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RE: E39 540i/Dealer Service

Scott wrote about his memorable experience at a German dealership and noted:
 
 > Now that I'm back and have been driving a rental car for a month 
 > awaiting my 540, I'm even more convinced that I made the right 
 > decision.
 >
 >
 > Scott W. Yates, M.D. [email protected]
 > 97 540iA with H-K Stereo and CD player
 > 96 Volvo 960 (borrowed from Hertz 'till my German rocket arrives)
 
By right decision do you mean that you got the BMW instead of the Volvo, 
or that you expect to receive the same kind of service you received in Germany 
at your local BMW dealer?
 
FWIW, it's a good thing I didn't buy my 540 expecting the kind of service you 
had in Germany.  I've had nothing even close.  However, my guess is that it 
has very little to do with ...
 
 > union-member mechanics in oil-covered overalls
 
I read a newspaper article a few months back that noted the average U.S.
dealership makes less than 10% of its total profit on new-car sales.  That 
means that the dealership is trying to make a large part of its margin through 
the service department, and it's in the best (short-term) financial interest 
of the dealership _and_ the mechanics to get _something_ done that they can 
charge you for.
 
Also note that, to some extent, BMW is in a similar position to the owner.  
My perception is that there is a lot of unnecessary work performed that an 
owner would not be willing to pay for, if the warranty were not in effect.  
BMW foots the bill for this BS.  If I were paying (directly, as opposed to it 
being buried in the cost of every new car) for some of the shoddy (warranty) 
work that the dealer has performed on my car, I'd be raising all kinds of hell.
 
A few months back, Scott and I discussed the service plans that are sold and 
are so dearly beloved by most dealers.  I wonder if this nonsense is a big 
deal in other places as well.  John Firestone, are you reading?
 
 Regards,
 Jerry
 Arlington, TX (21-Jul-96, 17:34)
 '95 540i-6 spd