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Started By
Message
re: Ford CEO is going to kill his own Company.
Posted on 6/5/22 at 10:17 am to Jake88
Posted on 6/5/22 at 10:17 am to Jake88
Price transparency is always a good thing for the consumer. A number of unimaginative posters thinking that the dealer network cannot be cut out.
Unless there is price fixing across the industry where all OEMs retain elevated profits, then economics has proven that prices will come down in a competitive environment. Removing a layer from the value chain is a practical solution albeit there’s a lot of inertia against it (since the structure has been in place for so long and has legal protections).
Unless there is price fixing across the industry where all OEMs retain elevated profits, then economics has proven that prices will come down in a competitive environment. Removing a layer from the value chain is a practical solution albeit there’s a lot of inertia against it (since the structure has been in place for so long and has legal protections).
This post was edited on 6/5/22 at 10:19 am
0
Posted on 6/5/22 at 10:21 am to GooseSix
quote:
Competition between dealers keep the prices down you idiot.
Adding middlemen into a transaction does not keep prices down. It just adds another layer of people who must make a profit off the car.
Posted on 6/5/22 at 10:26 am to GooseSix
Not a Ford fan, but I love the sales model. Wpuld be great for consumers. frick a dealership.
Posted on 6/5/22 at 10:28 am to GooseSix
quote:
Competition between dealers keep the prices down you idiot.
Competition between manufacturers, not individual dealerships, keeps prices down you idiot.
Posted on 6/5/22 at 10:30 am to GooseSix
Dealers frick you anyway. Add on prices to make it seem like they are giving you a deal.
My 2020 Ford needs a new transmission at 45,000 miles its crazy
My 2020 Ford needs a new transmission at 45,000 miles its crazy
This post was edited on 6/5/22 at 10:42 am
Posted on 6/5/22 at 3:27 pm to DiamondDog
quote:I bought a new truck recently. Sticker price is not a “suckers game” when you get more than you paid for your truck with 40k on it that you are trading in.
Todays market is a different animal. I went in to discuss a new Suburban two weeks ago. Kind of played around with some figures and their approach was "pay the MSRP" and take available rebates. I knew this was a suckers market immediately and promptly thanked them and walked. I'll check back in 2-3 years when things return to normal. What I was shocked by is they have 11 already sold and waiting for delivery. The guy showed me their order spreadsheet and prices- every one of thosey suckers paid full MSRP based off their sticker, invoice and their dealer paid price. There wasn't a sold suburban under 78K on that sheet. I never seen a dealer be so upfront showing me their data. It didn't matter though because there were no negotiations. This place was in Lafayette.
Posted on 6/5/22 at 3:46 pm to tigahbruh
quote:
Not a Ford fan, but I love the sales model. Wpuld be great for consumers. frick a dealership.
dealers are in competition with each other. Eliminate the dealer and the price goes up. That;s why they are doing it.
Also eliminating the dealer from the sales end and expecting the dealer to care about the customer as before is a fool's game. It's not going to happen.
So the prices goes up and the service goes down.
Posted on 6/5/22 at 3:48 pm to Swazla
quote:
Eliminate the dealer and the price goes up. That;s why they are doing it.
Margin for them goes up. That's why they're doing it, you can't say that price goes up.
quote:
Also eliminating the dealer from the sales end and expecting the dealer to care about the customer
Logical fallacy
Posted on 6/5/22 at 3:48 pm to Swazla
quote:
dealers are in competition with each other. Eliminate the dealer and the price goes up.
Are you saying the dealers sell cars cheaper than ford sells it to them?
Posted on 6/5/22 at 3:51 pm to McCorkleJonesGOAT
quote:
no one cares about Ford.
Boy are you gonna be in for a surprise when I tell you what the best selling pick up in the nation is…
Posted on 6/5/22 at 9:24 pm to GooseSix
What will bite any mfg in the tail is increase cost.
Usually when a dealer orders a vehicle for inventory or a customer that vehicle sold to the dealer even before shipping.
This way the cost of mfg that vehicle is shifted from Ford to the company financing the floor plan.
This helps them take money and put back in mfg.
Now he basically taking on the liability of cost of mfg and inventory until the vehicle is sold.
A huge player like Ford, Chrysler, and GM would have a hard to managing capital to keep volume running through the plants.
Either they will have to make less vehicles, less models, and only profitable models.
or
They will have to find a way to finance this inventory until it is delivered to the customer.
Usually when a dealer orders a vehicle for inventory or a customer that vehicle sold to the dealer even before shipping.
This way the cost of mfg that vehicle is shifted from Ford to the company financing the floor plan.
This helps them take money and put back in mfg.
Now he basically taking on the liability of cost of mfg and inventory until the vehicle is sold.
A huge player like Ford, Chrysler, and GM would have a hard to managing capital to keep volume running through the plants.
Either they will have to make less vehicles, less models, and only profitable models.
or
They will have to find a way to finance this inventory until it is delivered to the customer.
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