Car dealership
Overview
 
A car dealership or vehicle local distribution is a business that sells new or used cars at the retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...

 level, based on a dealership contract with an automaker
Automaker
The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and is one of the world's most important economic sectors by revenue....

 or its sales subsidiary
Subsidiary
A subsidiary company, subsidiary, or daughter company is a company that is completely or partly owned and wholly controlled by another company that owns more than half of the subsidiary's stock. The subsidiary can be a company, corporation, or limited liability company. In some cases it is a...

. It employs automobile salespeople to do the selling. It may also provide maintenance services
Service (motor vehicle)
A motor vehicle service is a series of maintenance procedures carried out at a set time interval or after the vehicle has travelled a certain distance...

 for cars, thus employing automobile mechanics, stock and sell spare automobile parts, and process warranty
Warranty
In business and legal transactions, a warranty is an assurance by one party to the other party that specific facts or conditions are true or will happen; the other party is permitted to rely on that assurance and seek some type of remedy if it is not true or followed.In real estate transactions, a...

 claims.
In China, an authorized car dealership is called 4S car shops.
 
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