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Industry: Email Alert RSS FeedChrysler's German dealers rebel; New margin system causes an uproar.(News)
Automotive News Europe, January, 2006 by Dralle, Jens; John, Bettina
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Byline: Bettina John, Jens Dralle Automobilwoche
Chrysler dealers in Germany are rebelling against new contracts.
Chrysler's German sales fell 14 percent to 16,749 units in 2005. To reverse the decline, the US-based division of DaimlerChrysler is reducing prices and extending warranties. It hopes this will help revive struggling German operations.
Chrysler also is introducing new German contracts that reduce dealer profit margins. At least one quarter of Chrysler's 140 German dealers won't sign the contracts.
The action could hurt Chrysler's relaunch of its Dodge brand ...
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