GM to buyout Cadillac dealers

[DRM500RUBYZR-1]

Originally Posted by Mystic ZR-1

That may be true? But Marty, I recommend you
don't stick your head out the window....

I don't profess to know much, but that sounds like a really, really good suggestion.



Marty

[DRM500RUBYZR-1]

150 Cadillac dealers opt out.

https://www.newsbreak.com/news/21189...ic-cars-report


Marty

[BigJohn]

So what happens when all vehicles become electric?
Will all car dealers close because of low maintenance requirements?

[DRM500RUBYZR-1]

Originally Posted by BigJohn

So what happens when all vehicles become electric?
Will all car dealers close because of low maintenance requirements?

150 Franchised Dealers question the economics of the future business model.

650 believe otherwise.

Certainly the chances for survival have improved for the 650 given the exodus of the 150.

The cars still collide and require repair, things still wear out and break, but will it support the existing investment and the additional investment needed may cause some to think twice.

And 150 businessmen thought twice and opted to fold em.


Marty

[BigJohn]

I have been told by the body shop that insurance company?s are opting to total rather than repair most modern cars.

[XfireZ51]

A side gig of mine is auditing collision centers for OEM ?certified collision center? programs. Cars will still crash, altho usually w air bag deployment, insurers total the car. The liability of trying to rebuild a vehicle is too great. Lgaff could also give us a perspective on this since he runs a collision adjusting organization for an insurer.
Bottom line is that auto parts, oil change, mechanical repair won?t be growth industries. And Tesla has demonstrated how you don?t need the franchise structure to sell 300k units/yr. Both Hans and myself can attest to the overhead expense an OEM has in servicing that franchise organization. Apparently some dealers have seen this coming and have been making significant investment in collision repair facilities as a way of offsetting loss of mechanical repair. All of this isn?t going to happen overnight. But the trend is in that direction certainly w the continued advances in e-Car technology.