A negative impact on market share can have far-reaching consequences for a dealership. It often leads to decreased sales as a smaller share of the market translates to fewer potential buyers. This can result in reduced customer attraction as the dealership’s brand and offerings become less appealing to consumers. Furthermore, a diminished market share can weaken the dealership’s bargaining power with manufacturers and suppliers, potentially increasing the costs associated with acquiring new inventory. This ultimately results in reduced revenue and lower profitability for the dealership as a whole.