Save My Local Dealer

What You Need to Know About Being a Chicago Car Dealer
Chicago is said to be the third most populous city in the U.S. and the 26th most populous metropolitan area in the world. It is a major transportation hub with nine interstate highways. With its population and approximately 4.25 million workers, the second largest labor pool in the US, it presents a remarkable market challenge to car dealers.

The Basics of Car Dealership
A car dealership is basically a business that is allowed to sell used or new cars in retail, based on a dealership contract with a vehicle manufacturer or a sales subsidiary. In North America, a car dealership involves a franchise that offers new or used cars and usually provides options for pre-ownership of vehicles and for car financing. The U.S. government prevents direct vehicle manufacturer sales and new cars can only be sold by car dealers.

New Versus Used Car Dealership
In general, used car dealers are able to sell cars from various manufacturers. This provides more flexibility since various markets can be targeted. On the other hand, new car dealers have franchises which are associated with 1 to 2 manufacturers. This is somehow a limitation since people who do not like a particular brand would not go to that brand’s car dealer.

The Essentials of Selling Cars
Car dealers should be able to display the cars available for sale in a showroom. If this is not possible, a car lot may be used. In Chicago and other U.S. states, the federal law requires the placement of a tag or sticker featuring the new car’s features and price. The retail price is usually negotiable. Hired and trained salespersons, who earn commission with each sale, can negotiate with the car buyer to determine the final purchase price. In a car dealer’s vocabulary, the negotiations may be called “desking a deal”.