Roadfly.com         Roadfly Home | Features | Car Review Videos | Car Reviews | Cars For Sale | Used Car Parts Classifieds | Forum | Car Review Archives | Forum Archives Index



PDA



dabadboy
07-19-2002, 11:06 AM
http://money.cnn.com/2002/07/19/news/companies/mercedes/index.htm<br><img src="http://members.roadfly.com/dabadboy/thumb.jpg">

jason2
07-19-2002, 11:13 AM
this is the reason we don't see BMW trying to stop their dealers from marking up their cars. We all commend MB for stopping the markups at their dealers but then they get subpoenaed on price fixing charges.

StoneWalk
07-19-2002, 11:19 AM
5 million quatloos says that MB is being charged with artificially keeping retail prices HIGH, not with trying to keep their dealers from charging too much for certain high demand cars.

I have yet to see ANY example of a case where price fix law (which was intended to protect the consumer from paying too much through market manipulation) has been used against a company that tried to exert DOWNWARD force on it's retailers.

jason2
07-19-2002, 11:30 AM
From Reuters:

"DaimlerChrysler said the allegations stem from a federal lawsuit filed in 1999 alleging that Mercedes, an accounting firm and 27 dealers in New York, New Jersey and Connecticut acted together to avoid price competition between February 1992 and August 1999."

We know that MB dealers don't charge over MSRP (there are some rare exceptions) so it must me that the charges are based on cars getting standardized pricing (MSRP) at all these dealers. I could be wrong but it sounds to me that MB's tactic of telling dealers not to sell over MSRP has been interpreted by the DOJ Anti-Trust Division as price fixing.

MarkG
07-19-2002, 11:33 AM
I agree with you, tho...no one would be complaining if it was an issue of keeping prices lower than the market would drive them...most likely this has nothing to do with blocking markups but rather with inflating prices across the line.

atyclb
07-19-2002, 11:34 AM
a case where the dealers in the NY/NJ area conspired together to keep prices at MSRP rather than giving discounts.

The suit is against the dealerships, so if the dealerships were conspiring to keep prices down, why would there be a suit?<br>----------------------------------------------------------
<img src="http://members.roadfly.com/atyclb/orgsig.jpg">
Leave it behind....
......you've got to leave it behind....

StoneWalk
07-19-2002, 11:35 AM
"Avoid price competition"

We're talking about preventing dealers from competing to offer a _lower_ price, not a higher one.

It may involve MSRP, but if so, it will be cases of MB telling all their dealers to not DISCOUNT BELOW MSRP, as opposed to telling them that prices _above_ MSRP are not acceptable but they can discount and _compete_ with other dealers to their hearts content.

How does one mentally do the gynastics to come up with a scene where dealers need to charge arbitrarily _high_ prices in order to be allowed to compete with each other? It's like saying that a rule requiring all marathon runners to finish in under 3 hours prevents competition to win the race.

atyclb
07-19-2002, 11:36 AM
<br>----------------------------------------------------------
<img src="http://members.roadfly.com/atyclb/orgsig.jpg">
Leave it behind....
......you've got to leave it behind....

StoneWalk
07-19-2002, 11:36 AM
Times used to be that you could actually buy something with a million quatloos. Now it takes billions!

atyclb
07-19-2002, 11:37 AM
<a href="http://www.quatloos.com/">http://www.quatloos.com/</a><br>----------------------------------------------------------
<img src="http://members.roadfly.com/atyclb/orgsig.jpg">
Leave it behind....
......you've got to leave it behind....

MarkG
07-19-2002, 11:46 AM
really an acronym for an internet search engine? Are you really just a computer program having fun with us on the M3 board?

Artificial
Technology
Yearning to
Conjure up
Links for
Bimmer.org members

atyclb
07-19-2002, 11:48 AM
<br>----------------------------------------------------------
<img src="http://members.roadfly.com/atyclb/orgsig.jpg">
Leave it behind....
......you've got to leave it behind....

spookm3
07-19-2002, 12:21 PM


Roadfly Home | Car Reviews | Forum Archives Index