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:
“Perhaps you have been busy
Horse-whipping Sal or Lizzie,
Stealing some poor man’s baby,
Selling its mother, maybe.”
—Jane Grey Swisshelm (1815–1884)
“Every tree sends its fibres forth in search of the Wild. The cities import it at any price. Men plow and sail for it. From the forest and wilderness come the tonics and barks which brace mankind.”
—Henry David Thoreau (1817–1862)
“How strange a vehicle it is, coming down unchanged from times of old romance, and so characteristically black, the way no other thing is black except a coffin—a vehicle evoking lawless adventures in the plashing stillness of night, and still more strongly evoking death itself, the bier, the dark obsequies, the last silent journey!”
—Thomas Mann (1875–1955)