John Deere's poor dealership decision making IMO.

[atsah]

State universitie payroll and welfare handouts?? Hmmmm, that’s a stretch..

 

[tjkubota93]

When I worked as an automotive factory rep they were turning the heat up on little dealers. They didn't like them because generally it was harder to get them to play ball as far as technician training and other things. Not to mention, big dealers move more iron. I went to multiple dealers that refused to train a guy on transmissions. We dont want to work on transmissions, they are complicated. We farm them all out to Jim bob down the street. Same with diesels alot of places. One place I went to was 2 brothers. One was sales and the other was service. The showroom was empty except an old couch. The owners buddies would stop by set a spell and smoke cigarettes. I didnt like Detroit being mean to all these guys, they were just trying to make a living. But I didnt like the guys saying eh whatever. We are a dealer but we dont do transmission work or diesels.

The idea is for you to have the same experience everywhere and be able to have any problems fixed anywhere. I personally believe all dealers should be factory owned. Take out the middleman.

 

[vvanders]

...

The idea is for you to have the same experience everywhere and be able to have any problems fixed anywhere. I personally believe all dealers should be factory owned. Take out the middleman.

It's funny you say that, it turns out that there's a whole lobbying group for dealerships called the NADA. They've got laws on the books in about half the states that if a company owns the dealers/service centers they cannot legally sell cars in those states.

So much for free market capitalism I guess, gotta protect those entrenched interests.

 

[Industrial Toys]

All the Family Name JD dealerships around here have amalgamated.

Funny, The Vet (animal doc) association told my Vet they didn't approve of her name in her practice name either! Also insisting she gouge her customers in a myriad of ways. What the $%#$ is wrong with the world today?

 

[tjkubota93]

It's funny you say that, it turns out that there's a whole lobbying group for dealerships called the NADA. They've got laws on the books in about half the states that if a company owns the dealers/service centers they cannot legally sell cars in those states.

So much for free market capitalism I guess, gotta protect those entrenched interests.

I dont know if it would get better or worse I have seen some rotten dealers (1 while buying a truck for myself).

 

[MessickFarmEqu]

consolidation has been going on in our industry for a long time now. Its pushed by some manufacturers, but small dealers would also tell you its hard to turn a profit if your not moving a significant volume of equipment. The magic number had been dealer groups with at least 100 million in sales, but that's pushing upwards now and dealers with 5-6, even 10-12 stores are being absorbed into still larger groups.

 

[Oldoak]

.....................................................................

Funny, The Vet (animal doc) association told my Vet they didn't approve of her name in her practice name either! Also insisting she gouge her customers in a myriad of ways. What the $%#$ is wrong with the world today?

One word, GREED!

Our local veterinarian passed away very unexpectedly this past Spring. He was an excellent and caring Vet and didn't charge exorbitant prices. Well, a Veterinary LLC, which had a habit of buying out smaller independent practices, bought the practice from his wife. Yep, up shot all the pricing even for routine annual shots. And not just by a couple of bucks.

 

[ovrszd]

consolidation has been going on in our industry for a long time now. Its pushed by some manufacturers, but small dealers would also tell you its hard to turn a profit if your not moving a significant volume of equipment. The magic number had been dealer groups with at least 100 million in sales, but that's pushing upwards now and dealers with 5-6, even 10-12 stores are being absorbed into still larger groups.

Yep. My local JD dealer just went thru the second round.

 

[Turbys_1700]

Business models change...
It will continue to change and fluctuate based on economies of scale, market demands, demographics, etc...
We all long for the good old days...
Change is constant whether we accept it or not...
I like the idea of a small locally owned dealer...
I still have one...
Hopefully it will continue...

 

[ovrszd]

Business models change...
It will continue to change and fluctuate based on economies of scale, market demands, demographics, etc...
We all long for the good old days...
Change is constant whether we accept it or not...
I like the idea of a small locally owned dealer...
I still have one...
Hopefully it will continue...

After two buy outs I still know all the employees on a first name basis. We visit about the weather, kids, grandkids, the teenagers leaving black marks on the hiway, the future of farming and many other topics. Excellent stock of parts and machinery. If they don't have it, they will in a couple days.

I've saw no downside.