Quote:
Originally Posted by WinnDixie
As we've watched this mess unfold, we are at the place now where Ford is the only American vehicle we want to consider. Besides, the Ford product we have now is the best car we've had, after years of buying Chevrolet's.
But my main reason to post here is that my husband has not yet heard a convincing argument for why the dealerships being closed saves GM..or (what was) Chrysler money? I keep taking a stab at: "They'll be making fewer of the product and don't want to have so many dealers to have to supply "(?). He says if a dealer is selling well, they'll be provided with the product! So what's a reason that saves GM, et al money? Other than providing the products, what costs occur for GM or Chrysler from having franchises at these dealers? We honestly don't know, and one keeps hearing of profitable dealerships that are being closed.
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Anything a dealer gets from GM is paid for by the dealership. All the literature and that is given away plus all advertising goody materials are purchased by the dealers. The cars are purchased from GM and most of the time go on floor plan which is money from the banks to the dealership to pay GM for the cars. So every car on the lot GM has been paid for as soon as it is delivered. That is the way the finance person at my dealership told me along with my wife who has worked for a Chevy dealership for over 30 years up until the other day. GM does not lose a thing as said above everything is paid for by the dealership.
