S2000 Talk Discussions related to the S2000, its ownership and enthusiasm for it.

how come dealers can

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Old Oct 10, 2001 | 06:15 AM
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Default how come dealers can

How come Honda dealers can charge more then the MSRP for a STOCK s2000?? Its not like paying that extra $5000 got you a s2000 and a supercharger....
how come its not illegal?
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Old Oct 10, 2001 | 06:18 AM
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They can because they are selling it and you want it. Why would it be illegal?

Everything in the world has an MSRP on it but that doesn't mean that the stores actually sell it for that much.

Remember, something is only as valuable as what someone is willing to give you for it.
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Old Oct 10, 2001 | 06:25 AM
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i look at it that the manufacturer put a window price of 32,740. the dealer is going above what they were told to sell it for and pocket an extra $5000....

i dont know how exactly to express it, i just think its different. I guess as i get older and buy more cars i will understand. I always thought that if a car was sold at MSRP they made highest profits and the buyer got ripped off.

i guess u r rught taylor, since we r willin to pay for it, they will charge us for it....
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Old Oct 10, 2001 | 06:25 AM
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Its just unfortunate that Honda builds such an awesome car for such a great price and a lot of dealers have turned many people away because they go in expecting to find a $32,700 car and some want still as much as $38,000. The only upside to it is that it help the value of S2000's and only true Honda enthusiasts will have them.
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Old Oct 10, 2001 | 06:28 AM
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[QUOTE]Originally posted by s2kkid
[B]i look at it that the manufacturer put a window price of 32,740.
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Old Oct 10, 2001 | 06:30 AM
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MSRP is just that - Manufacturers SUGGESTED Retail Price. It's a capitalist society and they can charge whatever the market will allow. The best way to stop it is to refuse to pay those outrageous prices.
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Old Oct 10, 2001 | 06:37 AM
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i couldnt refuse, i had to have the car and my salesman was smooth and practically wrote my deposit check for me ; )


so who is pocketing taht extra money they get, the salesman or dealership owner or Honda?
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Old Oct 10, 2001 | 06:43 AM
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The dealership gets the money, although I am sure that is shared between the normal commission structures of the F&I guy, the SalesManager, the GeneralManager and the sales person. They might get a bonus for selling certain high demand cars that would have the markup on it.

Some of those cars might include the S2000 or the Odessey.

I am fairly certain that none of the additional money goes to Honda.
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Old Oct 10, 2001 | 06:46 AM
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I know my salesman made $600 for selling me my Stook. I saw him right the sales commission voucher while he was filling out the paper work. Not a bad gig. Car was MSRP but options were a huge ripoff.
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Old Oct 10, 2001 | 07:04 AM
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Speaking as a former auto dealer I can assure you that Honda gets none of any extra markup. The dealer pays the manufacturer INVOICE (less any holdbacks) and then the dealer sells it for whatever he can. His profit is the diff. between invoice and what he sells it for. As previously posted, MSRP is the suggested retail price, but just as the dealer may sell for LESS than MSRP in many (if not most) cases, he may also sell for MORE than MSRP. Last year, for instance, there were MB 500 coupes with an MSRP around 80k that were selling for 120K! At one time BMW Z8s were bringing 250k or about 100k over MSRP. Now that's a REAL markup!

Believe it or not, when I was a dealer we sold Fiat 850 Spiders above MSRP for about the first year or so.

Most on this board are too young too know but many years ago cars had no such thing as an MSRP. Each dealer posted his own asking price and nobody knew what the dealer paid the manufacturer. The sticker on the car which lists the MSRP today is called the "Monroney Label" as Senator Monroney sponsored the bill which made it mandatory for the manufacturer to post an MSRP and illegal for the dealer to remove it before delivery. It doesn't prevent the dealer from adding a supplemetal speaker for dealer installed options and ADP (additional dealer profit) however.
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