Dealers, Factories Split On Facilities

Despite rising new car sales, new-car franchised dealers are facing automaker pressures to modernize or expand their facilities.

Steve Wade, multi-franchise dealer in St. George, Utah, and NADA’s president in 2011-2012, is spearheading NADA’s first-ever resistance program to factory demands, which are especially costly for small-town dealers… GM chairman & CEO Dan Akerson tells Fortune magazine he wants a more customer-centric automaker and for the first time will pay dealers bonuses based on customer-satisfaction scores. Akerson fluffs off Toyota’s regaining No. 1 global ranking in first quarter of 2012, declaring “I’d rather be the most profitable in terms of margins.” Dealers starved for shipments of hot-selling Cruzes and Sonics don’t agree with their boss’s profit or production logic.