Ford's Jim Farley is probably upsetting dealers, it's about time and I'm ok with that

[jamanrr]

I don't think it is a problem. I am content with my Gen 2 Raptor and have no desire to go out and buy a 100+k vehicle. While I do have a deposit on a Hummer EV, GM has their own issues and I doubt I ever see that vehicle.

I do not think Ford will eliminate dealers and if they can make 40-60K over MSRP for their rare vehicles then more power to them. It is a capitalistic world. I do however have the right to buy anything and keep what I have which is were I am. Of course once the STI hits 60+k I am probably throwing it on the block. GTRs and Porsches have doubled or tripled in price just this year.

 

[graffa]

Wow. Idk what to think. On one hand , demand should dictate price. Capitalism. On the other, I would have 30k more in the bank if Ford sold the R model directly to me. I so didn't know there were laws against selling out of state. If Tesla can do it so should Ford.

I agree with Capitalism and someone making a profit but not price gauging which is what dealers are doing.

 

[Hotrod-Realtor]

I agree with Capitalism and someone making a profit but not price gauging which is what dealers are doing.

Are Ram dealers price "gauging"? Currently you can by a TRX for 10k under MSRP.

 

[GCATX]

People are fed up. This is going to be the new norm with every product. Why should we as a consumer accept the old process of haggling? We should all pay the same price. This flipping ******** is exactly that. Not good for the economy...

And dont even get me started on real estate. Unless you are significantly improving a property there should be laws against flipping houses or soon no one will be able to afford them.

So, when the going price for a Raptor is $5k under MSRP, like in before times, you will be the guy demanding to pay full MSRP like a good citizen? I don't think so.

 

[TwizzleStix]

Are Ram dealers price "gauging"? Currently you can by a TRX for 10k under MSRP.

Yeah well, they’re trying to get someone, anyone to buy their junk.

 

[TwizzleStix]

So, when the going price for a Raptor is $5k under MSRP, like in before times, you will be the guy demanding to pay full MSRP like a good citizen? I don't think so.

The point is that the dealers are making out like bandits at MSRP in the first place. Adding to MSRP is indeed price gouging, but no one “needs” a Raptor. It’s not like it is a required food staple or similar.
It still shows the dealer is a scum bag though, as most are indeed.

 

[GordoJay]

The point is that the dealers are making out like bandits at MSRP in the first place. Adding to MSRP is indeed price gouging, but no one “needs” a Raptor. It’s not like it is a required food staple or similar.
It still shows the dealer is a scum bag though, as most are indeed.

Someone will be pìssed off either way. If you sell at MSRP, folks will hate that you have no stock and looong lead times. People will rant and rail about flippers. If you sell at ADM, a different group will be annoyed. But you'll have a bunch of money in your pocket to soothe the burn. I know what I would do. Just sayin'.

 

[gordo]

So, when the going price for a Raptor is $5k under MSRP, like in before times, you will be the guy demanding to pay full MSRP like a good citizen? I don't think so.

LOL you can sell for cheaper all day if Ford allows it but I think companies have better algorithms to limit excess supply. Also there are some companies that set their price and no one can charge different. I don't quite understand why some industries can do that and others cannot. For example: Oakley sunglasses will freeze your account if they find out you are selling for below their MSRP, yet contact lens companies attempted to regulate pricing and were told it was illegal.

 

[FmaxTurboSi]

Are Ram dealers price "gauging"? Currently you can by a TRX for 10k under MSRP.

Where?

 

[melvimbe]

LOL you can sell for cheaper all day if Ford allows it but I think companies have better algorithms to limit excess supply.

What evidence have you seen to show that Ford, or any car maker for that matter, can limit excess supply...which essentially the same thing as predicted demand. If that were the case, then there would never be any rebates from Ford to clear last year's inventory.

Also there are some companies that set their price and no one can charge different. I don't quite understand why some industries can do that and others cannot. For example: Oakley sunglasses will freeze your account if they find out you are selling for below their MSRP, yet contact lens companies attempted to regulate pricing and were told it was illegal.

I can't speak to the issue with contact lenses, but for a consumer good with high volume of sales and lots of retailers, it makes sense for the manufacturer to want to keep prices stable and fully under their control. Let retailers compete on service rather than price. And to be accurate, when supply doesn't meet demand, a secondary market will quickly develop for new items above MSRP for those who would rather pay more than wait. Manufacturers would rather rectify this through increase supply though.

Anyway, autos have much fewer retailers and not a high volume of sales relatively speaking, and makes much more sense This would change if Ford sold directly, but would still develop that secondary market if they can't meet demand. Right now, the auto market favors those who are willing to pay more rather than wait and those who are willing to wait rather than pay more. It does not favor those who want to pay a set amount because they happen to be at the front of the line.