Quote:
Originally Posted by Charles
Kamakiri,
I've devined that your work in the new car industry, so please correct me if I'm wrong.
To the best of my understanding, they tend to make more on a used car than a new one, but their bread and butter comes from repairs.
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Assumption #1 is correct, and dealers make thousands more on a used car, per.
There used to be a thing called "absorption rate" at a dealership, with the theory that service and parts paid all of the expenses of a dealership, and that the sales provides the profits, and is therefore the "gravy". This hasn't been so since cars started becoming bulletproof and people got used to doing oil changes at 6K rather than 3K, etc.