I am looking for clarification . Is GM going to one pricing ?

[Eley Duke]

Thanks for the laugh Eley!

Kevin, you know it's true. Sad thing is I do laugh at our new car grosses, its a painful laugh! GM is hurting dealers with not being able to make money on a new car before back-end. Its the same for all domestic makes. Kevin, compare your grosses in your GM stores to your Honda and Toyota store. Now find a BMW, MB, or Lexus dealer you know well and ask them to let you see a comparable invoice to a Cadillac model, its a B-I-G difference! And they want us to build world class facilities like BMW, Audi, MB, Lexus, but on the grosses we make on Cadillac and Chevy??

 

[Jeff Kershner]

It always blows me away when I hear that Buick has such a demand in China.

 

[ddavis]

Kevin, you know it's true. Sad thing is I do laugh at our new car grosses, its a painful laugh! GM is hurting dealers with not being able to make money on a new car before back-end. Its the same for all domestic makes. Kevin, compare your grosses in your GM stores to your Honda and Toyota store. Now find a BMW, MB, or Lexus dealer you know well and ask them to let you see a comparable invoice to a Cadillac model, its a B-I-G difference! And they want us to build world class facilities like BMW, Audi, MB, Lexus, but on the grosses we make on Cadillac and Chevy??

They raised the holdback on Lexus. Stores in this market are quoting them at invoice and below. Makes it tough on the salespeople.

Years ago, I was invited to the grand opening of a new Nissan store. The new facility was huge and extremely nice. I was admiring some of the original art, when the Regional Manager came up to me. He asked me what I thought and I told him that I don't understand how he will pay for it. He told me, "if they can't hack it, the next guy will be in it for a lot less". "We have a state of the art facility, where we want it".

It always blows me away when I hear that Buick has such a demand in China.

I was trying to picture a family driving around China in a Buick.

 

[Wess Ewell]

It always blows me away when I hear that Buick has such a demand in China.

That's is why the back seats are so comfortable. If you are a successful businessman in China you ride in the back of a Buick. lol

 

[danoneil]

The one price option is something CARMAX has embraced and it seems to have worked well.

 

[ddavis]

The one price option is something CARMAX has embraced and it seems to have worked well.

Just like unions exist because of bad management, Carmax exists because of bad dealerships. Customers will pay too much for a used car to avoid going to a dealership.

They are efficient because their technicians come from Pepboys, Firestone and Sears. Everything from paintless dent repair to fixing stars in windshields is done in house. They pay their salespeople on flats and not commission.