Saturday, October 06, 2007

Are Canadians paying higher prices for vehicles than Americans?

I was reading an article in the Globe and Mail Vehicle sales hit skids in September and was astonished by comments made Dennis DesRosiers an automotive consultant. He said "There's a common perception [among consumers] that the vehicle companies are ripping them off, pure and simple. They're not"

Can you believe the nerve of this guy? It's not a perception, its a fact and its been a fact for years. Mr. DesRosiers offers no back up for his statement. He actually supports the fact that they are ripping off consumers by saying "manufactures are returning some of their dollar windfall to Canadians in the form of higher rebates and subsidized leases and other incentives. Mr. DesRosiers is an automotive analyst and is paid by guess who? The automotive companies. He will never say anything negative about the automotive companies.

A number of automotive analysts say that Canadians are willing to pay the higher pricing. The true fact is that Canadians who try to buy cars from the US are blocked every step of the way. Most dealers in the US won't sell a Canadian a car because this would create channel conflict meaning the Canadian dealers will complain to the manufacture that the US dealer is stealing business away. This is now the subject of a class action law suite in Toronto.

Funny how auto manufactures are beginning to lower the prices now in light of the law suite. Send a strong message to the auto industry. Resist buying now and the prices will equalize. If you need to buy, find a dealer in the US who will ship you a car.

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