Items Tagged with 'ag parts'

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Cost of Doing Business: Why Ag Parts Sales Differ from Other Industries

While some farm equipment dealers have managed to attain 100%-plus parts and service absorption rates, the industry as a whole only achieves about a 62% rate, according to the 2014 Western Equipment Dealers Assn.’s Cost of Doing Business study. The industry’s benchmark for absorption is 80%-plus. At the same time, ag equipment dealers are often compared to construction equipment and other dealers who handle heavy equipment and typically achieve higher absorption rates.


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