usually associated with a beautiful car. Instead, it's much more accurate to call these classic Germans handsome. The W114 chassis especially has a powerful stance about it with an upright grille dominating the front and long, flat surfaces elsewhere. Petrolicious takes a look at one man's journey to restore one of these posh vehicles in its latest video. Bernard Bredehorn grew up in the back of his grandparents' W116-chassis Mercedes 280 SE, and when he eventually got a classic of his own, Bredehorn ended up with a 1972 Mercedes 280. However, the sedan was in need of a complete restoration and sat for years in a friend's garage buried under parts. Bredehorn eventually excavated the car and brought it back to life in a very '70s shade of mustard yellow. Petrolicious shows why this classic Mercedes is now happy eat up many trouble-free miles on Germany's roads.