Thread: Right To Repair
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Old 09-19-2020, 02:32   #6
Flagg
Area Commander
 
Join Date: May 2011
Location: New Zealand
Posts: 1,381
Quote:
Originally Posted by cbtengr View Post
This has been going on for a number of years with farm equipment.

https://www.magzter.com/article/Busi...S-A-JOHN-DEERE
John Deere in by far one of the most egregious examples.

Business models for the automotive, trucking, power sports, and at equipment sectors are in absolute upheaval.

Most new product is sold at very low gross profit margin.

Manufacturers squeeze and control their dealership network small business owners to the point where the only profit generated is thru performance incentives.

If you hit target you get incentives, if you donít you starve to death.

Manufacturers push volume not so much for profit from the durable goods, but from their massive spare parts margins.

Dealerships are limited in their spare parts markup, so the only thing left is workshop service labor.

So closed systems keep dealership networks from dying.

But ******* is creating a new generation of DIY users.

Iím all for Right to Repair....but Iím also mindful that there are a few million jobs tied to sectors with ruthless and precarious financial environments.

EVs will also upend the same sectors as service requirements are a fraction of ICE.
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