How do they know what a vehicle is worth?

K

Kanab

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Is it the labeling of Mercedes, Lexus,Toyota, Kia, BMW, Chevy, etc. or are we just trained to think we should pay more for one then the other, what is the justification for paying $55K for a BMW X5 4.4 V8 or paying $37K for a 4runner 4.7 V8 Limited. Why do we pay $15K-20K more for one then the other? Wonder if it cost more to build the BMW versus the 4runner? If you think about the technology, looks, build quality I wonder why many people will pay more for an inferior product? Personally I felt really smart buying my V8 sport versus a GX470 and saving big $$$ and getting basically the same vehicle for many $$$ less. When I look at the Mercedes CLS 500 and compare it to a Lexus GS 430 there is not much difference except the $$$ more that you will pay for the Mercedes. Plus based on data from JD Powers the Lexus will be higher quality and provide a better ownership experence. What's the deal do the automakers think we are all just stupid? I guess some people are :)
 
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sharp4runr said:
People will always pay for a "Premium" product. Just human nature to want something that is "Better"
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"Better" is now just a perception not a fact. That's the problem. With the high tech manufacture and the platform sharing that all of the automakers are using the premium vehicle is often just a label and some soft leather, a DVD player and other fluff items. Are people really this stupid?
 
Pitbull said:
Are people really this stupid?
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Yes. Especially Americans. Just the fact that we all drive, alone, in our vehicles to work everyday shows that we are stupid. Ride a bus? No way, not unless they put leather heated seats with DVD surround sound and ergonomically designed cup holders on buses, we'll continue to be "stupid".

I'm as guilty as anyone--I usually pass the bus on my way to work, the bus that goes right by my neighborhood and would drop me off 1 block from my office building.
 
Pitbull said:
Are people really this stupid?
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Ahem, Yes. Example, when I was going to school I worked as a bank teller. When doing drive by duty, there would be 4 lanes open but if there was one car already in line, everyone would line up behind that car like a bunch of little ducks. We'd have the security guard out there directing people into open lanes. It did little good.

Cattle, just like dumb cattle.
 
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Another example is how my uncle paid $60K for a V6 Porches Cayenne, when a fully loaded V8 4runner would have been $15K cheaper. It's all for the name, and these people think they're getting something better, when really it only LOOKS and SOUNDS better.
 
I would say that generally speaking people aren't stupid. We have a free open market and the price is made by supply and demand. People are lined up to buy the BMW X5, Thai dumps his 4Runner to buy a Mercedes, people buying a Ford Explorer becasue of financing. The market sorts itself out.

I remember looking in 2001 when I bought the 4Runner and I saw a new Trooper for about 40% off, instead of 29 it was under 18 thousand. The market sorts itself out.

Somewhere someone is buying a Lexus GX 470 for $15 to $20 thousand more than a 4Runner and feel they are getting a good deal and for them it is.
 
I looked HARD at GX470's before the 05 4Runner decision, as it had a few things I really wanted. I wanted the HID's, memory seats, different colour choices, various other crapola not on the Runner, and that interior :yummie: :bowdown: Ok ok ok, and I kinda wanted to have that "L" on the grille, I confess :D :o

But in the end, for roughly another $20K Canadian, it just wasn't worth it (for me). The Runner is basically identical mechanically, looks as good (better from some angles). If the 4Runner offered a few of the options available on the Lex, I wouldn't have waisted time look at the GX.

I was having this same debate with some friends lately, yet about Land Rover Disco's. Some thought the price was justified because of the "legendary 4wd." I think it's a lot of money for a brand name that doesn't offer anything revolutionary over what many lower priced SUVs do.....One with poor reliability and build quality at that.
 
This is a very tough topic.

STEALERS can read your face. Here in British Columbia, STEALERS charge a premium by selling at MSRP, because people accept it. :bash: This is very apparent in Vancouver. It is a very wealthy city with lots of rich immigrants. They find vehicles to be quite a bargain and willing to pay the suggested retail price. My best friend who is a manager with MB Canada can attest to my opinion. This follows the Sheep/GOAT COW herd theory.:cursin: :cursin: :cursin:

Apparently, BC TOYOTA STEALERSHIP network has discovered this fact too!
They get away by charging full price all the time. They then stand behind the fact that it puts all consumers on equal footing. I call Bull$#@$.

FYI, The Big STEALERS also bully the small dealers that are willing to deal, by threatening reduced inventory.

Luckily I have found a smalll town dealer that has arranged a discount for me when i"m prepared to buy. But I have to keep them anomynous for fear of the above mentioned penalty..:mad:
 
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stupid or just people who demand more?

If the comparison was as simple as powertrains and basic construction, people would be stupid, and there would be no reason to drive Aston Martins, Lambos, or Porsches, but the comparison is not that simple...

Most of the millionaires I know, don't drive the luxury cars, but drive the higher-end styled standard cars (like a Denali instead of a Escalade or Mercedes). There are nicer levels of leather, carpeting, sound-proofing, even the handling systems. Take a 530i vs an Avalon for example....

Since everyone likes variety, the automakers follow suit of every other industry out there and provide the variety people crave (especially us "rich" Americans). Stupid or just preference... Personally, I like to get the most bang for the buck, since I don't have that many bucks to play with anyway, but that is my preference.

On a side note... Have you ever driven a Porsche Cayenne S?? Man that thing purrs and handles like it is on rails!!
 
boston_kevin

Yea the Porsche Cayenne S is very nice and handles very good, but i loooooooove the infiniti fx 45. the exhaust note is to die for, and my friend and i tried really hard to break the tires loose, and no isht, we couldn't

But as far as the topic goes, concerning the whole sheep thing, we all love the nicer things in life, and we all love to show people how well we are doing, What better way to do it, than a car. Sad isn't it.
 
So many things effect ones reason as to why they may buy a certain vehicle, I'll say right off that if I could afford a Cayenne Turbo I would have 1, why cause I see 1 Cayenne a day verse a dozen 4th Gens:) but then again the V8 with the Turbo and many other things is a big reason I want it, but for the price of the V6 Cayenne I can't see why someone would spend over 40k into the 50's to have that;):

The car market is odd, when you have a loaded V8 4Runner limited even if you pay sticker, it's a better overall value and package then the supposedly higher end luxo utes, like the ML 350, X5 3.0, and Cayenne V6, but those companies see customers willing to settle for a smaller, slower engine to get behind the badge.

If Im gonna buy any high end luxury car it's gonna be loaded with a big engine;):

Thankfully I think car prices are becoming harder to seperate cause look how many people will get a V8 4Runner instead of a GX470 and such, if car companies keep improving the overall package and quality of cars, expensive luxo cars are really gonna have to find a niche to make the price difference acceptable, BMW & MB are dropping in new engines on their cars cause cars like Maximas, Altimas, Hondas and Toyotas are just as fast and powerful for what half the price.

This is all good for the consumer, and we are entering a new era in the car market where the overall package will sell the cars.
 
Hey Pitbull
I guess you would never pay 1000 or 2000 for a cell phone:) I laugh at my friends when they show me these so called cell phones, I love technologhy and having the latest gadgets but, mine was 50 bucks and it can make the same calls:D
 
EDGE said:
Hey Pitbull
I guess you would never pay 1000 or 2000 for a cell phone:) I laugh at my friends when they show me these so called cell phones, I love technologhy and having the latest gadgets but, mine was 50 bucks and it can make the same calls:D
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The only thing a man brags about how small it is, is his cell phone.:cool:
 
chunderboy said:
boston_kevin
But as far as the topic goes, concerning the whole sheep thing, we all love the nicer things in life, and we all love to show people how well we are doing, What better way to do it, than a car. Sad isn't it.
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It is ironic that many younger to middle age people are very concerned about their social security yet I'm sure many will pay a couple hundred bucks extra a month to get the Escalade or whatever but have very little to no savings. I'd like to think I am smart enough to balance things a little better.

If you can truly afford it that is fine but I have a feeling there are alot of people that while they can 'afford' it now will wish they had used the money more wisely.
 
My friends Uncle, guy is like 55, 60k in debt, 749 a month for his 60 month lease on a Navigator and who knows how many loans he has taken out to keep his house and he's retired:) so it's not just young people.

I can see buying the toys but their comes a time when it is just stupid, but some still don't think that;):

edit:
I know another guy with an Escalade, he got the 7 year payment plan, trucks gonna cost way over 90k if he pays it off and he took out a loan for wheels, rents a town house;):
 
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Oh, there are people in my town that live soooooo beyond their means it isn't funny. At my highschool graduation, this girl that i knew, her father dipped out, cuz he was to much in debt and left the family high and dry for months. At first they thought the worst.

I will never live like that. I won't spend money like a schmuck on holiday, just b/c i can. That isn't me. Always have something for a rainy day.
 
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