I had mark up at both dealers I went to but I asked them to lower the price and they dropped 25% off. They also always gave me a loaner and they detailed and replaced a couple dented and scuffed BMW badges without me asking at no charge. Basically I won't bad talk them. In my experience they cost more but they also have earned it by providing premium service. They run their service center like I Run my medical practice funny enough, premium but they are understanding and work with you on price.
I honestly think your problem is a California thing, not a BMW thing.
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