This is exactly true. Dealership profit centers are loan origination and extended warranty origination. Parts/Service is designed to pay the bills. (Source: My

This is exactly true. Dealership profit centers are loan origination and extended warranty origination. Parts/Service is designed to pay the bills. (Source: My dad has been selling new cars for 40+ years) (This is kinda like the Costco model where they aim to break even on all sales with profit only being the membership fees).