Financing a Rolex

[rr-nyc]

Originally Posted by Rookhawk

Here's why your ego is getting ahead of your reason.

A $10,000 Rolex has a wholesale cost of $6000 at zero profit to the dealer. Therefore, the target is to hit $6001 and to convince the dealer something is better than nothing. Naturally their BATNA is a better customer coming in after you but this is the construct for your negotiating framework.

If you are the world's best negotiator you'd be able to get them to $6180 at 3% CC fee baked in, they'd make a dollar on a $10,000 MSRP watch and you'd win the grand poohbah award.

The cash sale guy could negotiate a deal at $6090 paying less than you while giving the dealer a 1.5% profit margin instead of the zero you offered them. This would be a more mutually beneficial transaction than your best possible case scenario.

In conclusion: your negotiating assumption that you can always get the best deal cash or credit is flawed at its inception.

You are dragging this into the weeds and taking this thread, YOUR thread, so far off topic, its become hilarious!

As a consumer, my goal isn't trying to rip off a dealer...its getting the best deal that I see as being mutually agreeable. Its the same in any negotiation.

You should stop reading your books on becoming a negotiator because it makes you sound like a business professor that only preaches because they couldn't hack it in the real world. Your $100M deals seem to have gotten to your head. I never implied that I am the best negotiator. I said people think they get the best deals by paying cash. In my business and personal life, cash and terms are the same. In fact, my business prefers terms because we do make money on the back end since we hold the note. But since you feel the need to throw out your career highlights, I just closed a deal with the Veteran Health Administration worth $167M... Just another day at the office

Your original post was flawed and I pointed it out. Now you're on a rampage to prove me wrong which has yet to happen. So since you're hell bent on showing us all how free credit isn't free, please show us because I'm getting bored.