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RE: New ST Options



At 01:53 PM 09/21/1999 -0700, Retherford, Martin wrote:

 >	They make there money in parts and service.  I was looking to buy a

I would agree with you on parts only (see below for service) - that's why 
parts managers in Harley dealerships are typically the highest paid in the 
industry (ever see what the average Harley owner spends on accessories?) . 
The point that I was trying to make (and didn't) was that if the dealer 
cuts their bike price and sell at little or no margin and the customer then 
goes mail order (or internet) for parts and accessories, there is no way 
for the dealer to recoup his profits. Bottom line is that it is a business 
and if you want them to stay in business, you should support them within 
reason.

 >	The 60 dollars an hour for repairs and service.  Service industry
 >world wide makes a killing.  Why shouldn't the dealers?

Sounds good if you say it fast..... but in the real world of motorcycle 
repair this is not always the case. First, pay the employees a reasonable 
rate. Then pay the service manager on top of that. Add in the cost of rent 
and utilities and the differential on warranty work (what it costs the 
dealer to do warranty work vs what he actually gets back from the company). 
Then factor in the seasonal nature that most dealers face (or how much work 
is that tech doing in the middle of December ?) and I think you'll find 
that the highly profitable service industry averages don't apply anymore.

I don't want to give the impression that they are going to the poor house, 
because most are not. But they are not getting rich either....

- - Eric


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