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Are Recalled Vehicles Being Sold to Increase Dealership Valuation?


Are recalled vehicles being sold in an attempt to increase dealership valuation? A recent article by NBC News has people wondering if this may be the case. The article, titled FTC Sued for Allowing Car Dealers to Sell Recalled Vehicles with Potentially Lethal Defects, asked the question, “Why are dealers still selling cars with unrepaired—and potentially fatal—safety recalls?” It then explained how “the Federal Trade Commission is supposed to crack down on false and misleading advertising, but instead they are encouraging it.”

Can Selling Recalled Vehicles Increase Dealership Valuation?

The reason for the FTC’s failure to crack down on false advertising is unknown. So are the reasons why auto dealers dealership valuationsell recalled vehicles despite the fact that many of these automobiles are unsafe to drive. There are probably several reasons dealerships sell recalled vehicles. One may be that auto dealers are desperate to increase the valuation of their auto dealership. Can selling recalled vehicles actually accomplish this? Perhaps for a while. Since increased sales can lead to an  increased in the value of the dealership, selling any type of vehicle, recalled or not, may add to this likelihood. However, once customers begin returning those recalled vehicles or taking legal action against the dealerships that sold them faulty automobiles, dealership valuation can quickly take a nosedive.  

How an Automotive Dealership Expert Increases Dealership Valuation

It’s time for auto dealers to wake up and discover that selling recalled automobiles may temporarily increase dealership valuation, but over time it can decrease it. Thankfully, an automotive dealership expert offers hope to low-value dealerships. How? By…

Giving business owners professional advice about how to increase dealership valuation safely.

Pinpointing and mitigating issues that depress valuation.

Helping auto dealers sort through legal problems. (That’s why it is important to choose an automotive dealership expert with extensive experience with litigation.)

Automotive Dealership Expert Bryan Parker Offers Dealership Valuation Services

Looking for an automotive dealership expert who has experience helping business owners increase dealership valuation? Then look no further than Bryan Parker. Automotive dealership expert Bryan Parker can help business owners increase the value of their dealerships by advising them to take specific valuation-increasing actions. Contact automotive dealership expert Bryan Parker today for more information about his dealership valuation services.