4 ms·
Sometimes you can take a loss on the car, but make a profit on the sale: https://www.thisamericanlife.org/513/129-cars https://www.thisamericanlife.org/513/129-
by alanfalcon 8y ago
Sometimes you can take a loss on the car, but make a profit on the sale: https://www.thisamericanlife.org/513/129-cars https://www.thisamericanlife.org/513/129-cars
- ethbro 8y agoIf you're interested in how dealerships actually work (and how perverse and stressful the incentive structure can be), I highly recommend listening to the above podcast. It was fascinating. One example: sometimes dealerships are selling you a vehicle at a loss, in hopes they'll hit the next volume tier, earning enough manufacturer rebates to make a net profit on the deal. And they have to cut their prices that low if they're in a competitive market. Which turns the entire endeavor into a monthly game of musical chairs. "And 3rd place? Third place is you're fired."