FCA's Own Dealerships Have Accused It Of Lying About Sales Numbers

Sales

Why you always lyin'?

Fiat Chrysler Automobiles (FCA) sure has had its run of bad luck. It’s been announced that FCA allegedly falsifiedits sales reports by essentially bribing dealerships to say they sold more carsthan they did. Of course at this time FCA is saying that the claim isunwarranted, there is no reason for it and they just want to go back to theirAbarth Fiats and drive around in circles screaming about gas mileage. Lots of allegations run a muck in this recentdevelopment as FCA has been thought to strong-arm its dealers to make monthlyquotas.

In short, through a program that FCA has implemented called the Volume Growth Program, dealerships must reach at least 90 percent (until recently it was 100 percent) of their monthly sales goals else the employees face possible termination and a stern talking-to. Therefore, dealerships fake numbers to stay employed. It makes sense. However a question it raises is, how bad are dealers doing that they need to fake numbers? Is it only FCA suffering, or is it an epidemic? Realistically, if someone wants to buy a car all they would prefer to do is order it online along with their pizza and watch the car stork drop it off on their front porch, instead of dealing with a salesperson trying to stuff warranties and cool chrome rims down their throat.

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Kevin Hyde, an assistant general counsel of the two Napleton Automotive Group dealerships in Chicago that reported the alleged misconduct, filed the suit. In the suit FCA was even accused of offering Edward Napleton, the dealerships’ principal, the sum of $20,000 to lie about the sales. FCA surely looks to be in trouble, but it's not as if they aren't used to this by now. Is the entire practice of dealerships finally on its way out like movie theaters in the early 20th century? Are they just too expensive in terms of time and money? Are they too much of a hassle? There may be something to this whole Tesla extravaganza of manufacturers selling cars directly to customers. At least FCA isn't dealing with another recall.

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