G.M. and Ford Stuck in Neutral ---NY Times

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InjunRAIV wrote:


This is a complete misnomer. The techs and workers that get paid the same salaries all are local, just as before. What changes is the management. It's a known problem that's been studied extensively. Franchises and corporate boards eventually lead to a fat, top-heavy business structure that impplodes about half the time.
What GM saves is having four dealerships in a town - they manage one via the main company and it saves them three rents and three entire staffs of salesdroids. (maybe twice the cost for the larger service center, but still half of what four cost them).
And crummy dealerships are more the norm than the exception.

I have no problem. I want a BMW Mini? MSRP. Fair enough, no haggling, no pressure, and really - who started this nonsense about MSRP? I pay $149 for a Playstation 2 and the price is fixed. We've gotten lazy. BMW says their Mini costs "X' and they could pull a Ronco on us and claim it's "$35K worth of car" marked down to $20K, or whatever. They sell for 47 palm trees, they sell for 47 palm trees. It's an artificial price anyways.

List price is nonsense. They could sell it for $100 over cost, and call that "MSRP" and you'd still complain that you're not able to get a "deal".
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I find it strange that every buyer expect the car dealer to sell them a car for less than the list price, yet will pay retail for a refrigerator or stove or whatever. Appliance dealers make a much higher percentage of profit than do car dealer. Furniture and jewelry stores make even more. A couch costs the retailer about 1/3 of the suggested retail price and jewelry even less.
mike hunt
Joseph Oberlander wrote:

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On Tue, 19 Apr 2005 11:19:34 -0400, someone posing as snipped-for-privacy@mailcity.com donned fireproof bloomers and chiseled in the wall:
(top-posting corrected)

I'm not sure who started the whole process, but it does make sense that a retailer should sell an item for a given price and that's it. A volume purchaser would be able to get a small % markdown but then they shouldn't go through the retailer.
I didn't mind buying my wife's Vue for the sticker. I know that the price I purchased the car for was the expected value.
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One must still shop dealerships in any event, particularly if you have a trade. Selling price alone is meaningless. The F & I guys usually make more for the dealership than the sales department. ALWAYS get a total drive home price, not just a selling price, before you decide which vehicle to buy.
(Thanks for correcting the position of my post to your liking and for others that have a problem, saves me the time. I'm to old to waist my time on that type of foolishness.)
mike hunt
Perfect Reign wrote:

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Try
Wouldn't
all.
I actually work in a dealership where the owner comes in at least once a month, the vice pres is also a co-owner.
After that theres the new car, used car, fleet, service, and body shop directors, then theres the body shop manager, and then there's me.
Being only 4 rungs down from the very top isn't that bad.
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On Fri, 15 Apr 2005 08:07:09 -0700, Chuck donned fireproof underwear and scratched on the wall:

http://www.nytimes.com/2005/04/15/automobiles/15auto.html?eiP65&en 494a9159223da1&ex14228800&partner=MYWAY&pagewanted=print&position <quote> "If I was in their styling studio I'd be working 24 hours a day on models that excited me when I walked through the door," said Gerald Meyers, a University of Michigan professor and the former chief executive of American Motors, which was taken over by Chrysler. "There has to be excitement in that instant when the customer walks through the door. That decision to look and buy happens very quickly." </quote>
You know, I'd be paying a lot of attention to whomever created the new (misnumbered) 300c over at Chrysler. That car looks cool and is selling. I'd also get all my designers to watch the old movie on the design of the Mustang II back in '62, when they they took the Fairlane, added a V-8 and made a very hot seller - without the bloat of the then-current thunderbird.
http://www.archive.org/movies/details-db.php?collection=prelinger&collectionid=styling_and_the_experimental_car

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