Robbery
Laughing Gas
Joined: Nov 2021
Posts: 886
Likes: 369
Maybe you will get your wish. They are talking about changing production from 90 day supply to 60 or maybe less. That should stabilize things more so there are less vehicles they have to get rid off and do all kinds of tricks at the end of the model year. That should stabilize pricing some. Last major no haggle pricing dealership I saw was Saturn. I don't think I am really for price control. I am more of a "Let the market decide" kind of guy. Do you want the government to tell you what you can sell your house for based on your cost, etc, etc? I prefer to ask what I want and if someone pays, good for me. If not, I have to lower it.
Lead Driver
Joined: Jan 2006
Posts: 7,308
Likes: 250
From: Hartford, WI
A manufacturer setting the price for their own product is still a free market. It is probably more about the franchise agreement. Comparing the situation to the government dictating how much I can sell my house for is nothing like the situation we are talking about ... or reality. :-)
So if a dealer buys 50 cars and cannot move it, should he be able to lower the price to move it? If so, how is that different?
Fleet Mechanic
Joined: Jul 2019
Posts: 1,651
Likes: 696
Don't forget that States also have laws that govern automobile franchises. These are generally set up to protect the franchisee including requiring that manufacturers can't sell direct to consumer.
Laughing Gas
Joined: Nov 2021
Posts: 886
Likes: 369
Yeah how does that seem like free enterprise? It is for the reason Tesla can't sell direct to customers in some states. The invisible hand of the free market vs the hand of the government. Neither is perfect.
Lead Driver
Joined: Jan 2006
Posts: 7,308
Likes: 250
From: Hartford, WI
If there was a fixed price, would you want it to be enforced if you were the manufacturer? Sure, they are doing the politically correct thing which is threaten to cut allotment when there is really not much. If your allotment is 500 and we are only able to give 250, it's going to make it easy for me to cut your allotment down to 400 to punish you and make the idiots happy.
Lead Driver
Joined: Jan 2006
Posts: 7,308
Likes: 250
From: Hartford, WI
Maybe not but I'd take my chances with the free market any day over the government trying to help me. All I need is for them to make sure laws are followed and not try to make anything else happens.
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sglaine
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Aug 18, 2008 09:21 PM
