Easy come, easy go huh - another Sydney Skoda dealer goooone?

[brad]

Say what you like, but Rockdale is psychologically the other side of the world for people north of the Bay/Cooks River. I used to get my Honda serviced at Rockdale, so know where it is, but Alexandria is now a known quantity for the eastern suburbs and inner west, with almost all prestige brands having a presence in or near it.

/thinks back to when I lived in Glebe & Randwick........

True.
Must remember to remove the rose coloured glasses before posting.

[sh|tbmxrider]

Because the car manufacturers/distributors collect a franchise fee from every dealer.

On my way down to Bendigo, there was some discussion on this on the radio (ABC News Radio with Debrorah Cameron). Apparently dealers MUST also undertake a major refurbishment amounting to millions of dollars ($3M was mentioned by one disgruntled dealer) and then this gives them the right to sell new cars of that brand for 3 years. This means that they first have to recover $3M over that 3 year period before they can make any money to pay wages or turn a profit.

It is not long before they go under at that rate. Apparently this is why you get these mega-dealers so that they can defray this huge cost over a number of brands.

Current trick by a few brands to try and keep the chinese at bay is to demand major refurbs of dealerships as an unofficial punishment if they dare think about putting one of the chinese brands into there portfolio