Isn’t the purpose of any business to minimize cost while maximizing profits. As long as there are people willing to pay the price, you can’t certainly blame the seller.
Best way to do that is government regulatory lock in which is what dealers have
Nonprofit markups.org is exposing the most egregious new car prices
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Re: Nonprofit markups.org is exposing the most egregious new car prices
#172Not for nothing, and this is a cool use of technology and the internet, but was I supposed to be under the impression that car dealers aren't greedy? Greed is the central axis around which capitalist economic activity is oriented. It works very, very well. I'll take greed over feigned compassion and breadlines any day of the week. Recently I bought a Toyota SUV for a $7000 markup. But I was able to sell my lease (whi…
Greed also drives the other side of the equation... The consumers side as it pertains to getting the best deal possible! Markups.org is merely trying to use freedom of speech and press to force more transparency and competition across the dealership market segment.
What’s your business model? Where do you earn the money to run the site?
Re: Nonprofit markups.org is exposing the most egregious new car prices
#173Earlier quoted context omitted.
Hypothetically, if I were your competitor and you adopted this policy, what would stop me stationing an employee with purchasing power at your door and just being the first one to buy every car as it comes into your lot, taking it home and then marking it up to the actual market rate?
why should I care? Hypothetically that would make me rich in a very short time span and I could afford to buy and resell more expensive cars or buy at volume and make better deals. You would be basically financing my business, at zero interest rate, while I also make a profit on the money you give me. You do realize that profit is "the excess of returns over expenditure"? it's not given that you are making more money…
> I got more cars coming, see you on Monday!
This is sort of the problem, though, isn't it? There aren't more cars coming on Monday.
Re: Nonprofit markups.org is exposing the most egregious new car prices
#174Earlier quoted context omitted.
No business wants to sell to consumers, they are irrational and a huge liability. Much better to have some poor schmuck deal with that and be universally hated.
But why do they need regulations to do that? Can't they just... not sell to consumers?
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Re: Nonprofit markups.org is exposing the most egregious new car prices
#175I scroll through the list and see that some dealers -- no, stealers -- have a markup of USD 50k, how does that even result in a sale? I'm genuinely curious why someone looks at that final price, and then decides to go ahead with the purchase. More money than sense and no idea of what a sensible price is?
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Re: Nonprofit markups.org is exposing the most egregious new car prices
#176Earlier quoted context omitted.
This is literally the process of purchasing a vehicle in 2022. I needed a car (My old one had broken down after 9 years of service) Advertised price was 24,500. I walked out totaling 30,000 after all the bullshit and that was with a 4000 downpayment. I left an honest review on Google Reviews about how misleading and unhappy I was with that dealer in particulars process but I loved the car so I just sucked it up. When…
But you still bought the car!!! That's the entire point of these crappy business practices. At the end of the day, you paid. Thus they continue doing the same thing. If you really wanted this to change, don't reward the bad business practices. (Side note: This is a common topic on reddit /askcarsales. Honest dealers are basically forced to do some of these things. The shady dealers advertise lower prices, but lots of…
If you need the car, you need the car. I sure did
Re: Nonprofit markups.org is exposing the most egregious new car prices
#177Earlier quoted context omitted.
Plenty of people are, hence the markups on new devices immediately after launch on eBay.
they are not overspending anyone, they are simply trading their time to be first in line, while I buy it from my comfy chair at home at the price listed on the website. and they also need to hope there are enough stupid people on the internet to buy at a markup something sold in the hundred of millions of pieces,one indistinguishable from the other. more proof that an honest business can serve society better than sca…
How do you feel about ticket scalpers who use bots to buy up concert tickets, then relist them for higher prices? This is only possible because the the tickets are being sold originally for under market value.
Re: Nonprofit markups.org is exposing the most egregious new car prices
#178Earlier quoted context omitted.
How raising pricies is unethical? We are talking about somewhat luxury goods here - new cars.
People who can no longer buy the new car will instead buy a lower priced car, encouraging an upward trend in general car prices.
And then manufacturers will increase supply and prices will go down.
I am fairly open to the argument that price gouging for necessities in times of sudden life threatening crunch is not ok, but car market is operating like a normal market.
Re: Nonprofit markups.org is exposing the most egregious new car prices
#179Earlier quoted context omitted.
The market is SO inefficient. While you’re right in describing the principles of supply and demand, the reality is that buying a car should be 10x simpler and the price should just be the price. No games, no haggling, no BS add-ons that increase dealer profits. Retail auto is due for a wake up call, and I sense it’s happening right now. You wouldn’t need markups to make extra profit if the cost infrastructure associa…
Tesla is leading the way today (somewhat painfully in some areas) but they're not the first to try fixing this. GM's Saturn tried to make buying simpler in the 1990s and surely there were other previous examples, too. Ford seems to be testing the waters about how to simplify the car purchase process: https://fordauthority.com/2022/05/ford-dealers-will-likely-s... There's plenty of dealerships who have historically ha…
Ford Corporate is livid with their dealers. Back in 2018 when they put out the Focus RS, dealers basically killed that car with markups. Dealers all marked them up 20-30k which put them around 70-80k OTD. While some bought it at that price, they all just languished on the lot and Ford eventually cancelled due to sluggish sales.
An almost similar thing happened to the F150 Lightning, Ford had to threaten dealers that they would withhold any future deliveries if they caught wind of markups.
Re: Nonprofit markups.org is exposing the most egregious new car prices
#180Earlier quoted context omitted.
People who can no longer buy the new car will instead buy a lower priced car, encouraging an upward trend in general car prices.
And then manufacturers will increase supply and prices will go down. I am fairly open to the argument that price gouging for necessities in times of sudden life threatening crunch is not ok, but car market is operating like a normal market.
Except that, in this case, chip shortages and a supply-chain crisis mean that supply won't increase.