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Automobile giants Renault and Nissan have agreed a sweeping restructure of their decades-long alliance, in place since 1999.
As part of the overhaul, Renault will transfer 28.4% of Nissan shares into a French trust.

Renault and Nissan automobile logos are pictured during the Brussels Motor Show on January 9, 2020 in Brussels. (Photo by KENZO TRIBOUILLARD/AFP via Getty Images)
Kenzo Tribouillard | Afp | Getty Images

Automobile giants Renault and Nissan on Monday agreed to restructure their decades-long alliance, in a move that would see Renault’s shareholdings in Nissan reduced from around 43% to 15%.
The deal, which still pends board approvals, would equalize the companies’ cross-shareholdings, with the carmakers now able to “freely exercise the voting rights attached to their 15% direct shareholdings, with a 15% cap,” the companies said.

The new structure would also see Renault transfer 28.4% of Nissan shares into a French trust.
Voting rights in the trust would be “‘neutralized’ for most of the decisions, but the economic rights (dividends and shares’ sale proceeds) would still entirely benefit to Renault until such shares are sold,” according to the Monday announcement.
Renault would instruct the trustee to sell those shares if “commercially reasonable” and as part of a “coordinated and orderly process.”
The carmakers first signed their coalition in March 1999, expanding it to include junior partner Mitsubishi Motors in 2016. The Monday deal comes after months of intense discussions over the restructure of the Franco-Japanese alliance.
As part of the agreement, Nissan would also invest in Ampere, Renault’s electric vehicle arm, while the two companies will embark on “high-value-creation operational projects” in Latin America, India and Europe.

Renault announced in November that it had signed a non-binding framework agreement with China’s Geely to establish a new company producing hybrid powertrains and “highly efficient ICE [internal combustion engine] powertrains.”
The French giant has also entered into a long-term strategic cooperation with U.S. chipmaker Qualcomm.
Renault shares dropped 1.4% in early trade in Europe, while Nissan shares were down by around 0.7% during Asian trading hours overnight.

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China saw one of its slowest years of economic growth in decades in 2022. Within a retail sales slump of 0.2% to 43.97 trillion yuan ($6.28 trillion), catering sales dropped by a steeper 6.3%.
During the seven-day Lunar New Year holiday that ended Friday, national tourism revenue surged by 30% from last year to 375.84 billion yuan, according to official figures. But that was still short of 2019 spending.
“Consumer sentiment is better. Spending power is kind of back,” said Ashley Dudarenok, founder of China digital consultancy ChoZan. “But I don’t think that suddenly from one month to the next things are back … to 2019 or double 2019.”

BEIJING — China’s consumption recovery from zero-Covid is getting off to a solid start – after a depressing fourth quarter.
When Michelin-starred restaurant Rêver reopened Thursday from a Lunar New Year break, it was fully booked, said Edward Suen, chief operating officer of the Guangzhou venue. Reservations for the next three days were near capacity, he said.

He’s hopeful business improves this year – and allows Rêver to recoup the roughly 35% in revenue it lost last year. Guangzhou city was one of the hardest hit by China’s Covid controls in late 2022, before Beijing abruptly ended most measures in early December and a wave of infections hit the country.
“Last Christmas, it was the first time in three years we didn’t run a full house, because quite a lot of people made reservations but then they got infected,” Suen said. He co-founded Rêver in June 2020.
In a down-to-earth Chinese city known worldwide for its Cantonese cuisine, Rêver is exploring a new market by serving modern French cuisine, with a multi-course dinner priced at 1,280 yuan ($183) or 1,680 yuan.
For the year ahead, “we try to be a little bit conservative on how things go,” Suen said. “Because everything’s changed so fast and so sudden in these days.”

In 2022, China saw one of its slowest years of economic growth in decades. Within a retail sales slump of 0.2% to 43.97 trillion yuan ($6.28 trillion), catering sales dropped by a steeper 6.3%.

More recent data show Chinese consumers are starting to open their wallets again, especially for travel.
During the seven-day Lunar New Year holiday that ended Friday, national tourism revenue surged by 30% from last year to 375.84 billion yuan, according to official figures. But that was still short of 2019 spending.
“Consumer sentiment is better. Spending power is kind of back,” Ashley Dudarenok, founder of China digital consultancy ChoZan, said Friday. “But I don’t think that suddenly from one month to the next things are back … to 2019 or double 2019.”
Dudarenok said that heading into 2023 and the Lunar New Year, some smaller brands had turned more conservative on China and cut their marketing budgets for the country in half.
“Consumer sentiment was really down, nobody knew what was actually coming, and a lot of marketing budget and dollars went into 11.11 [Singles Day] and it was also not successful, so brands did not earn a lot over 11.11” and another shopping festival in December, she said. “Then suddenly China opened. Many people did not expect that [and were] quite startled by this swift development.”
Dudarenok does expect overall consumer trends to continue, whether it’s people in larger cities spending more “on feeling better” or people in smaller cities paying for higher-quality products.

Read more about China from CNBC Pro

Many analysts expect high levels of savings among Chinese consumers during the pandemic will translate to greater spending this year.
At the policymaker level, Chinese authorities say they’re prioritizing consumption. Premier Li Keqiang led the first post-holiday executive meeting of the State Council on Saturday, and “called for efforts to expedite consumption recovery and keep foreign trade and investment stable,” according to a readout. The meeting said policies to promote the consumption of cars and other big-ticket items would be “fully implemented.”
However, unlike the U.S., China has not distributed cash to consumers nationwide in the wake of the pandemic. Li told reporters in 2022 that policymakers would instead focus on supporting businesses and jobs.
“We believe that the most important factor influencing the consumption is the outlook on future income which ties to many factors,” Hao Zhou, chief economist at Guotai Junan International, said in a note. “That being said, the reduced policy and virus uncertainties will definitely help improve the sentiment.”
He expects 7% year-on-year growth in retail sales.

Hainan’s recovery plans

Hainan, a tropical province aiming to be a duty free shopping destination, announced a goal for 10% growth in retail sales this year. That’s after its retail sales fell by 9.2% last year.
The island’s 12 duty-free stores saw gross sales of 2.57 billion yuan during the Lunar New Year holiday week, according to the local commerce department.
Those holiday sales were more than four times what they were in 2019, the release said, reflecting the region’s growth and new mall openings over the last few years.
LVMH and Coach-parent Tapestry both signed deals in 2022 with local authorities to expand their business in Hainan, including the establishment of Tapestry’s China travel retail headquarters, according to government announcements. The two companies did not immediately respond to a CNBC request for comment.
Top executives from U.S. and European brands, among others, plan to visit Hainan this year now that Covid restrictions are relaxed, said Ruslan Tulenov, global media officer for Hainan’s Bureau of International Economic Development. He declined to say how many or when.
“Before I personally I had some few discussions with some top companies last year or two years ago, but at that time [there were] some Covid restrictions, difficulties coming to China,” he said. “Some companies, they even would like to take their private jets to fly to Hainan directly, but at that time there were some Covid restrictions.”

New trends, changing fast

Brands in China have to adjust to changes not only in the Covid situation but also in the market.
Companies are moving more marketing dollars to ByteDance’s Douyin, the local version of TikTok, and away from Weibo, Dudarenok said.
While those brands were on Douyin for years, they were not part of the social conversation on the highly popular app, she said. For brands, she said the thinking now is that “China has changed, most important China has opened, and to get into that business we need to be part of that conversation.” More

People said the pandemic made them want to travel more responsibly in the future.
Now new data indicates they’re actually doing it.

According to a report published in January by the World Travel & Tourism Council and Trip.com Group:

Nearly 60% of travelers have chosen more sustainable travel options in the last couple of years.
Nearly 70% are actively seeking sustainable travel options.

But finding companies that are serious about sustainability isn’t easy, said James Thornton, CEO of tour company Intrepid Travel.  
“You see hotels saying they’re sustainable, and then you’re using these little travel bottles for shampoos and shower gels,” he said.
It’s all just “greenwashing,” he said, referencing the term that describes companies’ efforts to appear more environmentally sound than they are.

For a company to say they’re “100% sustainable” or they’re “eco-conscious” …  doesn’t mean anything.

James Thornton
CEO, Intrepid Travel

The term has risen in popularity alongside the increase in demand for sustainable products and services.

The result is a mix of those who are truly dedicated to the cause — and those who sprinkle eco-buzzwords and photographs of seedlings, forests and other “green” imagery in their marketing materials, with no real action to back up their claims.

Finding companies that are sustainable

Be wary of these tactics, said Thornton.
“For a company to say they’re ‘100% sustainable’ or they’re ‘eco-conscious’ …  doesn’t mean anything,” he said. “I would urge travelers to be very cautious when they’re seeing these words, and to really dig in and look in a bit more detail.”

Consumer interest in sustainable travel has changed considerably in the past two decades, said Thornton. He said when he joined Intrepid travel 18 years ago, “people would look at us like we’re a bit crazy” when the company talked about sustainability.
Now, many companies are doing it, whether they are serious, or not.
Thornton said he believes the travel industry is currently divided into three categories. One third have “incredibly good intentions, and [are] working very actively on addressing the climate crisis … and they’re making good progress.”
Another third have “good intentions but [aren’t] actually taking action yet. And often … they’re not quite sure how to take action.”
The final third “is just utterly burying its head in the sand and hoping that this thing is going to go away, and the truth of the matter is — it isn’t.”
To identify companies in the first category, Thornton recommends travelers look for three critical things.  

1. A history of sustainability

To ascertain whether a company may be jumping on the eco-bandwagon, examine its history, said Thornton.
He advises looking for “a long history of association with issues of sustainability, or is this something that only just appeared?”

Intrepid Travel CEO James Thornton.
Source: Intrepid Travel

If the messaging is new for the company, that’s not a deal breaker, he said.
“But that would then encourage the customer to probably want to look in a bit more detail to see if what a company actually does has rigor behind it,” he said, “Or whether it’s something that’s just being done for marketing sake — and therefore greenwashing.”

2. Check for measurements

Next, travelers should see if the company measures its greenhouse gas emissions, said Thornton.
“The honest truth is that every travel company is ultimately contributing towards the climate crisis,” he said. “So the best thing any travel company can start to do is measure the greenhouse gas emissions it creates.”
To do this, Thornton advised travelers to check the Glasgow Declaration on Climate Action in Tourism.
“The Glasgow Declaration website lists the organizations that have agreed to actively reduce their emissions … and actually have a climate plan that shows how they’re doing that,” he said.
Signatories must publish their climate plan, which is monitored by the United Nations World Tourism Organization, he said.
“Consumers can use this as a way to check if the company they’re booking with is serious about decarbonization,” he said, adding that more than 700 organizations are on the list.
Thornton said travelers can also check the Science Based Targets Initiative, which is a partnership between CDP, the United Nations Global Compact, World Resources Institute and the World Wide Fund for Nature.
Its website has a dashboard that details emission-reducing commitments made by more than 4,500 companies worldwide, including American Express Global Business Travel, the United Kingdom’s Reed & Mackay Travel and Australia’s Flight Centre Travel Group.

3. Look for accreditations

Finally, travelers can check for independent accreditations, said Thornton.
One of the most rigorous and impressive is the B Corp Certification, he said.
“It took Intrepid three years to become a B Corp,” he said.
Other companies with B Corp status include Seventh Generation, Ben & Jerry’s, Aesop — and Patagonia, which Thornton called “arguably the most famous B Corp in the world.”
To get it, companies are reviewed by the non-profit B Lab and a certification lasts for three years, said Thornton.
Kristen Graff, director of sales and marketing at Indonesia’s Bawah Reserve resort, agreed that B Corp is the “most widely respected” certification.
“The other one is the Global Sustainable Tourism Council,” she said. “These actually do an audit and are legit.”

Bawah Reserve, a resort in Indonesia’s Anambas Islands, is applying for B Corp certification. The resort uses solar power and desalinates drinking water on the island.
Source: Bawah Reserve

Other travel eco-certifications are less exacting, said Graff.
“Many of them are just a racket to make money,” she said.
Bawah Reserve started the process to become B Corp certified in November of 2021, said Graff. “We anticipate it will take about a year to complete,” she said.
B Corp uses a sliding scale for its certifications fees, which start at $1,000 for companies with less than $1 million in annual revenue.
“The cost is fairly minimal,” said Thornton, especially “if you’re serious about sustainability.”
He said Intrepid pays about $25,000 a year for the certification.

Other advice

Thornton also advised travelers to ask questions like:

Are you using renewable energy sources?
Is the food locally sourced?
Are employees from local communities?
Who owns the hotel?

He said there are places that are perceived to be sustainable but that are “actually owned by a casino.”
Lastly, Thornton recommends travelers look to online reviews.
“Often a little bit of research on Google … can give you a really good indication around whether a hotel or a travel experience is doing what it says it’s doing — or whether they’re actually greenwashing.” More

It took me 20 years of trial and error before I achieved a multimillion-dollar net worth. Now, at 64, I draw income from the 18 companies I started and the 12,000 apartment units I own.
But I wish I had known sooner how ultra wealthy people think about money. I’ve built relationships with many millionaires over the course of my investing career, and have spent years observing their habits.

Here’s what they do differently:

1. They don’t diversify their investments right away.

It’s generally good practice to diversify your portfolio by investing in a mix of different stocks, funds and other investments.
But as the wealthiest people build their net worth, they often go all-in on their own projects, and then diversify as they start earning more.
Elon Musk, for example, bet the $22 million he made selling his first company, an online business directory called Zip2, entirely on his next business, an online banking service called X.com.
After X.com merged with PayPal, he made $180 million off PayPal’s sale to eBay. That gave him the cash to invest in Tesla, SpaceX and other ventures.

2. They know that debt is for businesses, not people.

As I built my net worth, I did not accumulate debt on non-essential purchases like designer clothes or luxurious homes.
Even if I could afford the bills, I didn’t want to waste money paying interest. Instead, I wanted to put everything I was earning into generating more money. For me, that putting my income into my business.
I also paid cash for my homes, and I have never accumulated interest on a credit card.
In some cases, if you’re trying to build a business, debt can help you earn money by giving you access to income-generating assets sooner rather than later.

3. Homeownership isn’t always their first investment.

You might think that buying a primary residence is The American Dream, but it is rarely what you see the wealthy go for first.
In my opinion, homeownership doesn’t always see the same return on investment as other places you can put your money. I own three homes, but I didn’t purchase them until I was able to buy them in cash.

4. Instead, cash-flow real estate is the place to protect and grow money.

On the flip side, cash-flow real estate — commercial real estate where you are making a monthly profit off of rent after your mortgage payments, property taxes and maintenance — is a great way to grow your money.
You can make passive income off ownership of these properties, and it is often easier to sell them than a primary residence. When you sell a primary residence, you have to find a buyer who can envision themselves living there. When you sell a profitable rental property, you only have to find a buyer who wants to make a profit.

5. They always buy in bulk.

The wealthy are willing to spend more on each purchase in order to get a better price per unit and save time spent on repeating useless activities. 
This can apply to a business — the rich may contract to buy bulk supplies or equipment — or to you personal life. When I can, I buy everything without an expiration date in bulk.

6. They invest in their network.

I have never had someone invest in me that didn’t know me. And most of the real estate I own today was purchased from sellers who picked me over other qualified buyers because we had existing relationships, and they had confidence in my ability to close.
The more someone gets to know you, the more they will trust you and believe in your talents and skills. This leads to better opportunities, speedier decision-making and higher margins.
So invest time and resources into making and maintaining the right connections.  

7. They are never content.

One of my friends, a serial CEO, has worked with some of the wealthiest people in the world.
I once asked him what they had in common, and he said: “None of them were ever satisfied with what they had already accomplished, but instead focused on the next thing that could be accomplished.”
The wealthy are never satisfied with their previous achievements. They believe they can always achieve more. This helps them think big about future business ideas, inventions, investments and other wealth multipliers.

8. They don’t waste time trying to do everything themselves.

The wealthy know that time is the only truly scarce resource. You can’t buy more of it.
So they maximize their time by letting go of the need for control every small detail of their business or portfolio, and learn to effectively outsource and delegate to good, smart people who will trade their time for money.
Grant Cardone is the CEO of Cardone Capital, bestselling author of “The 10X Rule” and founder of The 10X Movement and The 10X Growth Conference. He owns and operates seven privately held companies and an over $4 billion portfolio of multifamily projects. Follow him on Twitter @GrantCardone.
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Walmart is bringing a sleeker look to some of its big-box stores, including some near New York City.
It has remodeled six stores so far.
Walmart is trying to get inflation-weary shoppers to buy higher-margin merchandise, such as makeup and apparel.

Walmart has rolled out a new look at five flagship stores, including its big-box store in Teterboro, NJ. The remodeled stores have brighter lighting, mannequins and roomier aisles.
Melissa Repko | CNBC

As Walmart’s low-priced groceries attract shoppers, the retailer is rolling out a fresh strategy aimed at wooing them into other aisles: stores with brighter lights, fashion-forward mannequins and colorful displays of makeup, pet supplies and more.
The big-box retailer, known for competing with value, has turned five of its SuperCenters into flagship stores with the remodeled look. They are located in Teterboro and North Bergen in New Jersey; Yaphank, New York; Quakertown, Pennsylvania.; and Hodgkins, Illinois. All of the flagships have debuted in the past three months — with North Bergen and Teterboro opening in mid-January.

And at least one more is on the way soon: A remodel of the store in Secaucus, New Jersey, is set for next month.
Walmart’s snazzier look is part of a broader effort to sell more discretionary items — like jeans, lipstick and baby strollers — that usually carry a higher profit margin than groceries. Last summer, it tested the sleeker model at one of its big-box stores in Springdale, Arkansas, a close drive from its corporate headquarters.
Alvis Washington, Walmart’s vice president of marketing, store design, innovation and experience, said it was time to bring the look to other markets after getting positive feedback in Arkansas. In company surveys, he said nearly every shopper said the store’s displays and mannequins encouraged them to browse longer.
“They appreciate the fact that we’re still true to who we are as Walmart,” he said. “Great prices. But then also we now have these new brands that we’re actually showcasing in inspirational ways.”

Walmart’s new store design includes displays that show off how a customer could decorate a nursery or kitchen. The displays also include a QR code that pulls up more merchandise on Walmart’s website.
Melissa Repko | CNBC

The company is remodeling the stores — and riffing off some store features of rival Target — at a time when more high-income households are shopping at the retail giant. In the past two quarters, about 75% of its market share gains in food have come from households that make more than $100,000 a year, according to Chief Financial Officer John David Rainey.

Those shoppers could become a fresh audience for Walmart’s exclusive brands, such as a style and value-oriented activewear brand, Love & Sports, developed with fashion designer Michelle Smith and SoulCycle instructor Stacey Griffith, and a kitchen and home decor line called Beautiful, which was developed with Drew Barrymore. It also has an assortment of clothing from national brands, such as Levi Strauss, Wrangler and Reebok.
“They were kind of a one-trick pony,” said Scott Mushkin, a retail analyst and CEO of R5 Capital. “They were always about price and what they’re now doing is, yes, they still lead on price. But they’re starting to accelerate the dynamics in stores that matter to other people, along with value.”
He said it is notable Walmart chose to remodel some of the stores near New York City, a competitive market where it has struggled with previous efforts to gain traction.
Mushkin had been a critic of Walmart for its sloppy stores, but has changed his tune. He said store leaders and employees have turned things around. And he said that along with sharper-looking shelves and neater displays, Walmart has shown its savvy by working more with well-recognized brands and developing more stylish private brands.

At Walmart’s flagship stores, like the one in Teterboro, NJ, Walmart plays up a lot of its exclusive brands like activewear brand, Love & Sports, and Beautiful, a kitchen and home decor line developed with Drew Barrymore.
Melissa Repko | CNBC

Walmart declined to say how many of its approximately 4,700 U.S. stores will get the new look. Through a spokesperson, the company said it will share its plans for remodels and capital expenditures for the fiscal year when it reports earnings in late February. The company would not say how much it spent on the changes, nor how the cost compares to other remodels.
Already, though, Washington said some elements of the remodeled store — such as displays that show off Walmart’s apparel brands — were added to 30 stores.
The retailer has done nearly 500 store remodels in the U.S. as of the third quarter, which ended Oct. 31. It did about 600 last fiscal year and about 500 in the previous fiscal year.
Yet Walmart must prove its remodeled stores can persuade shoppers to spend, even as they feel the pinch of inflation and think twice about buying more than they need. Walmart CEO Doug McMillon said in a CNBC interview this summer that even wealthier customers are more price-conscious because of high inflation.
The company revised its outlook for the fiscal year, which ends in late January, saying it expects same-store sales to be higher in the U.S. but profit margins to be lower as shoppers buy more food and fewer discretionary items.

Walmart’s new store design showcases a lot of discretionary merchandise that typically has a higher profit margin that groceries, including makeup and other beauty items.
Melissa Repko | CNBC

Washington declined to share data about Walmart’s store traffic and sales at its Springdale store and other flagships that have opened in recent months.
Yet its new store design appears to resonate with shoppers, according to data from Placer.ai, an analytics firm that uses anonymized data from mobile devices to estimate overall visits to locations. 
Visits to its Walmart store in Springdale, Ark. — the original prototype — have been much higher than what an average Walmart or Target location receives. In the fourth quarter, the store received 31.2% more visits than the average Walmart received during that period. It received 66.6% more visits than the average Target received during that time.
Some of that additional foot traffic may come from Walmart’s hometown advantage and having many employees who live nearby and shop the store.
But the new layout is winning some converts beyond Arkansas, too.
Victor Millan, of Ridgefield Park, New Jersey, makes weekly shopping trips to the Walmart in Teterboro for groceries and other items. Since the store debuted its new look about two weeks ago, the 45-year-old father of four said he has spent more time in the new-look Walmart — about twice as long per visit, from about a half hour to closer to an hour.
On Thursday, as he looked for a pair of Wrangler jeans, Millan said he feels like the store now offers higher quality clothing, and a lot of it.
“I’m not a fan of shopping for clothes,” he said, “but they have so many things.”

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Automakers are trying different approaches to bring dealers along with them as they transition to electric vehicles.
Some, like Honda, are moving more vehicles sales online in a bid to compete with Tesla’s profits.
Others, like Ford and General Motors, are asking dealers to opt into investment-heavy upgrades to traditional car lots.

Customers wearing protective masks looks at the interior of a vehicle for sale at a Ford Motor Co. dealership in Colma, California, Feb. 1, 2021.
David Paul Morris | Bloomberg | Getty Images

DETROIT — As automakers chase Tesla-like profits on new electric vehicles, they face an existential question: how best to bring franchised auto dealers along with them as they transition to EVs.
Some, such as General Motors, are asking luxury dealers to go all-in on EVs or get out of the business. Others like Ford Motor are offering dealers different “EV-certification” levels, while most other carmakers, or OEMs, know they need to change the sales process to fit the evolving industry, but are still try to figure out how to do it.

“I think we’re all building this airplane as we fly,” Michael Alford, president of the National Auto Dealers Association, a trade association that represents more than 16,000 U.S. new franchised dealers, told CNBC. “Depending on the OEM, the level of engagement or the intensity of the engagement varies.”
Automakers and franchised dealers have a complex relationship that is backed, in many states, by laws that make it difficult, if not illegal, to bypass franchised dealers and sell new vehicles directly to consumers. (Tesla and other newer EV startups have worked around such regulations to cut costs.)
Both automakers and franchised dealers want to maximize profits, but they’re separate businesses that heavily rely on one another to succeed. Dealers rely on automakers for product to fill and move off lots, and the carmakers in turn rely on dealers to sell and service vehicles as well as serve as concierges for customers. 
How that historical relationship fits into an all-electric future is expected to be at the forefront of discussions between automakers and dealers at the National Auto Dealers Association Show occurring through Sunday in Dallas. The event attracts thousands of franchise dealers annually to hear from their respective automotive brands.
For dealers — from mom-and-pop shops to large publicly traded chains — EVs will mean new employee training, infrastructure and substantial investments in their stores to be able to service, sell and charge the vehicles. Depending on the size of the dealer, those upgrades could easily cost hundreds of thousands, or millions, of dollars. Of course, they want to make sure their investments will pay off.

“The tone and tenor of this subject matter has evolved, and I think it’s very, very clear this year that our legacy OEMs absolutely realize that we are essential going forward,” said Alford, who runs Chevrolet and Cadillac dealerships in North Carolina.

Competing with Tesla

As more automakers introduce EVs, they’re rethinking the sales process, including selling new vehicles largely, if not fully, online. Tesla was among the first automakers to embrace online sales for a large portion of its business, though it still has physical dealerships, information sites and service shops.
A greater shift online may limit the role of dealers to strictly processing, maintenance and as delivery centers going forward and eliminate the need for large lots of cars that they then sell to consumers.
“By and large, the franchise system remains in place even for EVs by traditional automakers, although they all seem to be looking at ways to tweak it to be more competitive, so they say, with the Teslas of the world,” said Michelle Krebs, Cox Automotive executive analyst.
Automakers believe doing so will provide consumers a more streamlined and cohesive sales process, but they also consider the dealers to be their partners and to offer “strategic advantages” when it comes to other sales and maintenance issues.

A Tesla dealership in Colma, California, on Wednesday, Jan. 26, 2022.
David Paul Morris | Bloomberg | Getty Images

Honda Motor has said it plans to move more sales online, including 100% online sales for its luxury Acura brand for EVs. Mamadou Diallo, American Honda vice president of sales, said the plan is to facilitate the ordering process online, but with the vehicle being picked up or delivered by dealers. Those procedures are still being worked out, though, he said.
“We want to proceed with ensuring that we provide convenience with what customers are looking for, with no intention of bypassing our dealer body,” Mamadou said Tuesday during a media call.
Jay Vijayan, who assisted in building out Tesla’s digital and IT systems, doesn’t believe selling EVs exclusively online will pan out. He said a mix of sales points is best, which is why Tesla and newer EV startups are selling online as well as opening new showrooms and service centers.
“Apple still opens new stores, right? And every company you think is going to go direct is also opening new stores in the automotive space,” said Vijayan, founder and CEO of Tekion, a cloud-based dealer service provider.
Wall Street analysts have largely viewed direct-to-consumer sales as a means to optimize profit. However, there have been growing pains for Tesla when it comes to servicing its vehicles.
Ford CEO Jim Farley has said he wants the automaker’s dealers to cut selling and distribution costs by $2,000 per vehicle to be competitive with Tesla’s direct-to-consumer model.

Automaker approaches

Ford is among the automakers receiving the most pushback from dealers for its EV push, which includes EV-certification tiers that could cost more than $1 million per store, depending on the size of the dealership.
The Detroit automaker is facing legal challenges to the certification program from dealers who argue that the plan violates franchise laws. A group of 27 dealerships in Illinois filed a protest with the state’s motor vehicle review board, and four dealers in New York filed suit against the automaker last month, according to Automotive News.
Ford dealer Marc McEver said he signed on for the highest EV-certification tier at his dealership near Kansas City, Kansas, but he worries about the cost and timing of the program.
“I think we’re all concerned that what they’re having us put in now, by the time we really get some vehicles, will be outdated and need to be upgraded or replaced,” McEver, who also owns a Lincoln dealership, said.
Aside from the investments, dealers who opt into selling Ford EVs will need to abide by five standards to stay within good standing: clear and nonnegotiable pricing; charging investment; employee training; and improved vehicle purchasing and ownership experience for customer, both digitally and in person.
Ford on Saturday plans to outline some changes to its EV-certification tiers, according to two people familiar with the plans. The changes, as first reported by Automotive News, would narrow the differences between the program’s two tiers. The bottom tier comes with lower capital investment but also a smaller allocation of EVs from Ford.
Ford, though, unlike archrival General Motors, is allowing dealers to opt out of selling EVs and continue to sell the company’s gas-powered cars.
GM has offered buyouts to its Buick and Cadillac dealers that don’t want to shell out to sell EVs. About 320 of Cadillac’s 880 retailers took buyouts. Buick’s buyouts are ongoing, according to a spokesman.
Toyota Motor, for its part, has no plans to overhaul its franchised dealership network as it invests in electrified vehicles, CEO Akio Toyoda told dealers to resounding applause in September.
“I know you are anxious about the future. I know you are worried about how this business will change. While I can’t predict the future, I can promise you this: You, me, us, this business, this franchised model is not going anywhere. It’s staying just as it is,” said Toyoda, who will step down as CEO to become chairman in April.

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CNBC’s Jim Cramer on Friday told investors to steer clear of stocks in the Nasdaq Composite and instead place their bets on names listed in the Dow Jones Industrial Average.
The Nasdaq has climbed 11% this year, as investors have bet on less aggressive interest rate hikes from the Federal Reserve.

CNBC’s Jim Cramer on Friday told investors to steer clear of stocks in the Nasdaq Composite and instead place their bets on names listed in the Dow Jones Industrial Average.
“Even though tech has started the new year strong, and it was crazy good today, the charts, as interpreted by Larry Williams, say you need to be a little bit wary of the show horses in the Nasdaq and bet on the work horses in the Dow,” he said.

Stocks rose on Friday to close out a positive week for all three major indexes. The Nasdaq has climbed 11% this year, as investors have bet on less aggressive interest rate hikes from the Federal Reserve.
To explain Williams’ analysis, Cramer examined the daily chart of the Nasdaq-100 dating back to November 2021.

Arrows pointing outwards

While some technicians believe it’s a bullish sign that the index has broken above its 200-day moving average over the past two days, Williams points out that the Nasdaq-100 has come back down after breaching the level in the past, according to Cramer.
He then reviewed the daily chart of the Dow going back to February 2022.

Arrows pointing outwards

Unlike the Nasdaq-100, which Williams believes is a “show horse” index due to how much interest it gets, the Dow is more representative of Main Street, Cramer said.

He added that the blue-chip index broke out above its 200-day moving average back in November and has stayed above it since.
“Williams finds this chart a lot more compelling,” he said.
For more analysis, watch Cramer’s full explanation below.

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Monday – Friday, 6:00 – 7:00 PM ET

CNBC’s Jim Cramer said that Wall Street’s recent gains could continue next week depending on the Federal Reserve’s actions.
He also reviewed next week’s slate of earnings, including Meta, Apple, Amazon, Alphabet, Ford and more.

CNBC’s Jim Cramer on Friday said that Wall Street’s recent gains could continue next week depending on the Federal Reserve’s actions.
“A decision not to raise rates at all might show too much weakness. A quarter-point with a statement that they’ll remain vigilant will allow the bulls to party on,” he said.

The central bank is set to conclude its first meeting of the year on Wednesday, which Wall Street largely expected to beget a quarter-percentage point interest rate hike. 
Cramer said he’ll also have his eye on the January nonfarm payrolls report set to be released Friday. “If wage inflation’s very strong, the quarter-point move will be criticized. If it’s weaker, we’ll be hearing all about that hard landing,” he said.
All estimates for earnings, revenue and economic data are courtesy of FactSet.
Monday: Whirlpool

Q4 2022 earnings release at 4:05 p.m. ET; conference call on Tuesday at 8 a.m. ET
Projected EPS: $3.23
Projected revenue: $5.08 billion

He predicted that the company will report abating supply chain headwinds and a more frugal consumer on its conference call.

Tuesday: Caterpillar, Pfizer, Advanced Micro Devices
Caterpillar

Q4 2022 earnings release at 6:30 a.m. ET; conference call at 8:30 a.m. ET
Projected EPS: $4.02
Projected revenue; $15.82 billion

He said the company will likely report a solid quarter.
Pfizer

Q4 2022 earnings release at 6:45 a.m. ET; conference call at 10 a.m. ET
Projected EPS: $1.05
Projected revenue: $24.44 billion

There’s more to the company than unsustainable earnings from its Covid vaccine, despite what Wall Street believes, Cramer said.
Advanced Micro Devices

Q4 2022 earnings release at 4:15 p.m. ET; conference call at 5 p.m. ET
Projected EPS: 67 cents
Projected revenue: $5.51 billion

“AMD’s got a great portfolio now, and they keep taking market share,” he said.
Wednesday: Meta Platforms

Q4 2022 earnings release at 4:05 p.m. ET; conference call at 5 p.m. ET
Projected EPS: $2.26
Projected revenue: $31.54 billion

“All I know is the stock’s had a real run, and while we own it for the Charitable Trust, we’re not pounding the table on this one. Not here,” Cramer said.
Thursday: Ford Motor, Apple, Amazon, Alphabet
Ford

Q4 2022 earnings release at 4:05 p.m. ET; conference call at 5 p.m. ET
Projected EPS: 62 cents
Projected revenue: $41.39 billion

He said he isn’t worried that price cuts from Tesla will affect demand for Ford’s electric vehicles.
Apple

Q1 21023 earnings release at 4:30 p.m. ET; conference call at 5 p.m. ET
Projected EPS: $1.94
Projected revenue: $121.81 billion

Investors should hold onto their shares of the iPhone maker, according to Cramer.
Amazon

Q4 2022 earnings release at 4:01 p.m. ET; conference call at 5:30 p.m. ET
Projected EPS: 17 cents
Projected revenue: $145.64 billion

Amazon stock will soar if the company lays off 100,000 employees, he predicted.
Alphabet

Q4 2022 earnings release at 4 p.m. ET; conference call at 4:30 p.m. ET
Projected EPS: $1.18
Projected revenue: $76.17 billion

Cramer said that Alphabet also needs to downsize its workforce.
Friday: Regeneron Pharmaceuticals

Q4 2022 earnings release at 6:30 a.m. ET; conference call at 8:30 a.m. ET
Projected EPS: $10.1
Projected revenue: $3.14 billion

He said he likes the stock.
Disclaimer; Cramer’s Charitable Trust owns shares of Apple, Amazon, Advanced Micro Devices, Caterpillar, Ford and Meta.

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