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Originally Posted by ChrisC
I worked in car sales for about two months. Here is what I learned.
Never ever ever buy a brand new vehicle. You may as well throw money down the drain. Always buy a used vehicle at least one day after some other sucker bought it new and thre his money down the drain.
There is relatively very little mark-up in new vehicles although there is some. Dealerships make their money on used vehicles and ofetn they make thousands of dollars. Salespeople make the most commissions on used vehicles too.
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Boy, does this sound familiar. A few years ago, after a fifteen-year tenure as a small business owner, I tried my hand at car sales at a major Ford dealership here in Calgary. I lasted two months as well. Every car I sold was defective in some way. The last straw was when I sold a used car to a guy who wanted a reliable commuter vehicle for his teen-aged daughter. A different salesman at the dealership sold that same vehicle earlier and it came back as defective. I was reticent to sell the car, but the used car manager assured me that there was no problem and the car was good to go. Not only did the girl have a flat tire on the way home (I had earlier cautioned the manager that one of the tires looked low), but the same problem occurred as when the car was originally sold.
As for the dynamics of a dealership, they make more money on the back end (shop) than in the front (showroom).
