The latest government standards are pushing car makers towards adopting cleaner, greener technologies such as electric and hybrid cars, meaning car dealerships need to adapt their inventories accordingly.

The shift towards alternative powered vehicles has also been driven by consumer demand, as more car buyers are becoming aware of their environmental impact. Consumers are increasingly looking for car models that have lower emissions and better fuel efficiency, which has fueled this surge in the popularity of electric and hybrid vehicles. As car buyers are increasingly focused on hybrid and electric vehicle options, car dealerships should be prepared for this shift. Therefore, they should start thinking about investing in alternative powered vehicles to stay ahead of the changing regulations and ensure they remain competitive.

According to CNBC Volkswagen's goal of offering almost 100% emission-free new vehicles in major markets by 2040 and according to BBC News other automakers' plans to make only electric vehicles in the upcoming years are significant indicators of car buyers' changing preferences and car dealerships must be ready to meet this new demand.

An important factor to consider when car dealerships are deciding which car options to offer, is that by investing in car models that meet both customer needs and government standards, they can remain profitable and avoid expensive lawsuits.