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Automobile Dealers

Published May 26, 2025
SKU # FRRS20044848

Description

Brief Excerpt from Industry Overview Chapter:

Companies in this industry engage in retail sales of new and used passenger cars, light trucks, SUVs, and passengers and cargo vans. Major companies include AutoNation, CarMax, Group 1 Automotive, Penske Automotive Group, and Sonic Automotive (all based in the US), as well as Inchcape plc (UK), Jardine Cycle & Carriage (Singapore), Pang Da Automobile Trade (China), and Porsche Holding Salzburg (Austria).

COMPETITIVE LANDSCAPE

Consumer spending and interest rates drive demand for cars. The profitability of individual companies depends on the volume and mix of cars and services sold. Large companies can offer a wider selection of cars and have advantages in marketing, purchasing, and finance. Small companies can compete effectively by offering superior customer service or service a local market. The US industry is highly fragmented: the 50 largest firms generate about 20% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Sales of automobiles and light-duty trucks account for about 80% of revenue, while parts and supplies account for about 5%. In addition to cars, dealerships commonly offer parts and accessories, maintenance and repair services, financing plans, extended warranties, and insurance.

Table of Contents

Industry Overview
Quarterly Industry Update
Business Challenges
Business Trends
Industry Opportunities
Call Preparation Questions
Financial Information
Industry Forecast
Web Links and Acronyms

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