Grey Import Vehicle
Grey import vehicles are new or used motor vehicles and motorcycles legally imported from another country through channels other than the maker's official distribution system. The synonymous term parallel import is sometimes substituted.
Car makers and local distributors sometimes regard grey imports as a threat to their network of franchised dealerships, but independent distributors don't mind since more cars of an odd brand bring in money from service and spare parts. Also, car makers frequently arbitrage markets, setting the price according to local market conditions so the same vehicle will have different real prices in different territories. In order for the arbitrage to work, there must be some means to reduce, eliminate, or reverse whatever savings could be achieved by purchasing the car in the lower priced territory. Examples of such barriers include regulations preventing import or requiring costly vehicle modifications. Grey import vehicles circumvent this profit maximization strategy. In some countries, such as Vietnam, the import of grey-market vehicles has largely been banned.
Read more about Grey Import Vehicle: Overview
Famous quotes containing the words grey, import and/or vehicle:
“Their holders have always seemed to me like a woman who should undertake at a state fair to run a sewing machine, under pretense of advertising it, while she had never spent an hour in learning its use.”
—Jane Grey Swisshelm (18151884)
“The intellectual life may be kept clean and healthful, if man will live the life of nature, and not import into his mind difficulties which are none of his.”
—Ralph Waldo Emerson (18031882)
“If you would learn to write, t is in the street you must learn it. Both for the vehicle and for the aims of fine arts you must frequent the public square. The people, and not the college, is the writers home.”
—Ralph Waldo Emerson (18031882)