3 ms·
This doesn't happen with other franchises like McDonnalds or Subway or 7-11. These franchise owners are not allowed to load up snake oil on customers, they deep
by sytelus 8y ago
This doesn't happen with other franchises like McDonnalds or Subway or 7-11. These franchise owners are not allowed to load up snake oil on customers, they deeply care about brand experience and all goods+services are tightly controlled in exchange for monopoly over some territory. Many of these franchises don't even have huge margins or profits. Car manufacturers somehow aren't able to do this.
- slowmovintarget 8y agoMcDonalds is a real estate company that happens to also sell an occasional hamburger. The FDA requires that hamburgers not be cooked in snake oil.
- jjeaff 8y agoMcDonald's corporate makes a lot of money on real estate. But every franchise is making it purely on those "occasional" burgers. It is that revenue that pays for the real estate.
- alexanderwept 8y agoIt's really only an American problem. Car manufacturers sell directly to consumers in most countries. I have a hunch that dealer franchise laws generally make it tough for manufacturers to really make it competitive to be a car dealer. Generally the States mandate that car manufacturers have some good faith shown towards the dealers and dealers seem to play ball with the manufacturers - I'm pretty sure Nissan and Jeep dealers semi-routinely structure their vehicle purchases to help the manufacturer hit goals/benchmarks.
- __derek__ 8y agoCar manufacturers aren't able to do it because the car dealership lobby is a powerful one in state governments.