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Tesla recent price cuts on its most popular models in the U.S. are reverberating through the car business, pressuring rivals and affecting purchase decisions for new- and used-car buyers. The Elon Musk -led car maker’s most recent cut—slashing as much as 20% from the price of some versions of its top-selling Model Y earlier this month—shocked Stanly Tran. “‘There’s no way,’” Mr. Tran recalls thinking when he saw Tesla’s new prices.
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