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Tractor Dealer akin to Government?

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scott#2

01-23-2008 13:50:44




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Not trying to start anything here, but has anyone noticed the similarities? I just priced 2 new small, non spring friction disks (clutch) for this Ford 1910 Im working on and New Holland wants $653.00, plus tax, just for the disks, nothing else! Outrageous, just like the government, WAY OUT OF CONTROL! Maybe if some of these tractor companies managed their overhead correctly, stopped wasting so much money and got the chest beaters out of their organizations, they wouldn't have to try and prove their market share and dominance by producing that new 500 hp, drag the gates off of hell super tractor at the expense of us little guys. I mean really now, Ford, Case, whoever, whenever you go into buy a part anymore you'd think you were buyin a piece for a $300,000 dollar machine even when its a $2000 P.O.S. Its almost like Im buying a replacement part for one of my cnc machineS that is capable of making a million dollars worth of pieces in a one week production run. Maybe if these companies got their prices in line, so many old tractors wouldnt be scrapped and parted out. Am I way off base here?

Thanks for the info to Carolins Brake & Clutch. They said they will reline, rebuild and adjust it up for $200 plus about $80 shipping both ways.

Aw, maybe Im just a little fumed at the new tax assesment I just received. Just the house and 1 acre went from 218k to 351k, go figure. Billing me for killing me.

scott#2

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mkirsch

01-24-2008 05:24:18




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 Re: Tractor Dealer akin to Government? in reply to RustyFarmall, 01-23-2008 13:50:44  
Consider that we're expecting these dealers to have parts for tractors that are 10, 20, 30, 40, 50, even 60 years old, available and preferably in stock, AND THEY DO! There's a cost associated with that, commonly called "overhead," and overhead's expensive.

Once the spares from the original production run of the tractor are gone, the manufacturer makes a decision whether to continue supporting a particular part. If they deem it necessary and profitable (i.e. there are enough of that tractor still in use), they hire a small "jobber" shop to make a short run of the part. That kind of work is tremendously expensive. The shop may be making the parts individually. The shop may be setting up the original molds, jigs, and/or fixtures. The shop may have to go as far as designing a whole new set of molds, jigs and/or fixtures from scratch because the originals were destroyed, lost, or worn out.

There might only be a few cents' worth of metal in the part itself, and maybe only a few minutes' worth of labor in the actual creation of the part, but there's more to it than just that.

On top of everything, there has to be some incentive for these companies to continue stocking the parts and supporting the machinery. If not money, then what? Warm fuzzies that they're keeping some piece of old iron in the game? Warm fuzzies don't put food on the table or gas in the Cadillac.

AND, if that's not enough, have you stopped to check how these companies are doing financially? Last I checked, companies like CNH, JD, etc, are not all that profitable. They keep merging and selling off divions to each other to stay alive. How many dealers were around in the '50s compared to now? Nobody's getting particularly rich off this.

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scott#2

01-24-2008 07:32:07




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 Re: Feed those caddies in reply to mkirsch, 01-24-2008 05:24:18  
Feed those Caddies, how about them "fat cats" at the top of that food chain taking a more reasonable salery? Oh thats right, they have 3 or more houses to pay for not to mention a personal financial advisor they have to pay to manage all that money they've been basically bleeding from their company to support thier lavish lifestyle. I would be real curious what the top ten peoples saleries in any tractor company total out to, options and incentives included. Of course they have to feed their Caddies, heaven knows they couldnt drive anything less than a $50,000 car to their Boca Raton vacation home, oh thats right, I forgot about the company jet they probably mooch off of.

As far as job shops being expensive, I own and run a job shop. Casting, mold making, plastic injection, short run production. I also have 7 friendly competitors that I am in contact with on a weekly basis swapping war stories. I can assure you that our "job shops" aren't exactly getting us rich by taking work from these big boys, in fact, one of them screwed one of my buddies so bad that he had to close his doors after 40 years. By time I make a 3000 part run and it winds up at the end user, the part I made and sold for $4.00 is being marked up half a dozen times and being retailed to the aerospace industry for $70.00. No doubt this goes on at the small "job shops" that are making obsolete tractor parts for our old stuff, you think their the ones making a killing here?. I'd bet my last buck their getting it in the back side just like any other small shop. Why do you think more than 50 percent of the manufacturing facilities in this country completly shut down in the last 5 years? They outsourced and shipped all their machines overseas where you can find a person to turn a dial and push buttons for $1.00 an hour just so tractor companies, brokers and middle men can continue to stick it to us by charging $367.00 for a part that cost $54.70 to make (fact). As far as mark up goes, I expect 50% and more is in line at the retail end at the dealers, on top of the 40% charged by all the channels it goes through before it gets there. Everybody has their hands out bickering about the loose change falling from the holes in their poskets. No different that the government really. At least the government can discover a 30 million dollar fraud ring after 7 years of investigation and then take action by putting the people involved on administration leave with pay. What a big fat joke this world has become. A quagmire of medocrity comprised of unconcious incompentents. Just trying to educate.

Thanks for playing devils advocate, your a good sparring partner.

scott#2

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Spook

01-23-2008 18:08:59




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
Wow, where you at? In Michigan, a lot of tax asessments are being contested, and being reduced. I read of one guy got his valuation knocked down 20%. Of course you can't sell a house here without giving it away.



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scott#2

01-23-2008 18:40:37




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 Re: Tractor Dealer akin to Government? in reply to Spook, 01-23-2008 18:08:59  
Im in Maryland, same story here on the giveaway. House values did well in the last couple years but in todays market, it's a whole different story. I bet settled transactions are down at least 25% in the last 6 months. Of cours their data is 1 year old or more (to suit their needs)and was compiled when the market was strong (good timing on their part). Now they raise the value and make us pay more when their value couldn't be farther from the truth. Good old Gov. How about a nationwide tax revolt?

scott#2

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MN Scott

01-23-2008 17:11:30




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
Ag Parts Ltd, of Humbolt Ia, has those remanufactured disks listed on their website. Engine disk.
FD320150 $82.86

PTO Disc,
FD320160 $82.86

Pressure Plate, PTO Disc included.
FD320160 $450

My neighbor is a dealer for them and the truck makes regular deliveries to him. I buy all my clutch parts thru him, High quality at a fair price. I think you can call them direct and order.



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scott#2

01-23-2008 18:13:36




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 Re: Tractor Dealer akin to Government? in reply to MN Scott, 01-23-2008 17:11:30  
Thanks for the source, Ill look into it.

scott#2



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RickB

01-23-2008 17:08:49




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
Doesn't make much sense to me to cry about the price of something you didn't buy. Lucky you were smart enough to find an alternative.



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61-4010

01-23-2008 16:43:28




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
I can relate all well to you Scott #2. I got a new tax assessment one year on my property and was shocked at the jump. So I called the county and asked them if they were willing to buy the property from me at the assessed value. Needless to say, they weren't amused. But I got my point across.



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Skaning

01-23-2008 15:51:40




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
Scotty,
The problem is they have a captive market no competition on the parts so charge til they scream then charge till they quit buying. The concept of cost plus a reasonable markup is long gone.

The price of automotive body parts was outrageous until the Tiwanese replacement stuff came in and the Insurance companies started balking at paying dealer prices. Suddenly body parts got competative. Still higher than Asian but way more reasonable than they were.

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John S-B

01-23-2008 15:34:33




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
You can alway contest the new assessment. They had an article about that in the paper here awhile back and they said about 10% get the valuation lowered. It's worth a shot, especially with the stockmarket the way it is.



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agpilot

01-23-2008 17:22:29




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 Re: Tractor Dealer akin to Government? in reply to John S-B, 01-23-2008 15:34:33  
Hello John S-B: You are correct in contesting an assesment. I owned over 30 properties in the far West suburban area of Minnespolis. I felt that it was my resposibility as an owner to contest if it was at all out of line. He will have to follow the guide lines. One year I protested to the town and then Hennepin county and finally to the state of Minnesota. I won. ... but I had to have facts and dollar amounts from other properties to back up my point. If you just go there and whine it most likely will not get you much. I am also glad those years are over... and I am back to a hobby farm and Farmalls... agpilot

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its only money..........

01-23-2008 15:18:26




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
give me a address and Ill sent you a crying towl



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scott#2

01-23-2008 18:25:49




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 Re: Tractor Dealer akin to Government? in reply to its only money.........., 01-23-2008 15:18:26  
With a handle of "its only money", either you have enough to waste if foolishly, or you have none at all and are insinuating you do, better luck next time. How about posting your email so I can send you my address, my shop always needs new rags, that is if you even know how to write. Even a 2 year old knows that over inflated prices are yet another issue that troubles todays farmer, no matter the scale.

scott#2

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James Williams

01-23-2008 14:12:12




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 Re: Tractor Dealer akin to Government? in reply to scott#2, 01-23-2008 13:50:44  
sCOTTY,WHERE DO YOU LIVE

JIMMY



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