
Keith Smith - Looking At Unique Ideas
The Business Brew
Profitability and Valuation of Dealerships in Automotive and Equipment Industries
This chapter explores the profitability and valuation of dealerships in the automotive and equipment industries compared to OEMs. It discusses the recurring revenue generated by dealers and service businesses, the challenges faced by OEMs, and the difference in economics between the two. The chapter also touches upon the unfair valuation of some businesses in the heavy equipment industry and highlights market dynamics and investment opportunities.
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