The tea party overplayed an impossible position when it tried to recently delay Obamacare as a condition to fund the government and raise the debt ceiling, AutoNation Chairman and CEO Mike Jackson told CNBC on Thursday.
While no fan of Obamacare, he said in a "Squawk Box" interview, "It would be like if you're playing a game of poker and you know you have a losing hand and you push all the chips on the table, that's just stupid or crazy—neither of which are very good."
"It was not the finest moment for the Republican Party," Jackson added. "Business is genuinely reflecting on whether they're enablers of this dysfunction and whether we really have to be more supportive of the center of the spectrum whether it's Democratic and Republican."
(Read more: GOP's McConnell faces tea party primary challenge)
AutoNation dealers did experience "some difficulties" in September going into the 16-day government shutdown earlier this month, he added. The temporary deals that reopened the government and increased the debt ceiling run until Jan. 15 and Feb. 7, respectively.
Meanwhile, AutoNation announced Thursday that the company earned 75 cents a share in the third quarter—2 cents below expectations. But revenue of $4.47 billion was better than Wall Street consensus estimates.
"Definitely the pause button was hit out there in America. But we fully expect to get that [shutdown slowdown] behind us," Jackson told CNBC.