Part 6/12:
Many smaller dealers are heavily dependent on floor plan financing, and if sales don't materialize, they risk repossession, which can wipe out their access to credit and lead to closure.
The Frustration of Slow Customer Sales and Pricing Challenges
The reality of customer behavior further complicates dealer profitability. Clearing inventory quickly requires aggressive pricing and marketing, yet many dealers are reactionary rather than proactive. They tend to delay price reductions, causing vehicles to linger unsold for weeks or months.