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DEALERSHIPS :-
A car dealership or vehicle local distribution refers to a business that sells new and/or used cars at the retail level based on a dealership contract with an automaker or its sales subsidiary. So, automobile dealers act as a link between the automobile manufacturer and U.S. consumers. Some dealers in US also provide maintenance services, stock and sell spare automobile parts, process warranty claims and financing of a car. The automobile dealer industry is comprised of two segments as :-
• New Car Dealers :-
Also as franchised dealers, who sell new cars, Sports utility Vehicles (SUV’s), passengers and Cargo Vans. These dealers sell and lease manufactured by a particular company (including several different brands).
• Used Cars Dealers :-
Also referred as independent dealers. These dealers sell a variety of vehicles that are previously owned or rented or leased. Improvements in automobile technology have increased the durability and lifespan of new cars which in turn raise the number of high-quality used cars for sale. Some of these dealers also promote certified pre-owned vehicles to customers who want a warranty on their used vehicle.
In recent years, dealers are placing more emphasis on after market services to achieve greater financial and operational efficiency and flexibility such as financing and vehicle maintenance and repair, etc. These services not only increase profit margin of dealers but also enhance customer loyalty and overall customer service.
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