So the customer is to decide how much profit a business should make? Should Pepsi make 17% less per can because it makes 'too much' profit right now? Businesses should make whatever profit the market will take.

To me this sounds like a bunch of Liberal BS. I do not like to haggle either but unfortunately this is the system we have.

Making a profit is OK... that is what makes the world go-round.

 

Maybe a reading comprehension course is in order for you. I never said the customer should determine the profit margin, just be made aware of how the numbers are arrived at.

You defend the dealers' BS when they (and you) are the ones who have created and perpetuate the adversarial nature of the sales process, and then you criticize customers who use it to their advantage. You talk out of both sides of your mouth - to be expected from a car salesman.

 

Years ago without the web, the consumer was at the mercy of the dealer, especially when it came to incentives. Getting the invoice price required getting a hold of the copy of the Edmunds book. Whether the dealer was willing to acknowledge or even share the fact that there was an incentive depended on the dealer. With that said, that would allow business to make whatever profit the market will take, most likely greater profit.

These days, the business should still make a profit, on whatever the market will allow, but the field has leveled off making the margins thinner due to the web and the readily available information.

Hence, the customer does to some degree decide how much profit the business will make. If company A and B are competitors, with company B selling the same product for less, who's the consumer going to go to?

IMHO, it's not a bunch of liberal BS, just a fact of capitalism and not dependent on liberal, conservative, or whatever belief you have.

 

What industry is out there where you know what the true cost of something is? Dell? Pepsi? Exxon? What about Sharpie pens? Cost is irrelevant because the cost of something should not determine its value.

The next thing I'll hear is how much profit is 'okay' to make.

 

You won't hear anything, no matter how logical. Your experience as a retail car salesman is the only thing that counts.

Keep moving the goalposts and misconstruing the point. And I can tell you exactly the cost of those products you mentioned. The cost of something is generally the starting point of its retail value. Ever heard of "Cost of Goods Sold" and "Profit Margin"? Some business and finance classes might help you there.

What exactly is the value provided by the dealer over and above the cost of the car? Your extensive knowledge of the product and positive attitude towards your customers? Can you quantify it?

You detest your customers when they play the game that your industry created and that you play a part in every day. The vast majority of your profession tries to screw people out of $ every day and you have the nerve to denigrate people who try to hang on to money that they earned rather than waste it on stupid unneeded BS that car dealers try to foist on them. Whatever. I'm sure your Mercedes Benz customers pay whatever you ask without question and don't stoop to negotiating.

 

This is better than Wimbedon.

 

I'd wager that you don't know anything about me, don't know what I think of my customers, or of the industry in which I work. I haven't 'denegrated' anybody here (you're the one doing that) I have simply pointed out that any for-profit business should be able to make whatever profit the market will bear, which changes depending upon the economy, the product, the customer, etc. I've never said profit should be reached at the cost of honesty.

If somebody wants to spend 30 hours of their time to learn what holdback, the buy rate, and all those other things are for a car and then try and negotiate based on that and set 10 dealers against one another then fine. The people I've met who go that far into things are generally unhappy anyway and never think they got a 'good deal.' They are also, in my experience, dishonest at the end of things anyway.

If your attitude is really so sour I feel sorry you.

 

Whoa there, easy, boys.

The game is played by both sides. That is life. Please move on, there's no need to argue it so vehemently here.

 

I feel sorry for you. You're the one selling cars.

 

OK Bob - I'll drop it.

 

Wow
I said some stuff and walked away for a few days and this thread got vicious. Here's a few responses to a few posts and one final thought.

I don't know the full details of the numbers I shared or whether they are from before or after payroll.

If you were to buy a car directly from the manufacturer, it would be a long experience. There are color and model restrictions put on ordering for production purposes, you can't make every color combo at all times. You're looking at 3-6 months for delivery.

Lumpulus, I'm glad you caught the caught the Hubris comment, do you know who Loki is? Anyway, my worst nightmare is having my wang chopped off by an angry ex girlfriend....you're not even close.

Don't hate all the CL-S6MT drivin' car salesman

 

Go with '06 if at all possible, way fewer issues. (No offense to the brave early adopters!)