If I read the article correctly the MOCO is offering an incentive (Money) for a dealership to close. They would rather a dealer close up shop and lay people off than have them sell the dealership to someone who would keep it open and people employed? There must be a logical (from the MOCOs') explanation but it escapes me!!!
Don, JMO but I bet we will see more smaller dealers closing soon, they can not out perform the bigger franchises like Daytona, Adamecs 3 locations here in Jacksonville, TCHD in Minnesota and Zylstra HD
Jack you are probably right and I guess it makes sense on a financial statement. But making someone drive to another city to get parts and service would seem to be the way to get people to buy another brand of motorcycle. I know people that would like to have a BMW but won't buy one because there are so few dealers and service centers.
Since Harley dealers are privatley owned and not franchised what does it cost the MOCO to keep them open? I must be missing something. The only thing I can come up with is that the larger dealers have put pressure on the MOCO so that they can gain the smaller dealers business. Hopefully some of the employees from St. Augustine will be hired by the larger dealers.
It's the sign of the times and the headquarters are going to 'prune' the tree a bit more. The hidden things not mentioned in the article about the dealer closure are the sales figures for new motorcycle sales, under-producing dealerships will be trimmed. On another forum two Honda dealers and possibly a Harley dealership owned by the Honda dealership may close.
I dislike seeing people loose their jobs and businesses, it will continue until things get better.
On a good note Gulf Coast Harley Davidson in New Port Richey has started on a dealership in Panama City, FL