Multi-brand strategy as innovation factor in reselling new cars

Abstract

The vehicle marketing channel in Brazil remains stable since its introduction. Its main characteristics are dealers representing only one brand, acting in exclusive areas and being responsible for selling new vehicles, technical support, repair and reselling genuine parts. This study examines the case of a dealer that represents three different brands in the same location. This kind of model innovates the market and indicates that the Brazilian dealers can adapt to the same rules alike the ones adopted by the Europeans in 2002, when it was allowed to dealers to represent more than one brand and to choose to be just dealers and / or provide technical support in the location of their choice. This dealership model shows to be viable due to its particularities. It represents three brands by the same company. In order to this example be implemented by other groups in Brazil, it would be necessary to occur a similar situation the one occurred by United Auto, or a change in the legislation in Brazil.