The Fate of Unsold Cars at Dealerships

There is a question in everyone’s mind. It regards all those displayed cars at dealerships. These cars look so brand new and sparkle with class and sophistication. Yet, there must be some or many that escape the fate of being sold to prospective buyers. Indeed there are.

So the question is, what happens to them in the first place?

How is space created for the novel vehicles?

For those wishful enough to think that dealers lend these cars to others for free, such is hardly the case. In a world ruled by economics, this is not possible. The truth is much different from giving away these cars free of cost. If this were the case, they would be up for grabs.

Many car dealers won’t let you in on a little bit of insider stuff. This is that car dealerships are franchise businesses. This signifies that they buy these spanking new cars from the original makers and sell them at a substantial profit.

Indeed, these cars belong solely to the dealers till the day they get sold. To return them to the manufacturers would be a fool’s errand. The thing is to sell them to the customers’ willy nilly. But how? Ah, now that is the question.

One of the easiest ways to get their money’s worth is to export the unsold cars to foreign markets where they will sell. This is because these cars are in high demand in those foreign markets.

This is all subject to the law of supply and demand. While these same cars may be sold to the highest bidder at an auction house, this is not a lucrative deal. The auction house asks for a specific fee in return for selling the cars, and this thus causes hurdles in raking in the resultant profits for the dealership. The brand new vehicles may also be loaned to customers who bring in their cars for services, dentistry, and painting.

A final and drastic method may be to simply put a different, maybe reduced, price on these old models and sell them off before bringing in the new cars. Thus everyone knows that the best time of the year to buy a car is in the fall season since dealers are looking forward to getting rid of last year’s models. They are literally in a hurry to revamp their dealership stores with new cars. Therefore all these things ought to be taken into account when buying a new car from a dealership.

Before you buy that car, the dealer is willing to sell at a throwaway price and do some research independently. You don’t want to be on the receiving end of some hoodwinking or bamboozlement. Also, choose to visit through an appointment. It shows you have self-worth and self-respect. Don’t forget to consider the little nitty-gritty details since they are the one’s that count. Finally, road-test the car before you buy it to be on the safe side.

Australian-Made Cars: The Definitive Guide

The Australian automobile industry got off to a headstart in the previous century. Many carmakers started manufacturing vehicles on Aussie soil. Ford happened to be the first one. By the 70s, the number of cars in Australia was up to almost half a million. However, within a decade of the millennium, the car industry had shrunk to 175,000 units per year. Most of the cars were being imported from Asia and Europe. For the past five or six years, the leading manufacturers have been GM and Toyota. 

Among some of the largest manufacturers are a couple of well-known and not-so-well-known brands. While most make trucks, some also create cars. 

  • Volvo is one company that makes standard vehicles worthy of its name. 
  • The Australian Motor Industries manually crunches out a series of Mercedes cars. 
  • British Leyland is another company with an Australian branch. 
  • Then there is Chrysler
  • Ford, the original maker, closed shop sometime in 2016. 
  • The arch-Aussie brand, which was a name to be reckoned with, was Holden. However, it too wrapped up operations the previous year. 

Other brands which had their day and then went off in search of greener pastures include: 

  • Mitsubishi, 
  • Nissan, 
  • Renault, 
  • Rootes, 
  • Volkswagen and 
  • Western Star. 

There are quite some small-scale companies churning out small cars. They are too many to list here. While things are just not the same as in the heyday of Australian vehicles, there are still plenty of cars that you can buy on a shoestring budget. 

Take Holden, for example. The peak of this brand culminated in the Commodore. This Aussie brand was the talk of the town. Then there is also the Holden Acadia SUV. The Holden HSV had some pickup trucks and muscle cars worthy of putting fuel in and taking for a spin in the bush country. Moving on, there is the FPV. This was a high-performance brand of a vehicle from Ford Australia. 

The natives of Australia are thankful to Ford for the significant number of cars it brought to their land. The A9X Torana and XY GT Falcon are two examples. 

Then coming to Toyota Australia, it is simply unmatchable. The Tiaras have always been the stuff that dreams are made of. 

As far as sports vehicles are concerned, the name Elfin stands out among the rest. The earliest by far, it dates back to the 50s. The T5 Clubman was an invincible car. The 1990s saw the rise of the Iveco. Today, the PowerStar is its top-selling model. 

The only problem is that all these manufacturers and carmakers packed up their bags and left for brighter prospects a long time ago. The question to ask ourselves is, what went wrong? Was the market not conducive to brand growth and profit-making? Or was it a case of the climate being just not suitable for these vehicles? 

Brands such as GM, Ford and Holden all helped guide the Australian economy at a time of crisis in the right direction. Then why did these big businesses have to call it a day? Well, a time came when the Australian market was chock-a-block with foreign brands of vehicles. Thus local talent all just evaporated. The flashy and fancy imported models were so attractive to car lovers that the local cars didn’t stand a chance. That is what happened. Yet still, a large segment of local vehicles remains, although they are not that famous.