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Oliver, Cletrac, Co-op & Cockshutt Tractors Discussion Forum
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Re: Anybody buying Agco?

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01-30-2013 18:26:41

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Used to work for AGCO based out of Hesston, KS as a combine test engineer. Globally they are going to 4 brand names: Valtra, MF, Challenger, and Fendt. Eventually all others will be gone (scary i know) hesston was just phased out. AGCO is trying to follow the super dealer presidence that deere and CNH have gone to. however the problem with AGCO is the connection to the old CAT dealer network. for those of you who dont know the name challenger and all of the equipment went to AGCO except the Lexion combines which stayed with CLAAS. In the US they cannot put a dedicated AG dealer within 50 miles of a CAT dealer, THAT STILL SELLS AGCO TRACTORS. Cat dealers dislike all ag stuff except the track tractors (huge business) and carry nothing for parts. there are some exceptions to this dealer territory thing but every time i went to the field it seemed like the dealer was sooo far away.

so as far as anyone buying the AGCO company i would think that is not goin to happen at all. with the booming business overseas AGCO is growing in South America and China. the growth in the North American market is very difficult with Deere locking down market share on everything, but the Fendt and Challenger tractors are doing really well for AGCO. I could go on and on but this could take all night

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01-31-2013 08:12:22

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 Re: Anybody buying Agco? in reply to Rizz1800, 01-30-2013 18:26:41  
I think it's kind of a regional thing. In certain parts of the country,mostly hilly cattle country,Deere and IH never really had a presence. They made primarily row crop tractors where the market called for low utility type tractors. Ferguson and Ford had the lions share of the market. It's still that way in those areas,New Holland and Massey rules the market. I don't really see that changing much. Deere and CaseIH have made their choice when it comes to who they're going to serve,the big time cash croppers who trade for new every few years and only need maintenance parts. Look at what Massey is really pushing right now in their advertising,the new 3 cylinder 5600 series tractors and Hesston by Massey hay tools.
If Agco has given up in some of the markets that they never really had a majority of the market in,Deere has done the same thing. Seems like all of these companies have made a decision as to who they're going to concentrate on serving.

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