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Ferrari Fires it's Dealers in Europe.....Is the U.S. Next?

Discussion in 'Florida' started by Fiorano1, Aug 12, 2008.

  1. Fiorano1

    Fiorano1 Formula Junior

    Dec 7, 2004
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    Haywood Jabloemi
    #1 Fiorano1, Aug 12, 2008
    August 12, 2008 09:55 CET


    MUNICH -- Ferrari has canceled the contracts of its European dealers effective June 30, 2010, to restructure into a smaller network of so-called A- and B-class outlets.

    Josef Smoly, general manager of Ferrari Austria, confirmed that the brand's two authorized dealers in Austria have been canceled but said he was certain they would be renewed.

    The brand's German dealers are being hit especially hard, he said.

    The contracts of six German dealers won't be renewed, Smoly said, which would cut the current network by about one-third. The network now has 19 authorized dealers with 21 facilities and three additional service operations.

    One German dealer said he assumes the current network will be cut in half. "Most of the dealers in this country still don't know whether they will get a contract back," said the dealer, whose contract has been cancelled.

    Ferrari justified the cancellations by saying it wanted to improve the information flow between the company and dealers.

    "Those reasons are pretexts, and are very theoretical," the dealer said.
     

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  2. jk0001

    jk0001 F1 Veteran

    Oct 18, 2005
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    Jim
    #2 jk0001, Aug 12, 2008
    Maybe they are cracking down on those Stealerships that add a 100,000$ markup to new models. Its about time. I'm tired of seeing Ferraris on ebay with 800 miles for sale with a $100,000 markup.
     
  3. ILuv4Res

    ILuv4Res F1 Veteran
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    #3 ILuv4Res, Aug 12, 2008
    Ferrari appears to really be flexing it's muscle with the stories I have heard lately - rumors or not??

    1) Dealers being fired.
    2) Eliminataing/taking control of the Ferrari Clubs in Europe, and considering the same for US.
    3) Persuing legal actions against independent businesses that 'infringe'.
    4) Threatening to shut down places like "Ferrari Chat" that capitalize on the brand.
    5) Taking more control of the brand marketing and Ferrari items (shirts, hats, etc, etc, etc...)

    All, at the same time they ramp up production, and open a theme park in Dubai.
     
  4. Fiorano1

    Fiorano1 Formula Junior

    Dec 7, 2004
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    Coral Springs, FL
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    Haywood Jabloemi
    #4 Fiorano1, Aug 12, 2008
    Well you have to admit that its probably one of the most widely known and valuable brands in the world so doing a little housekeeping probably isn't a bad thing especially in the condition the world economy is in.

    These moves could be tied with an eventual sale of some kind but I'm sure that its already been speculated and put through the rumor mill.
     
  5. Cavallino Motors

    Cavallino Motors F1 World Champ
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    Martin W.
    #5 Cavallino Motors, Aug 12, 2008
    That will not end but rather increase by having the network shrink.
    The amount of cars does not change and unless the demand decreases you will always see $100,000 markups.
     

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  6. Cavallino Motors

    Cavallino Motors F1 World Champ
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    Martin W.
    #6 Cavallino Motors, Aug 12, 2008
    Car manufacturers in general are getting more agressive. Mercedes Benz just lost a major case in Florida. It was sued by Auto Nation and their MB franchises for fines imposed for cars that were sold and were exportedwithout dealer knowledge. Fines from MB against their dealers varied from $3500 for GS and $7000 for S class models.

    When the time comes the big dealers or those with deep pockets will stop manufacturers on breaking the laws. Ferrari or any other brand for that matter.

    It is one thing to protect the brand name and its image and another to be over agressive and to break the laws. I am sure they will be tested.
     

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