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Old 07-29-2007, 06:28 PM   #10
humara
Registered User
 
Join Date: Feb 2006
Location: los angeles
Posts: 256
carmax. a great business model

Carmax, they are so friendly and appear to maintain an ikea like warehouse store instead of a shady car dealer. no pressure, no haggling, no heavy handed tactics. What you should realize when buying from carmax though.
1. their no haggle pricing is great only for them. it's the highest of the high price you'd pay for a car in that condition. they make it seem nice and friendly, that you're getting a great price so there is no reason to haggle. actually you are paying the highest price possible.
2. their 125 point inspection takes about 10 minutes for one of their mechanics to do. i don't know about you, but I know I couldn't check a used car out that quickly.
3. financing. same thing. no haggling, no shopping around, you just get the quickest easiest most expensive financing they have.
4. warranties, as far as i could tell, are serviced by them and them only. would you really want your porsche worked on at a carmax? there aren't even really that many carmax locations to go to either.
5. selling a car to carmax. they offer you well below even kbb trade-in value. obviously they have to make a profit, but that is just too much of a price to pay for friendly service and convenience.


so basically, the carmax business model is great for them, because they make as much profit as slimy used car salespeople, but in a happy friendly environment. they take your lunch without you even knowing it.

so ummm, no. i wouldn't buy from carmax. better deals to be had. and better to inspect your potential purchase yourself or by someone you trust. carmax works on moving lots of cars.
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