Investigating the Factors Affecting the High Resale Value of Toyota Vehicles in Sri Lanka

Abstract

Resale value of vehicles was identified to be an important factor that influences decision-making of consumers in the Sri Lankan automobile market and brand loyalty. The research was carried out in order to study the factors leading to the high resale value of Toyota cars, and the market-specific and the product specific variables were taken into consideration. A quantitative research design was employed, through a deductive approach, and primary data gathered through structured survey from the population of 100 vehicles owned. For interpretation of the data, descriptive statistics, correlation statistics, and multiple regression statistics were used. It was found that both market-specific factors such as brand reputation, availability of spare parts, the market demand and product-specific factors such as the durability, performance and quality have a statistically significant, positive effect on high resale value of the Toyota cars. The model’s explanatory power was strong as it was indicated by the adjusted R² value of 0.976. The ANOVA results confirmed the overall significance of predictors. The findings stressed that Toyota’s excellent resale results were attributed to the strategic combination of product features and consumer taste and market’s dynamics. These findings were useful to automotive manufacturers, marketers, and policy makers who were interested in increasing long- term brand value and customer satisfaction in the cutthroat vehicle resale industry.