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Old 07-11-2010, 06:43 PM   #1
ohiobuckeyes
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Default Future Dealer Had a Question?????

Has anyone been apart of the Northwood MBA Program for dealership management (or the Program before) or the NADA Dealer Academy?

Just want to know which would be better for a 26 year old what you like to be dealership owner, before he's 30 years old.

I know that many of the "core" members of the form are dealership owners or high ranking management, what course of action do you think I should take to the path. I also understand this is not a Twenty Group but yet we all have some great opinions and thoughts that help each other out daily. Your input would be great appreciated and I Thank you.

Last edited by ohiobuckeyes; 07-11-2010 at 07:31 PM.
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Old 07-12-2010, 07:47 AM   #2
LJS
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It's amazing the different situations we are in. I am 29, and would give my right arm to get out. It's kind of like the mafia, being a Chrysler dealer that is. The only way out is to get wacked (in bankruptcy that is).
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Old 07-12-2010, 08:43 AM   #3
Jeff Duvall
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My 22 year old son has just graduated from Northwoods 4 year program, he feels that their program was designed for someone who knew little about the business. It was more introductory than educational, but my nephew attended NADA and it is more for an expierenced dealer prospect. I am not familiar with Northwoods MBA program

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Old 07-12-2010, 11:23 AM   #4
SHACOS
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Quote:
Originally Posted by LJS View Post
It's amazing the different situations we are in. I am 29, and would give my right arm to get out. It's kind of like the mafia, being a Chrysler dealer that is. The only way out is to get wacked (in bankruptcy that is).
I'm 27 and I'd love to get back into the business. Just not with a Chrysler dealer.
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Old 07-12-2010, 03:28 PM   #5
XDCX
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Quote:
Originally Posted by ohiobuckeyes View Post
Just want to know which would be better for a 26 year old what you like to be dealership owner, before he's 30 years old.
Congratulations - that's a great goal and one I'm sure you can attain.

In response to your question, I don't have any knowledge of the Northwood program but I do know a GM who completed the NADA Dealer School.

The GM who completed the NADA program felt the program was too "book oriented" and didn't relate to the real world. In his case he was coming from a Fixed Operations background and his dealer wanted him to become the GM. He felt the NADA training was almost worthless as it related to what he needed to know to manage the sales department. Essentially, he was book smart but didn't know how to desk a deal, order a car or process a credit application.

In your situation, is your dream to buy the family store or go out on your own? If it's the former, I would strongly recommend that you spend at least a year working for another dealer with another franchise. I know a dealer who used this approach with his son and it paid huge dividends for both the father and the son.

Good luck with your goal and I hope others will chime in with their thoughts.
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Old 07-12-2010, 04:10 PM   #6
possum
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It's a great ambition, and one that I longed for all my life. But, I was in an easier time, and place than young people are today. "Back in the day", it was a wonderful, and very proud thing to be a Car Dealer. I'm probably just too beat down, but the Mfgs are so different, and the ageements so tainted, I just don't think I could persue a Dealership in these times. I honestly think the business has changed forever. Small stores don't really have a future, and the big ones,........well the cost is just silly.

Back to your question, I think X is right on. Experience is the best way to proceed. There are no books, or schools that can prepare you for what is coming.

Just my opinion, and lately it doesn't seem to mean much.
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Old 07-13-2010, 11:19 AM   #7
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Originally Posted by LJS View Post
It's amazing the different situations we are in. I am 29, and would give my right arm to get out. It's kind of like the mafia, being a Chrysler dealer that is. The only way out is to get wacked (in bankruptcy that is).
It probably would be difficult to sell a Chrysler store right now. The public auto groups have all indicated they're on the sidelines as it relates to Chrysler and there are a couple of listings in classified section of Automotive News where the dealer is willing to sell his store for less than the amount it cost to build the facility. (This is mostly a reflection of the depressed commercial real estate market.)

In the old days, just having a Pentastar on the building used to be worth a $1 Million in Blue Sky.

The other issue is even if you find someone who wants to buy a dealership I'm betting that most banks don't have any willingness to extend a capital loan to facilitate the buy/sell.
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Old 07-13-2010, 11:35 AM   #8
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Just my opinion, and lately it doesn't seem to mean much.
Well, your opinion still means a lot around here.

Sadly, I share your opinion that the good old days will never return. I occasionally find myself reflecting back on the Chrysler of 1994 - 1998 and wonder how the hell things got so screwed up. I still think it's a worthy goal for a person to want to own a dealership, but I think if you look at it objectively there are other businesses that would generate a higher rate of return with less risk.

That said, I recently re-read a story Automotive News did on two partners who were operating a high volume used car dealership that focused on sales via the Internet. It appeared they were having a great time and making good money without all the hassles associated with having a new car franchise.
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Old 07-21-2010, 02:39 PM   #9
ohiobuckeyes
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Originally Posted by XDCX View Post
In your situation, is your dream to buy the family store or go out on your own? If it's the former, I would strongly recommend that you spend at least a year working for another dealer with another franchise. I know a dealer who used this approach with his son and it paid huge dividends for both the father and the son.

Good luck with your goal and I hope others will chime in with their thoughts.
Thanks for everyones input, very helpful....

Xman no Family store here both my parents are school teachers. The current compay I work for the dealer is in his 67 and my GM introduced me to the Chrysler Dealer Placement manager as the haire a parent to the company. So what is why I wanted to ask the question. But I think we all are right about leaving the store to move to a bigger location to understand.
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Old 07-21-2010, 03:06 PM   #10
LJS
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I don't know if you have been drinking or something, but I couldn't understand much of anything about your last post?
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Old 07-21-2010, 04:10 PM   #11
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Originally Posted by ohiobuckeyes View Post
Thanks for everyones input, very helpful....

Xman no Family store here both my parents are school teachers.
Cool. For some reason I thought you were working at a store owned by your family.
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Old 07-21-2010, 04:17 PM   #12
ohiobuckeyes
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Originally Posted by LJS View Post
I don't know if you have been drinking or something, but I couldn't understand much of anything about your last post?
Since 2007 when I started to work at my current dealership, my general manager knows about how I would like to become a dealer owner. So when Chrysler was in to present us a 25 Year Award, she intro me to the Placement Manager as the air-a-parent to the company. The dealer is absent owner and is getting up in age (67) so she has in her mind the when the dealer is ready to retire that I would purchase the company.

I just wanted to know what would be the a fast way to learn about the automotive business, but it seems the best bet would be working at a volume store to understand most of what happens.

I hope you understand.
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Old 07-21-2010, 04:25 PM   #13
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Originally Posted by ohiobuckeyes View Post
I hope you understand.
There were a few typos in the post LJS was referring to. I assumed you were responding from an iPhone and it was an auto-correction error.

Additionally, if you use the term "heir apparent" it will eliminate some confusion.
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Old 07-22-2010, 06:50 AM   #14
LJS
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I never thought about these I phones, I guess that is what it was. I was not trying to poke any fun, I was just not following what he was saying. I understand now.

Personally , I would think really long and hard before I tried to dive head first into ownership of a new car store.
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Old 07-22-2010, 08:43 AM   #15
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get your owner to spend the money and immmediately get you in a 20 group. i felt it was the quickest way to get up to speed on the big picture. you cant hide your weaknesses from the composite, and the input from fellow members is irreplaceable. just hope youve got something other than chrysler.
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