MSRP.
In plain English
MSRP stands for manufacturer's suggested retail price, the number the carmaker prints on the window sticker as a recommended selling price. It is a suggestion, not a rule, so the dealer can sell above it, below it, or right at it depending on demand. The MSRP includes the base price plus any factory options, but it is shown before tax, registration, the destination charge, and any fees the dealer adds. Think of it as the starting point for the conversation, not the final price you pay.
01Why it matters
Knowing the MSRP tells you whether a dealer is asking above sticker (common for hot models) or has room to come down, which directly changes how much you pay.
02The math, step by step
A new sedan has an MSRP of $30,000 on the window sticker. In a slow sales month a dealer might sell it for $28,500 to move inventory. For a model in high demand, the same dealer might add a markup and ask $33,000, well above the suggested price.
03What this is NOT
MSRP is not what the dealer paid the manufacturer. The invoice price is closer to the dealer's cost, and MSRP is the higher suggested resale number printed on the sticker.
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