The automobile business has changed significantly since Chuck Nelms of Brookhaven was the nation’s youngest Ford, Mercury, Lincoln dealer in 1972.
There were about 400 automobile dealers in Mississippi at the time, mainly handling products manufactured in America by General Motors, Ford and Chrysler.
Now there are 175 dealers in the state, most of them selling multiple brands, including cars built in other countries like Japan, South Korea and Germany.
Nelms, no longer a dealer, is executive director of the Mississippi Motor Vehicle Commission, which has the responsibility of regulating the sales, distribution and advertising of new vehicles, as well as licensing dealers and handling consumer complaints.
Speaking to the McComb Rotary Club on Wednesday, Nelms said the agency strives to make sure manufacturers treat dealers fairly and dealers are fair with customers, including truth in advertising.
Consumers who have complaints may file them with the commission.
Nelms said one of the best things that happened to the automobile consumer was when high quality cars from Japan came to America and forced domestic manufacturers to improve their cars to become competitive.
Changing requirements for dealers, as well as market conditions, have resulted in dealerships closing as well as mergers and acquisitions in a survival of the fittest environment.
He thinks there will be even more mergers and partnerships with dealers handling multiple brands, both domestic and foreign.
He predicted that within 10 years, Chinese cars will be in the American market.
The Internet is a huge player in the car market, he said, and that segment, where a customer can peruse a dealer’s inventory on line, will continue to grow.
