Canadians not welcome at JD - USA

[Robert_in_NY]

If this is the case, then you have a big problem right there. They should be entitled to a fair profit on warranty work just like regular paid work. What incentive does a dealer have to tie up his mechanics and shop space on my warranty job for no profit when they can be working on someone else's machine and turn a profit? The warranty jobs would then be shoved to the back burner, and even more so if you didn't purchase from them.

Car/truck dealers seem to love warranty work, whether you bought from them or not, so what's wrong with ag/industrial?

This all comes down to the type of service a dealer will perform. Good dealers know that service is important and if you bought the tractor from them they made money on the initial purchase. That profit is the incentive to do warranty work on their customers machines in a timely fashion.

Dealers are suppose to do warranty work on all machines but generally if you don't buy from them they will not rush your job and if one of their better customers comes in with a needed repair the other tractor will tend to be pushed back.

 

[canoetrpr]

From what I have experienced, heard from Kubota etc. Robert's observations are correct. However I believe this to be a broken model in the industrial / ag world.

In a capitalist society that is profit driven, the customer is best served in warranty repairs if the dealer is compensated fairly for that that work - rather than artificially increasing his margin at sales time so that he will basically be doing warranty work on a 'best effort' type of basis depending on how much he values his reputation etc.

The way it is, a dealer actually has negative financial incentive to do warranty work whether or not you bought the tractor for him or not.

 

[SuperDutyDave]

its not about blaming the dealers...creating protected zones is crazy...no more than saying that if you live in one state you can't buy in another state...the same theory applying that "we are just trying to protect our dealers markets" very nice thought but not very realistic. With NAFTA Canada has just become another state as far as trade goes. The manufacturers don't want to adjust their thinking on this as it requires work and it reduces their margins.

the example of suing one McD's for a bad hamburger purchased at another 100 miles away makes no sense. What does that have to do with dealers have disriminitory pricing dictated to them from their manufacturers.

I am not against dealers...they all need to make a living...and they can do it by offering competitive prices and good service. The reality is the Deere and all other manufacturers should have pricing in Canada competitive to the US market relative to the value of their dollar. They should not be trying to force a unnatural market condition based upon their own best interests which forces violation of the trade agreement and discriminitory pricing.

This issue is not going away...Deere and others better get their hands around it soon or they are going to get their pants sued off. A couple Auto manufacturers are already being sued for it. In Europe a couple manaufacturers lost big time for the same issue when the EU just began.

Free Trade you can't fight basic economic principles.

Dave