A car dealership, or vehicle local distribution, is a business that sells new or used cars at the retail level, based on a dealership contract with an automaker or its sales subsidiary. It can also carry a variety of Certified Pre-Owned vehicles. It employs automobile salespeople to sell their automotive vehicles.

What does being a dealer mean?

Simply stated, it's an independent person or business authorized to offer and sell product for another company. In other words, you represent an already established brand. Some brands require exclusivity, meaning you can only sell their product.

Why are there car dealerships?

Aside from all of the back-end laws and costs, dealerships still exist to provide the customers a good customer service experience and build brand loyalty. Dealerships allow for an easier process when it comes to doing warranty and recall work, as well as routine maintenance and other repairs.