In 2023, the slow-growing economy will continue to put pressure on car dealerships as customers are likely to be more price conscious and there may be fewer customers available in general.

In addition, the need for compliance with ever-changing regulations related to sales, financing, emissions standards, and other environmental issues also make it difficult for dealerships to maintain profitability while managing their costs. As both the economy and the environment are at stake, the costs associated with staying in compliance can add up quickly, resulting in large financial burdens that put strain on the dealership's bottom line. With rising operational costs and shrinking profits, dealerships need to find ways to manage their resources in order to remain profitable and compliant.

By implementing strategies such as green initiatives, car dealerships can stay ahead of the regulatory curve while still protecting their own financial interests. Developing relationships with vendors who understand the complexities of the regulatory environment can help dealerships better manage their costs to remain profitable, and will also help protect the environment.

Additionally, the increasing competition in the automotive market will likely lead to further pressure on dealerships as they try to differentiate themselves from their peers. As such, car dealerships should be mindful of how these economic and environmental pressures may affect their operations and make sure that they are taking all necessary steps to remain compliant, yet still profitable and competitive.

Furthermore, with more companies investing in research and development of electric vehicles, dealerships may need significant investments in new technologies and business models to remain competitive. To conclude, the slow-growing economy will likely continue to put pressure on car dealerships in 2023 and they must adapt to the changing environment or face potential risks to their businesses.