WEBVTT

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How much can you keep raising prices at a time

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where you're starting to see some real pushback and actually

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falling car prices on the margins. If you look

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at this year, when you look at prices,

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they're down slightly. I think the path of continuously

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increasing prices is behind us and we're going to have

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to manage that in certain areas, we'll be able

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to price new products and where you have strengths differentiation

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. But overall, I think the industry has passed

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the the large increases that we saw over the last

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couple of years, largely driven by inflation. And

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so now we need to look at affordability and where's

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affordability for the consumer and manage that very carefully.

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Do you feel like you have to respond to price

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cuts that have been reversed by Tesla? But price

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cuts in the industry just more generally that there is

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this competitive momentum downward in terms of trying to cater

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to a consumer that's borrowing at a pretty high rate

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relative to history. Well, when you look at

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it, I think you have to look at it

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by vehicle and by segment and where the competition is

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where you're at with the strength of your product,

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the differentiation that you can provide. Where's the natural

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demand for that product. And right now, uh

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we have a lot of new product on the road

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, especially in the uh blue business, as well

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as the pro business. And what we see there

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is that with the new product and the differentiation and

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the iconic brands that we have, we have pricing

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power and we have high demand. What's the and

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how has it shifted of cars that are bought in

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cash rather than credit over the past five years?

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And I ask this in terms of the haves and

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the have nots people with money and cash are buying

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the cars and fueling the demand, fueling the sales

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that you're getting and people on credit are disappearing.

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We haven't seen a large shift in the mix between

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cash purchases and purchases through credit. You know,

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we have a very strong credit company in Ford credit

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it and they do a great job working with our

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customers. And um what we have is we have

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a proprietary credit scoring model and so we'll buy customers

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that others might say um aren't, aren't purchasable or

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aren't uh qualified and we have a very good record

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with that and you see that our credit losses or

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our, our severity, it's not increasing, it's

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still low. So I think we have a really

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good, a really good model in how we do

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that