shops have to charge a very high labor rate to cover the costs of screw-up's, discounts on some things, loaner cars, support staff ( writers,dispatcher,management, cashier. etc.) plus the high costs of special tools.
who do you think pays for the 11,000 dollar IDS the dealer has to buy, some dealers have 2 of these plus 3-4 2,000 NGS units.. plus the cost of special tools, many many thousands of dollars there. with special tools getting lost these have to be replaced so there is more cost.
screw-up's by techs is another BIG expense to the dealer or any shop, techs are not perfect we hav eto figure out problems in a timely manner so we can't spend all day trying to find out why your car is stalling once in awile, we need to diag it quick in under 1 hour, so a lot of times educated guesses are made.. and when those are wrong who do you think pays for the loaner car and eats the costs of this new repair.. yep the shop thats who.
Plus decent techs don't work for 10 bucks a hour. we have to spend 20-60k or more on tools, hell many of us own tool boxes that cost more than 10,000 and thats with no tools in it. it's a hard job with lots of risks if you make a mistake so many of us want atleast 20 per flat rate hour, with the best making 35 per flat rate hour.
Shops make a lot of money, but it's not as much profit as you guys think there is.