The reason why car dealers are willing to negotiate the price with you is because

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Car dealers know that many customers come in thinking they can negotiate and get a better deal, so they are willing to negotiate to make the customer feel like they got a good price. This helps the dealer sell more cars and keep customers happy, even if they are still making a profit on the sale. There is no legal requirement for dealers to negotiate, and while they do want to earn a profit, it's not necessarily larger than what they would make without negotiation.

The Reason Why Car Dealers Are Willing to Negotiate the Price