It's OK Hitech, no offense taken. But it's humorous to see the time and toil you took to write out your superfluous post. Is that you Davidyan? I didn't know vindication and having thin skin is the way you demonstrated not being able to handle another's disagreement. You think extraneous fluff is validating?
Anyhows, I don't use "hearsay" to explain my points. I was in the car biz from '99-'02. You never mentioned whether you had direct experience, or if you read a lot of "how to negotiate a new car" tactic from outside sources. 1% per month to floor could've been likely during that era. The economy wasn't in shambles like today, and interest rates (controlled by the Feds) were probably a lot higher. Thus 12% a year then was probable.
The $400K/month figure was casually given to me by my friend. It doesn't imply that it is a detailed figure EVERY MONTH, it was ballpark instead. Seriously, are you the auditor for this dealer? Then how do you know. How many VW's, Hyundai's or Lincolns did we move. The profit margins on all 3 brands vary. FYI, we moved primarily VW Jettas and Passats; Jettas had less then $1,500 profit typically, and Passats had around $1,700 on average. And you know what? We blew every unit out at invoice because VW's don't pull like crazy. This store was good, they paid the salesman $200 flats because if it was 20% after $500 pack, then they couldn't retain sales people.
Like I said, there's nothing wrong with negotiating a deal. But trying to take all the meat off the bone is going to lead to dealer kicking you out. We live in a capitalistic society, if you don't like the deal, then you got the freedom to walk out, you're not under duress.
BTW, I don't tip waiters nor waitresses who cop an attitude. I literally pay the bill and don't leave no change.
