What do Manufacturer Suggested Retail Price and Owner Transaction Price mean?
1 Answers
Manufacturer Suggested Retail Price and Owner Transaction Price are defined as follows: 1. Manufacturer Suggested Retail Price: This refers to the selling price of a product to consumers. Due to the application of value-added tax, consumption tax, and customs duties, some dealers may shift these taxes from being external to internal, artificially inflating profits and causing abnormally high product prices. To curb such practices, manufacturers provide a reference selling price after considering various factors, known as the Manufacturer Suggested Retail Price. 2. Owner Transaction Price: This is the final amount paid for the bare car after repeated negotiations with the car dealer. The transaction price is the actual price at which the car is sold.