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MULTI-AGENCY WARNING

28th October 1993
Page 11
Page 11, 28th October 1993 — MULTI-AGENCY WARNING
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Which of the following most accurately describes the problem?

• Renault is warning its dealers that truck importers could move to multi-agency dealerships if the motor industry's Block Exemption is not renewed in two years' time.

Block exemption legislation allows manufacturers to restrict sales of vehicles to its own dealer network. It is due for renewal in 1995 and the EC Commission says it is too early to comment on what it will decide. If the exemption is removed Renault predicts a move to multi-franchise dealers but says a decline in aftersales service would follow.

Renault says its dealers are well prepared should Block Exemption not be continued as they offer all makes service and even contract maintenance on other makes.

Diagnostica, Renault's electronic diagnostic kit, is also being upgraded to be able to work on other makes of vehicle.

Even so, the company expects further changes in networks with fewer main, and more service dealers.