Chang’an Ford to Unsatisfied Dealer “Shut up, or we’ll sue your pants off”

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Well, not quite that abrupt but thats pretty much what Ford said to Shanxi Baoding, the largest Ford dealership in Shanxi province, over the weekend. The argument stems over who first terminated their 3 year agreement, Shanxi Xin Bao Ding or Ford. Ford claims it was unhappy with the management and low sales, Xin Bao Ding said yesterday it was because of Fords low quality products and apparent ‘binding’ of prices, i.e. forcing Bao Ding to order low end cars and sell them at fixed prices. Bao Ding also claimed it had to pay higher prices for spare auto parts from Ford. Bao Ding also wants the head of David G. Thomas, the Ford Chang An General Manager, they say he was too slow to react to the market changes and wants him fired. Mr. Thomas, also threw some mud back at Baoding, Thomas was quoted as saying

We were not satisfied with their business practices and poor sales performance, but if any misleading comments are made about our products and company that will raise concern to our customers, Chang’an Ford Mazda will meet it swiftly and seriously.

However, Baoding is still in business with General Motors despite their spat with Ford as well as Hyundai so its unlikely to effect them a great deal over a long period of time. Baoding did threaten to reveal more information about the on going saga, wait and see!