Ford Ends Talks With Indianapolis Dealers

Ford Motor Co. ended discussions with its Indianapolis auto dealers to consolidate 17 to 25 Ford and Lincoln-Mercury dealerships into four or five superstores with satellite service centers. The radical plan, which Ford dubbed a “learning laboratory,” is the most ambitious proposal made by any auto maker to reshape its dealer network. Detroit-based Ford wants to reduce the number of its dealer locations and adopt consumer-friendly sales and service processes to compete with emerging dealer superstores owned by companies such as Republic Industries. The Indianapolis auto dealerships, however, balked at the deal’s financial terms. Ford shelved the project rather than force a hostile takeover. In September, it dropped a similar plan in Salt Lake City. Ford said it hopes to implement a similar plan soon in other unidentified medium-sized cities.