Dealerships acquire inventory through three primary channels:
: Franchise dealers buy new cars directly from the automaker at an "invoice price," which is typically lower than the MSRP (Sticker Price) . buy and sell car dealerships
: This is where most used cars are sourced. Dealers attend "dealer-only" auctions to bid on fleet vehicles or cars traded in at other lots that don't fit their specific inventory needs. How Dealerships Sell Cars How Dealerships Sell Cars Once acquired, cars are
Once acquired, cars are sold through different paths depending on their condition: These offers are usually based on auction data
The business of buying and selling through car dealerships is a multi-layered cycle involving trade-ins, auctions, and retail sales. Dealers essentially act as intermediaries, sourcing vehicles at wholesale prices to sell them for a profit. How Dealerships Buy Cars
: Dealers offer to buy old cars from customers purchasing new ones. These offers are usually based on auction data and local demand .
What exactly do dealerships do with trade-ins? : r/askcarsales