ADMs on allocations?
Instructor
Joined: Sep 2020
Posts: 110
Likes: 36
Let's play devil's advocate...
Many repeat P buyers still get their GT3s at MSRP from usual big dealers in CA/FL: not what one may believe if read (& believe) forums w/posts of those who can't solve the fairly simple game
Many/most buyers of new P's have compounded their stock portfolios >15%/yr over past 10+y
Many such buyers have major appreciation in their houses and/or refinanced their mortgages at historically low rates
Some have been able to recently (esp in Covid era) flee CA/NY/NJ for TX/FL and reduced their income taxes by 15ppts
And used car trade-in values are at historically high values; suspect many/most buyers of new P's routinely trade in their fleet of (often leased) cars in <2-3yrs, so TCO of driving new cars for <2y is perhaps lowest ever
ADMs are a silly one-dimensional discussion, much like alleged supply chain issues or "inflation"....many aspects to these phenomena in a complex, nonlinear world of self-interested market participants, in 1000s of varied markets, each w/own nonlinearities....
Many repeat P buyers still get their GT3s at MSRP from usual big dealers in CA/FL: not what one may believe if read (& believe) forums w/posts of those who can't solve the fairly simple game
Many/most buyers of new P's have compounded their stock portfolios >15%/yr over past 10+y
Many such buyers have major appreciation in their houses and/or refinanced their mortgages at historically low rates
Some have been able to recently (esp in Covid era) flee CA/NY/NJ for TX/FL and reduced their income taxes by 15ppts
And used car trade-in values are at historically high values; suspect many/most buyers of new P's routinely trade in their fleet of (often leased) cars in <2-3yrs, so TCO of driving new cars for <2y is perhaps lowest ever
ADMs are a silly one-dimensional discussion, much like alleged supply chain issues or "inflation"....many aspects to these phenomena in a complex, nonlinear world of self-interested market participants, in 1000s of varied markets, each w/own nonlinearities....
Instructor
Joined: Feb 2021
Posts: 127
Likes: 35
By extension, many/most older P buyers (who have been shown to be flush with cash by HPTX in his above post) will therefore have no problems paying massive markups to get their hands on 992s due to their increased fears of encroaching death brought on by covid (no one get offended by me saying it clearly please)
Dealers selling "special" cars at MSRP to their very rich buyers are actually just donating money to them in this market, gotta love charity for the .1% 🙄
Dealers selling "special" cars at MSRP to their very rich buyers are actually just donating money to them in this market, gotta love charity for the .1% 🙄
Last edited by harshalp; Oct 15, 2021 at 12:18 AM.
Drifting
Joined: Jun 2021
Posts: 2,076
Likes: 1,760
From: Westchester NY
? If manufacturers raise the prices they sell cars to dealers, but fail to raise MSRP to match it what do you guys think happens. Alternatively, if dealers don't have enough cars to sell but rely on volume sales to pay salaries and keep lights on what do you guys think happens. Just some speculation....probably other reasons I can come up with in a few minutes of thinking that can explain why every single type of new car carrying ADMs, but my point is basically that the ADMs are probably here to stay, and are just precursors to automakers raising prices themselves.
Last edited by Drew46; Oct 15, 2021 at 02:43 PM.
Instructor
Joined: Feb 2021
Posts: 127
Likes: 35
I think you misread - and I know you misrepresent - the post you are quoting. Nowhere did he suggest that the manufactures would increase the dealer price and leave the MSRP the same. That, obviously, does not happen. What he stated was that auto manufacturers generally don't change their prices due to currency fluctuations. That was a direct counter to your claim that the strength of the dollar would be a key factor in car prices. Your response is non-sensical. But I am starting to get the felling that you do this intentionally to create straw man arguments for whatever random point you want to make.
i clearly said reasons i can come up with. i did not say they are facts. i'm just an average porsche buyer
Let's play devil's advocate...
Many repeat P buyers still get their GT3s at MSRP from usual big dealers in CA/FL: not what one may believe if read (& believe) forums w/posts of those who can't solve the fairly simple game
Many/most buyers of new P's have compounded their stock portfolios >15%/yr over past 10+y
Many such buyers have major appreciation in their houses and/or refinanced their mortgages at historically low rates
Some have been able to recently (esp in Covid era) flee CA/NY/NJ for TX/FL and reduced their income taxes by 15ppts
And used car trade-in values are at historically high values; suspect many/most buyers of new P's routinely trade in their fleet of (often leased) cars in <2-3yrs, so TCO of driving new cars for <2y is perhaps lowest ever
ADMs are a silly one-dimensional discussion, much like alleged supply chain issues or "inflation"....many aspects to these phenomena in a complex, nonlinear world of self-interested market participants, in 1000s of varied markets, each w/own nonlinearities....
Many repeat P buyers still get their GT3s at MSRP from usual big dealers in CA/FL: not what one may believe if read (& believe) forums w/posts of those who can't solve the fairly simple game
Many/most buyers of new P's have compounded their stock portfolios >15%/yr over past 10+y
Many such buyers have major appreciation in their houses and/or refinanced their mortgages at historically low rates
Some have been able to recently (esp in Covid era) flee CA/NY/NJ for TX/FL and reduced their income taxes by 15ppts
And used car trade-in values are at historically high values; suspect many/most buyers of new P's routinely trade in their fleet of (often leased) cars in <2-3yrs, so TCO of driving new cars for <2y is perhaps lowest ever
ADMs are a silly one-dimensional discussion, much like alleged supply chain issues or "inflation"....many aspects to these phenomena in a complex, nonlinear world of self-interested market participants, in 1000s of varied markets, each w/own nonlinearities....
By extension, many/most older P buyers (who have been shown to be flush with cash by HPTX in his above post) will therefore have no problems paying massive markups to get their hands on 992s due to their increased fears of encroaching death brought on by covid (no one get offended by me saying it clearly please)
Dealers selling "special" cars at MSRP to their very rich buyers are actually just donating money to them in this market, gotta love charity for the .1% 🙄
Dealers selling "special" cars at MSRP to their very rich buyers are actually just donating money to them in this market, gotta love charity for the .1% 🙄
read more, post judiciously, i notice you failed to respond to this very real fact however.
dealers know their longtime customers with the most money to spend are getting close to dropping dead while flush with cash, they're just taking advantage of it like capitalism dictates. am i wrong? 99.9% chance that i'm not, as my local dealer told me, "dealers need to make money too"
Last edited by harshalp; Oct 15, 2021 at 03:19 PM.
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Joined: Sep 2005
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Drifting
Joined: Jun 2021
Posts: 2,076
Likes: 1,760
From: Westchester NY
Another complete non-response. You might want to take your own advice on reading more. There was no "real fact" for me to respond to: just you alleging to refute a point the the poster never made. Make sure you don't use up your screen time or your Mom will be mad.
Instructor
Joined: Feb 2021
Posts: 127
Likes: 35
LOL.
Meanwhile in the real world, older P car buyers are getting close to dropping dead and flush with cash as shown by another poster, ADM is actually fair market value in this economy.
Last edited by harshalp; Oct 16, 2021 at 11:46 AM.
