Mercedes Benz Brand Abused by the Dealers - Mercedes-Benz Forum

 
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post #1 of 8 (permalink) Old 07-22-2014, 08:32 AM Thread Starter
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Thumbs down Mercedes Benz Brand Abused by the Dealers

Hello,

As many of you im also a Mercedes lover, once you are in you don't want to change.. i guess many are in the same situation.

Well, this last year i was moved by my company to China (Guangdong Provice, Shenzhen). Here i wanted to buy my new Mercedes Benz.. here is my story:


I wanted to buy the CLA45 AMG, the base price is 598.000CNY. At this point all seems good, i went to the official web and look for some dealers in the area.
Finally i went to the Dealer, the biggest and giant Dealer in the area.. thousand square meters of showroom, official dealer, etc.. The surprise i found at the time to order the vehicle is.. "We won't sell it to you if you don't pay to the dealer an overcharge of 100.000CNY (Around 17.000$ USD).. I asked what is the concept for such charge.. and the answer was: "no concept, if you want this car you must pay this surcharge".. such charge is NOT NEGOTIABLE.. it was funny because the dealer told me "You can ask other dealers to see if they can give you lower charge".. the reality is that he is the only AMG dealer in 500km.. so any other dealer who requires an AMG will go through him.
Besides this.. and after see that the options for me are only "get clearly scammed" or "buy other car"... As you.. i also have Dignity, Principles and Education.. i will not pass through a so EVIDENT fraud by the dealer in knowledge.. so i decided to try other car and other dealer..
Today i went to other dealer, looking for the CLA260. Arrived to the dealer, another giant place, the car is in the showroom.. with the price stated as 378.000CNY in front of the car. Arrived this point i asked the employee to tell me the price, she told me 420.000CNY including Taxes, Insurance, Road Permit, etc.. What a surprise.. when i told her that i wanted to buy the car in this moment, pay full inmediately and take the car back.. she pass me to another employee of Mercedes and she took me to a more "private" room. When she got me there.. she stated some kind of same situation... "If you want this car, it is an overcharge of 40.000CNY (Around 8000$USD)" .. non negotiable. Damn! Again, same scam ?¿?..
Arrived this point i started to ask the employee.. she feel very embarrassed because seems to be in knowledge that such practice is not allowed, is not fair and its a way to deceive and scam the customers who believe on Mercedes Benz. In fact, the employee told me that this is a common practice in the city.. some people reported it in the past and nothing happened.. I cannot believe Mercedes Benz is in knowledge of such fraud using his brand. I understand a MSRP can be changed, but 25% ¿?¿? Here in China the car is already expensive, the Government have already his big piece of the cake.. now we also need to count the unfair stealers that Mercedes unfortunately accepted into their concessions ?... how someone with common sense will agree to pay such overcharge??

I love Mercedes, but i do value more my Integrity and Principles.

My question is.. ¿How is possible Mercedes Benz allow a bunch of Chinese rats to use his brand in a so big economic region to rip-off, scam and deceive the buyers who believe on the brand?
¿How Mercedes does not have any kind of supervision or control over this?

And finally.. the main question ¿Will you buy a Mercedes in knowledge that the Dealer is scamming you? I won't buy it... and you ?

Be free to answer.. hope Mercedes does something.
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post #2 of 8 (permalink) Old 07-22-2014, 10:46 AM
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You sound like American and US is one of few countries in the World, where price gouging is perfectly legal.
So what is your complain? Have never seen mark-ups on "hot" cars sold in US?
Than for $17000 I would drive much farther than 500 km.
We do have one of forum moderators working in China as MB mechanic. He might give you inside advise.

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post #3 of 8 (permalink) Old 07-22-2014, 04:26 PM
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Originally Posted by FumetaMaC View Post
Hello,

As many of you im also a Mercedes lover, once you are in you don't want to change.. i guess many are in the same situation.

Well, this last year i was moved by my company to China (Guangdong Provice, Shenzhen). Here i wanted to buy my new Mercedes Benz.. here is my story:


I wanted to buy the CLA45 AMG, the base price is 598.000CNY. At this point all seems good, i went to the official web and look for some dealers in the area.
Finally i went to the Dealer, the biggest and giant Dealer in the area.. thousand square meters of showroom, official dealer, etc.. The surprise i found at the time to order the vehicle is.. "We won't sell it to you if you don't pay to the dealer an overcharge of 100.000CNY (Around 17.000$ USD).. I asked what is the concept for such charge.. and the answer was: "no concept, if you want this car you must pay this surcharge".. such charge is NOT NEGOTIABLE.. it was funny because the dealer told me "You can ask other dealers to see if they can give you lower charge".. the reality is that he is the only AMG dealer in 500km.. so any other dealer who requires an AMG will go through him.
Besides this.. and after see that the options for me are only "get clearly scammed" or "buy other car"... As you.. i also have Dignity, Principles and Education.. i will not pass through a so EVIDENT fraud by the dealer in knowledge.. so i decided to try other car and other dealer..
Today i went to other dealer, looking for the CLA260. Arrived to the dealer, another giant place, the car is in the showroom.. with the price stated as 378.000CNY in front of the car. Arrived this point i asked the employee to tell me the price, she told me 420.000CNY including Taxes, Insurance, Road Permit, etc.. What a surprise.. when i told her that i wanted to buy the car in this moment, pay full inmediately and take the car back.. she pass me to another employee of Mercedes and she took me to a more "private" room. When she got me there.. she stated some kind of same situation... "If you want this car, it is an overcharge of 40.000CNY (Around 8000$USD)" .. non negotiable. Damn! Again, same scam ?¿?..
Arrived this point i started to ask the employee.. she feel very embarrassed because seems to be in knowledge that such practice is not allowed, is not fair and its a way to deceive and scam the customers who believe on Mercedes Benz. In fact, the employee told me that this is a common practice in the city.. some people reported it in the past and nothing happened.. I cannot believe Mercedes Benz is in knowledge of such fraud using his brand. I understand a MSRP can be changed, but 25% ¿?¿? Here in China the car is already expensive, the Government have already his big piece of the cake.. now we also need to count the unfair stealers that Mercedes unfortunately accepted into their concessions ?... how someone with common sense will agree to pay such overcharge??

I love Mercedes, but i do value more my Integrity and Principles.

My question is.. ¿How is possible Mercedes Benz allow a bunch of Chinese rats to use his brand in a so big economic region to rip-off, scam and deceive the buyers who believe on the brand?
¿How Mercedes does not have any kind of supervision or control over this?

And finally.. the main question ¿Will you buy a Mercedes in knowledge that the Dealer is scamming you? I won't buy it... and you ?

Be free to answer.. hope Mercedes does something.
A scam would be if they charged you all that money and sold you a Great Wall SUV of some sort instead of an MB. What they're doing is called responding to supply and demand.

Felicita e un bicchiere di vino con un panino.
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post #4 of 8 (permalink) Old 07-22-2014, 04:57 PM
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If I were you, I'd get the train to HK and see what sort of deals can be had there. The 2nd dealer is only overcharging 9.5%, which doesn't seem too bad. Chicken feed compared to the licence plate fee.
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post #5 of 8 (permalink) Old 07-22-2014, 07:28 PM Thread Starter
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Thumbs down

Hello,

Kajtek1:
I've seen increases of prices based on new models, never a 30% and 6 months wait. For 17.000$ USD increase on 60.000$ Car.. is very very unreasonable, non negotiable ? This is not an increase, this is a ripoff.

flyboyike:
Thats fun.. im sure they also do this kind of things. Do you think the Mercedes made in China is same as the Mercedes made in USA or Germany ? ... No, Is not. Price ? Even Higher.

DrX:
In shenzhen there is no Plate fee. There is no such limitation like Shanghai or Beijing.
The issue is that the government already lowered the tax rate in 2014.. but no dealer has reduced his price.. new model goes with an absurd overcharge..
This CLA260 is already 65.000$.. + 7000$ Overcharge.. Finally you get a CLA260 for around 80.000$ after taxes ¿?
I think its very unreasonable.. BMW is not overcharging for the BMW4/X4.. Porsche is not overcharging for a Panamera.. i mean.. this is not a common practice for all the brands in the country but something very specific by MB in Shenzhen.. a market monopolised by one dealer..

In Europe, state a Price and when you want buy it.. they come with a completely different price.. is something not allowed. That would incur in fraud advertising and decoy sales practices.

This does not happens with BMW, Audi, VW, Porsche & Lexus.. as far as i verified.

Some advise would be great.
Thanks guys!
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post #6 of 8 (permalink) Old 07-22-2014, 09:15 PM
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I don't know what advice anyone can give other than to tell you to get a BMW or a Porche. It's apparent you're not going to get a Mercedes unless you pay these shysters their 30% upcharge.

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post #7 of 8 (permalink) Old 09-14-2014, 06:47 PM
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In canada what i have done in the past is import from the u.s.
This is relatively straightforward given the process which is established and in place.

In china if this were me,
I would call dealers in neighbouring countries and if a price is agreeable then have it shipped in to your province.

Bypass your local province concessions if possible, although bringing a car across country borders could be met with similiar obstacles would be easy to find out.

Perhaps another model would not so heavily taxed
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post #8 of 8 (permalink) Old 09-15-2014, 06:17 PM
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Bribery is common form in China. In many Countries in the world.
You must pay for China's newfound Economic Prosperity.

Studying USA History, my forefather's paid the same Economic Ransom.

You must pay. It's the only way.

USA did it, early part of last century.

Right now, The Soviet Union, umm err, that is Russia's Elite are paying it.

Country of India is paying the same economic ransom.

All those Middle Eastern countries too.

Any nation's economic prosperity boom demands people take risks and somebody has to
pay the Piper.

There is no way around this.

Charles
New York City, NY
Richmond County

United States of America
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