Ok, I'm open minded

Perhaps you are confused because you do not know I am 83 years old and worked all my life in the all three aspects of the automotive business.

I have an engineering degree and worked as a field engineer for VW of America untill VW stopped make cars in Pennsylvania. After that I worked for thirty year as an automobile design engineer for GM and Ford.

After I retired I worked for ten years as Group Sales Manger over seeing one of the largest multi-franchised sale groups on the eastern coast that sold just about any brand you can name. The partners owned multi-franchised dealerships in six states. One location in Pennsylvania has FIFTEEN brands, one in Virginia has TWELVE when the partners owned the stores. They have since sold out to others

During my last three years there I started my fleet service business with a partner, who I eventually bought out that grew to twenty six fleet service shops in those same six states, that I ran for a total of ten years before I sold it a few year ago.

I KNOW the automobile business

I'll have to pass on your recommendations for a used or new car. Nether seems like a very wise choice. :-)

I KNOW my 84 Rabbit was built in Westmoreland.............

I know how old you are.

You don't even know what year it is...

Thank you. Without further explanation the original statement didn't make sense, hence my question. I've never been witness to a fleet that performed their own manufacturer's warranty repair. It seems like a lot of work and $ to go through when you could hire low paid drivers to shuttle cars back to the dealership(s) instead. Did your fleet purchase agreements eliminate dealership warranty service as an option to save money?

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If someone is a warranty provider (whether it is for cars, TVs or anything else), the manufacturer pays the warranty provider for parts and labor to make the repairs.

Jeff

Maybe because it doesn't happen for another 8 years.

You have got to be kidding, right? Actually TODAY is a very good time to buy any vehicle, new or used. The is the best "buyers market" in many years. Even Toyota dealers have dropped their $2,500 package and are discounting big time to move their huge overstock of unsold cars.

Do you still own that Rabbit?

I KNOW my 84 Rabbit was built in Westmoreland.............

Duh! I was born in 1926, earned my degree in 1951 worked for Bethlehem Steel and GM before I worked for VW, retired from Ford in 1986.

I do not know of a fleet that performs their own warranty repairs either, we did it for our fleet customers.

Thank you. Without further explanation the original statement didn't make sense, hence my question. I've never been witness to a fleet that performed their own manufacturer's warranty repair. It seems like a lot of work and $ to go through when you could hire low paid drivers to shuttle cars back to the dealership(s) instead. Did your fleet purchase agreements eliminate dealership warranty service as an option to save money?

Toyota MDT in MO

I don't know about TVs but when it comes to vehicles, the manufacturers reimburse at predetermined part prices, time allowed, and shop rates, not what it may cost the provider to do the work.

If someone is a warranty provider (whether it is for cars, TVs or anything else), the manufacturer pays the warranty provider for parts and labor to make the repairs.

Jeff

You've got to be kidding...with the anti-corrosion applications that VWA decided were unnecessary?

That's swell, but vehicles are a unique product in this regard. For one thing, I can't think of any other product of this expense magnitude that can be purchased by the general public and warranteed across the country. Another point (relating to my original question) is the unbelievable hoops a company must jump through to qualify as a warranty provider for auto manufacturers. I still don't know exactly what kind of shop Mike was describing, even with his latest response. It's not like anything I've seen before.

If Joe Blow owns a general purpose auto repair shop and decides he wants to provide warranty service for GM, my first question would be "why?!" The cost to impliment would be outrageous, and without actually going 100% and building a dealership, there would be no revenue from new car sales. There would be no built in customer pay repair/service customer base from new sales. Without increased interest in his customer pay operations, the warranty reimbursement wouldn't make the bills, let alone any sense.

Toyota MDT in MO

That was a rhetorical question. We gave Rabbits to the PA State Police. They were returned to us after a time because troopers were smashing at high speed in wet weather.

To this day the PSP will not use any of the FWD cars they have as pursuit vehicles, after having the same problem on wet and icy roads with the FWD Fords and Chevys, given to them by the feds under the federal "55 Alive" program, back in the day ;)

You've got to be kidding...with the anti-corrosion applications that VWA decided were unnecessary?

I told you what was required of our fleet service shops, and our techs, to be allowed to do warranty work. I never said that was all that we did for fleets

We did ALL of the service work for hundreds of government and corporate fleets, not only warranty work. Unlike rental car companies, fleet vehicles are just another "tool" used in their business, not their "product."

Corporate vehicle are provide with excellent preventive maintenance because they generally keep their vehicles in service, for the five years or 300K WOF, because of federal corporate tax depreciation laws.. Some like highway patrol cars and particularly Korean "courier cars" easily get to 100K in a year or less and run out of any warranty.

By the way BEFORE a dealer builds his dealership he must buy a franchise, as well.

After a few years I sold vehicles to fleets as well, but like all fleet sales in the US, I had to purchase the vehicles from the franchised dealerships of the Group where I had been working. Fleets nor anybody else can buy directly from manufactures in the US, with the exception of Toyota, they must come through the dealerships. Toyota has "Distributers" that sell to dealers. They can and do sell directly to corporate fleets and rental car companies, as well.

That's swell, but vehicles are a unique product in this regard. For one thing, I can't think of any other product of this expense magnitude that can be purchased by the general public and warranteed across the country. Another point (relating to my original question) is the unbelievable hoops a company must jump through to qualify as a warranty provider for auto manufacturers. I still don't know exactly what kind of shop Mike was describing, even with his latest response. It's not like anything I've seen before.

If Joe Blow owns a general purpose auto repair shop and decides he wants to provide warranty service for GM, my first question would be "why?!" The cost to impliment would be outrageous, and without actually going 100% and building a dealership, there would be no revenue from new car sales. There would be no built in customer pay repair/service customer base from new sales. Without increased interest in his customer pay operations, the warranty reimbursement wouldn't make the bills, let alone any sense.

Toyota MDT in MO

Nor did I imply you typed such.

Makes sense.

Agreed.

It sure seems like the large rental "fleets" can buy directly from the manufacturers.

Yup, Toyotas distributors are regional, and it makes sense. Did you know there are two Toyota regional operations remaining that are independent of Toyota Corporate?

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It may seem that way, but to do so would violate US franchise laws

No I did not.

Nor did I imply you typed such.

Makes sense.

Agreed.

It sure seems like the large rental "fleets" can buy directly from the manufacturers.

Yup, Toyotas distributors are regional, and it makes sense. Did you know there are two Toyota regional operations remaining that are independent of Toyota Corporate?

Toyota MDT in MO