cowboydoc
Super Member
- Joined
- Dec 23, 2000
- Messages
- 6,725
- Tractor
- JD 8320 MFWD, JD 6415 MFWD, FEL, and cab, John Deere MFWD 4600, John Deere 4020, John Deere 4430, John Deere 455 mower, Deutz, and Gehl 4610 perkins skidsteer
Re: The truth: 4310: the good, the bad, mostly ugl
I will agree that yes in a perfect world then everything we got would be perfect, it would be free and we would all be millionaires. But let's get real. And no I'm not putting down what Bill has gone through. It's terrible for him. I feel for him and wish it hadn't happened. I don't think there's one person that has commented that doesn't feel Bill's pain and thinks that the way it happened is the way that it should be. But that aside. Let's just look at this from a business aspect.
Let's look at this from a purely economic standpoint and leave the should be and perfect world out of this. Bill said he saved I think something like $4k from the local dealer. If the other dealer cut his prices that much where is the profit margin to maintain that dealership if he gives just as good of service as the guy down the road? That service comes at a price. Like John pointed out probably alot of the customers at that dealership are farmers and ranchers like myself who don't care much about service and are only interested in price. Service comes at a price. It's not a perfect world gentlemen. Very few of us will pay that premium for service. Everyone looks for the cheapest price and secondly they think about service after the sale. I'm not excusing it it's just the climate that we work in today. Walmart is the largest retailer in the world working off of the price issue, or the perception of low prices. It doesn't matter if it's JD, Ford, Kubota, Walmart, Best Buy, etc. Everyone wants the absolute lowest price. It used to be there was a profit margin built in that people could make it. Now look at all of the big corporations that sell based on volume and low prices to push the mom and pop's out of business who had superior service. You know the irony of this all is everyone complains about how high priced deere is and then when a dealer sells for what must have been near cost then we bash them for that. You just can't have it all in todays business world. Name me one company that does it. If your profit margin is next to cost there isn't much room left to have superior service. If you're willing to take care of the headaches yourself then there are deals to be had. If you want someone else to take care of all the headaches there just aren't too many businesses that do that anymore.
I will agree that yes in a perfect world then everything we got would be perfect, it would be free and we would all be millionaires. But let's get real. And no I'm not putting down what Bill has gone through. It's terrible for him. I feel for him and wish it hadn't happened. I don't think there's one person that has commented that doesn't feel Bill's pain and thinks that the way it happened is the way that it should be. But that aside. Let's just look at this from a business aspect.
Let's look at this from a purely economic standpoint and leave the should be and perfect world out of this. Bill said he saved I think something like $4k from the local dealer. If the other dealer cut his prices that much where is the profit margin to maintain that dealership if he gives just as good of service as the guy down the road? That service comes at a price. Like John pointed out probably alot of the customers at that dealership are farmers and ranchers like myself who don't care much about service and are only interested in price. Service comes at a price. It's not a perfect world gentlemen. Very few of us will pay that premium for service. Everyone looks for the cheapest price and secondly they think about service after the sale. I'm not excusing it it's just the climate that we work in today. Walmart is the largest retailer in the world working off of the price issue, or the perception of low prices. It doesn't matter if it's JD, Ford, Kubota, Walmart, Best Buy, etc. Everyone wants the absolute lowest price. It used to be there was a profit margin built in that people could make it. Now look at all of the big corporations that sell based on volume and low prices to push the mom and pop's out of business who had superior service. You know the irony of this all is everyone complains about how high priced deere is and then when a dealer sells for what must have been near cost then we bash them for that. You just can't have it all in todays business world. Name me one company that does it. If your profit margin is next to cost there isn't much room left to have superior service. If you're willing to take care of the headaches yourself then there are deals to be had. If you want someone else to take care of all the headaches there just aren't too many businesses that do that anymore.