Car dealerships are returning to their old routines

Article by Christian A., on May 30, 2012

Car dealerships are returning to their old routines of spending a lot of money to get the vehicles off their lots. It had seemed that after the economic crisis of the last few years, no factories or dealerships would go back to the previous practices that led to their struggles. Dealerships then realized that they could earn more when they run a tight ship and that it was unreasonable to raise the volume of vehicles if they had to spend a large amount of money to sell them.

The wholesale and retail business was being run in an orderly manner. However, we now see the return of stair-step incentives, which had created confusion among producers and dealers. The pressure is on as after a few years, each manufacturer would have to raise its performance. At the last car show, automakers released their sales predictions and amounted to about 25 million cars and trucks. Each company intends to widen its market share by at least 10%. With many careers at risk, it’s possible that there would not be much concern about causing collateral damage and they would go back to the old habits. [source: Autonews]

If you liked the article, share on:

Topics: dealership

Comments

Recommended

It seems like we are reporting about BMW cars every week. And this week, we are going to talk about the BMW 8 Series, because first, we have been waiting...
by - June 21, 2018
Right now, Audi is in the earliest stages when it comes to developing a fully electric supercar. But as this technology is still a few years away before they can...
by - June 16, 2018
Mercedes-AMG only came out with the E43 lineup a few years ago, and already, the said model is ready to retire the badge so they could give way for the...
by - June 14, 2018
The Ford F-150 Raptor is probably one of the coolest offroad vehicles out there, and the great news is that the automaker already has planned upgrades for the 2019 model...
by - June 14, 2018
After the German automaker unveiled a new 911 Speedster Concept on Friday, we are starting to think that Porsche’s long line of Speedster models could expand again. Just like the...
by - June 13, 2018