Since it'd be impossible to sell every last car made in a year, what do they do with the unsold cars?

Question

Ok I figure auto makers can't realistically sell every last model car made in a given year so what do they do with the unsold ones? Do they stick it to the dealerships and leave them to obscenely discount them until they sell and let them take the loss or do they do something smarter and return them to the factory to be resold as the next years' model, provided they didn't redesign that model for the coming year? Anyone that works in the auto industry, I have always wondered how they take care of this situation.

So the auto makers stick it to the dealerships with the problem then?

Answer 1

When it gets close to model change, the manufacturer will only make as many as the orders for them are. The dealers put in for the models they want and the dealer has the problem of selling the remaining cars that are left. They do that by discounting them until they are gone.

Answer 2

There's an old saying in retail, "there's a butt for every seat". Every car eventually sells to someone. Sometimes it is on price, sometimes dealers drive them a bit and make them demos, etc. Also, the factory usually keeps adding incentives on prior year models until at least March, longer if there's really a big supply. In the end they are all gone!

Answer 3

They all sell eventually. Sometimes the last one or two left in a lot are colours that didn't sell, or very basic models. One dealership just sold it's last 2005 model, an odd colour, for about $7,000 off, which was a really good buy.

Answer 4

Other purchasers who've patrons purchase them. If the trader is relatively tough up they take it to a trader public sale wherein they are going to deliver colossal cash. Nobody goes to promote you a yr historic auto for 25% off bill.

Answer 5

If you pay attention to the advertising, every dealer does the discount advertising thing to get people in there. Somebody will always buy the cars, sooner or later.

Answer 6

there's never really any problems with getting rid of them,a lot of them are auctioned off,and some are donated to Charity's,some are also given as promotion gifts too, for shows and certain events,some are also traded to other dealers for a car or truck another customer might be looking for,when all this is said and done,there really aren't any left around to deal with ,each year gm donates over a one thousand new cars to schools for drivers ed courses also,good luck hope this helps.

Answer 7

rentals
leasing
fleet
government deals
company cars

Answer 8

they urinate highly flammable piss on themm and take them to the sun where they are vaporized.