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They hold inventory. That's a massive benefit to both the consumer and the manufacturer. Even if you dismiss everything else they provide (which would be unwise

They hold inventory. That's a massive benefit to both the consumer and the manufacturer. Even if you dismiss everything else they provide (which would be unwise), that itself is enough to justify their existence.

pvaldes 4y ago
Inventory. Good point. Brands use dealerships as captive clients of their new cars. Then they can claim that had "sell" X cars of this model yet, when in fact are pushing dealerships to buy a percentage of those cars as requisite to keep the brand image.
- listenallyall 4y ago
  Dealerships are businesses, and are free to sever their relationship with the manufacturer. The fact that very few actually do, is evidence that your argument has little merit. Many dealerships seek to increase their allotment of cars to sell.
  - pvaldes 4y ago
    Of course they are, everybody is free to do whatever it pleases to them, but this was not my point. In some cases is an allotment, is a borrow. In other not. The dealerships aren't borrowing cars from the maker, they are "forced" to buy those cars from the maker with their own money, and they resell the cars later to recover the money. Is called a "zero Km" car. The maker is selling the dealership X cars each year, and they are thousands of dealerships in each country, so the maker has thousands of sold cars guaranteed even before the car is the market. Official dealerships are lending money to the brands all the time.
    - listenallyall 4y ago
      > this was not my point Even after reading your second comment, I have no idea what your complaint is. Again, if it was so awful, the dealerships would abandon the manufacturer.
      - pvaldes 4y ago
        > Again, if it was so awful, the dealerships would abandon the manufacturer And then the brands would be eaten or fuse in mega-brands, but this will never hap... oh, wait > I have no idea what your complaint is. I'm not complaining, I'm explaining. The relationship between maker and dealership is mutualistic. Both benefit of it. Dealerships exist because they are useful. The maker needs them in the correct amount to survive. Tesla was a different car and a different case, so maybe it works for them, but is a luxury brand and they still don't sell massively. And they aren't [probably, I could be wrong] selling a lot out of the big cities.

pvaldes 4y ago

Inventory. Good point. Brands use dealerships as captive clients of their new cars. Then they can claim that had "sell" X cars of this model yet, when in fact are pushing dealerships to buy a percentage of those cars as requisite to keep the brand image.

listenallyall 4y ago
Dealerships are businesses, and are free to sever their relationship with the manufacturer. The fact that very few actually do, is evidence that your argument has little merit. Many dealerships seek to increase their allotment of cars to sell.
- pvaldes 4y ago
  Of course they are, everybody is free to do whatever it pleases to them, but this was not my point. In some cases is an allotment, is a borrow. In other not. The dealerships aren't borrowing cars from the maker, they are "forced" to buy those cars from the maker with their own money, and they resell the cars later to recover the money. Is called a "zero Km" car. The maker is selling the dealership X cars each year, and they are thousands of dealerships in each country, so the maker has thousands of sold cars guaranteed even before the car is the market. Official dealerships are lending money to the brands all the time.
  - listenallyall 4y ago
    > this was not my point Even after reading your second comment, I have no idea what your complaint is. Again, if it was so awful, the dealerships would abandon the manufacturer.
    - pvaldes 4y ago
      > Again, if it was so awful, the dealerships would abandon the manufacturer And then the brands would be eaten or fuse in mega-brands, but this will never hap... oh, wait > I have no idea what your complaint is. I'm not complaining, I'm explaining. The relationship between maker and dealership is mutualistic. Both benefit of it. Dealerships exist because they are useful. The maker needs them in the correct amount to survive. Tesla was a different car and a different case, so maybe it works for them, but is a luxury brand and they still don't sell massively. And they aren't [probably, I could be wrong] selling a lot out of the big cities.