Team-BHP - View Single Post - How much profit do they make on each new car sold?

scooby05 · 22nd November 2005, 14:06

all cost accountants and chartered accountants--!!!
the truth is---
take a Rs. 10 lac on road car, and the breakup works out---broadly--
6.00 lacs the company gets.
2.00 lacs are the excise/st/vat/other levies
2.00 lacs dealer margins/registration/octroi/publicity/transportation/insurance
------
10.00 lacs COMPLETE.
now out of this 6.00 that the company gets, companies like maruti/tata/hyundai make 50000 or 7/8%. give or take 15/20% of this. while the not so successful sometimes put in upto 50000 from their pockets!!
dealer margins vary and are not constant, from 1.5% to 5%.
exact figures only an analyist can frame.

22nd November 2005, 14:06	#3 (permalink)
scooby05 BHPian Join Date: Jul 2005 Location: mumbai Posts: 576	all cost accountants and chartered accountants--!!! the truth is--- take a Rs. 10 lac on road car, and the breakup works out---broadly-- 6.00 lacs the company gets. 2.00 lacs are the excise/st/vat/other levies 2.00 lacs dealer margins/registration/octroi/publicity/transportation/insurance ------ 10.00 lacs COMPLETE. now out of this 6.00 that the company gets, companies like maruti/tata/hyundai make 50000 or 7/8%. give or take 15/20% of this. while the not so successful sometimes put in upto 50000 from their pockets!! dealer margins vary and are not constant, from 1.5% to 5%. exact figures only an analyist can frame.