The Pearce Chevrolet Dealership, 1937. Dealers invested large amounts of capital in their retail and service operations. Once invested, it was difficult for a dealer to sell the facilities. As a result, management claimed leverage over dealers: GM could threaten the dealer with cancellation and thus the loss of capital.

From Trust and power : consumers, the modern corporation, and the making of the United States automobile market by Sally H. Clarke

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Subjects
  • American: 1900-present
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  • Figure 6.1 The Pearce Chevrolet Dealership, 1937. Dealers invested large amounts of capital in their retail and service operations. Once invested, it was difficult for a dealer to sell the facilities. As a result, management claimed leverage over dealers: GM could threaten the dealer with cancellation and thus the loss of capital.