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Old 4th February 2010, 18:28   #1
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Default Dealership monopoly

I wonder if granting dealership to one dealer for one or more states is unfair to the cosnusmer. For example, Krishna Auto is the sole dealer for Chandigarh, Amritsar, Jalandhar and Ludhiana. A consumer in this area has no bargaining power at all when it comes to buying a Skoda vehicle. I think this is an unfair practice. Any views?
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Old 4th February 2010, 19:02   #2
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I think you are right, I guess it is similar with Skoda dealers in the Southern and Eastern parts of India as well (Mahavir Auto).

I do believe that Skoda is a lost cause though, they have not shown any kind of customer orientation and having dealer "monopolies" are again a sign of Skoda taking the customer on a ride, albeit a really uncomfortable one.
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Old 4th February 2010, 19:18   #3
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Angry Very True in the case of Skoda !!!

Guess what , we thought of starting a dealership in our area down south which covers trivandrum, Tirunelvellil and Madurai but Skdoa turned us down. Right now there is only 1 dealer who is Marikar and everyone knows how they rip off people. Skoda is the least bit interested about customer's plight i think. All they want is sales to pick up without answering customers woes.
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Old 4th February 2010, 19:48   #4
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skoda.! wow.! yes these guys have very less showrooms in each city. i see there is TAFE access near hosur road bangalore before dakshin Honda. Are they new dealers or same dealer moved from st marks road to hosur road.
If they want to get things right, increase the dealership so that consumers have option. be sincere and dont pass lemons. and another thing to remember customer is king.

Only building good product is not a solution. need to support it after sales for yrs to gain confidence.

Last edited by Endofdayz : 4th February 2010 at 19:52.
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Old 4th February 2010, 19:56   #5
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the same logic applies to a sole dealer in a city;no bargaining power

Skoda is synonymous with high maintenance costs,so who'll want to take up the dealership unless the intent is to rip off?
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Old 4th February 2010, 22:40   #6
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That's how it is across brands and not specific to Skoda alone. Most dealers are locally strong business houses and they want to have their hands in all pies. Case in point is Sundaram Motors and Khivraj down south.

In fact there was a time when Sundaram was the only dealer for Fiat cars in entire Tamilnadu. You just had no other option to go to.
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Old 8th February 2010, 19:14   #7
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Also, in most of the places the dealerships goes to influential/political people. If an entrepreneur tries to start any dealerships these inglorious folks will always try to erect any barrier in one way or another !
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