The Economic Effect of a Car Dealership

Looking at a car dealership such as Newark Chrysler, Jeep, & Dodge, many people only see it as a place to possibly purchase a new or used car.  Yet, looking further behind the curtain of this dealership provides a much more human element that I do not think we really look at.  There are many different components of a successful dealership that keep it running.  To make this happen, it takes people to operate the business in the form of jobs.  Economically, a dealership is a great boost to a community as it provides a very necessary product and a variety of positions to those residents.

The most common position thought of inside of the dealership is the sales person.  This is often the front line that most people see when they come in to purchase a vehicle.  Typically, there are anywhere between five to ten sales people.  To make that person successful though, there is a team of individuals behind him or her making everything work.

For those who are good with money, the financing department works with you and the banks to find the best fit to fund your vehicle purchase.  These people are responsible for convincing the banks to lend you the money while providing you a realistic expectation of what the banks will need from you.   Depending upon the size of the dealership there is typically two or more individuals devoted just to this practice.

Porters are individuals who are responsible for moving vehicles and keeping them clean while they are on the lot.  Quite often, they also provide transportation for customers while their vehicles are being serviced. This brings us to the trusted service department.  For smaller dealerships one or two porters may be sufficient.  Larger dealers could have as many as ten.

Auto mechanics are employed to service warranty and non-warranty repairs for the customer.  These certified and well trained employees that provide customers guaranteed work and customer service for standard maintenance and repairs.  Driving these mechanics is the parts department.  These individuals ensure that there are sufficient parts on hand so that the customer does not have any delay, or as little as possible during the repair process.  Typically, a full service department including parts can host a minimum of six employees.

It is easy to see how even a smaller dealership can have a large effect on a local economy.  At a minimum, twenty jobs are extended to different individuals in an area.  This allows them to make purchases in the area that provides more revenue for other businesses.  As a result, it trickles a larger economic benefit including bringing in customers from surrounding areas that may stop at other businesses while stopping locally.


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