Professional Documents
Culture Documents
1.1
INTRODUCTION
2
Car Lease Selection with respect to Customer Preferences in Islamabad
1.1. INTRODUCTION
A lease is a private contract between the leaseholder and the landlord. When a
car changes hands, the seller assigns all the rights and responsibilities of the lease to
the purchaser, including any future service charges that have not yet been identified. It
is an important document and leaseholders must ensure that they have a copy and that
they understand it. The wording of leases is usually in legal language and can vary
from asset to asset. Leaseholders who cannot understand their lease should get advice.
Technically, a lease is a legal agreement between two parties that specifies the
terms and conditions for the rental of an asset, which, in this case is a car. In general,
the agreement is not between you and the car dealer, rather it is between you and a
leasing company chosen by the dealer. In other words, the car is actually sold to the
leasing company who, in turn, rents the car to you. The dealer simply acts as an agent
for the leasing company and negotiates the terms under which you will rent the car
When you lease, you pay a significant amount of interest on the transaction.
And there are tax and license fees. And all cars don't depreciate evenly. But still, the
basic concept of leasing is that you pay for the depreciation of the car (Edgerton,
2001).
Signing a leasing contract means that “you agree to make regular monthly
payments, keep appropriate insurance, pay any vehicle taxes and licensing fees, and
take good care of the vehicle” (Kay, 1997). Further, you agree that you'll keep the car
for a specified number of months and you're expected to stick it out to the end.
3
Car Lease Selection with respect to Customer Preferences in Islamabad
The lease sets out the contractual obligations of the two parties, what the
leaseholder has contracted to do, and what the landlord is bound to do. Leaseholders
are not necessarily entirely free to do whatever they want in or with the car.
The first thing to understand is that leasing is not renting. When you lease a
car, you are arranging for the vehicle to be sold to a leasing company, usually an arm
of the manufacturer. The leasing company then lets you use it for a monthly fee over a
set period of time. When the term of the lease is up, you have the option that is you
can return the car to the dealer and walk away without paying anything else. Or you
can buy the car for a prearranged lump sum, which is known as the vehicle's "residual
value." the number of factors that go into calculating the monthly payment is very
complicated. When you lease a car, what you are paying for is the car's depreciation
over the term of the contract, plus interest, taxes and fees (Sutton, 2001).
Depreciation is the difference between the car's value today (the price) and what it
will be worth at the end of the lease i.e., the prearranged residual value (Edgerton,
2001). As in a sale, the price (i.e., capitalized cost) is negotiable. It can be cut
automatically with a down payment or a trade-in. You can also negotiate the upfront
costs, such as the acquisition fee and security deposit, to get a better deal.
Leasing a car is a great way to drive a new model car and be able to switch to
a newer one every couple of years without the hassle of trying to sell your old car or
trade it in. Leasing has become more popular lately and seems to continue growing in
popularity. The lack of commitment to one car entices many people. Leasing also has
the benefits of lower monthly payments than buying a car, a low up front cost, and a
solid warranty that will cover you for the entire term of your lease. This will cut back
4
Car Lease Selection with respect to Customer Preferences in Islamabad
on your maintenance costs. Even though leasing may have its benefits, it may not be
for everyone.
At the end of the lease you're expected to return your vehicle to the leasing
company with no more than normal wear and tear. You'll have to pay for any damage
You may have an option to purchase your vehicle at lease-end for a specified
price, if you choose. Or you may be able to use the car as a trade-in on a new car.
Otherwise, you can simply return the vehicle to the leasing company and walk away.
However, because you might just have equity value in your vehicle that you don't
Leasing can be a tricky business. That’s why you need professional advice on
the topic. The information in this section can be used by banks, dealerships and
leasing companies to train their sales personnel and most importantly the customers,
Whether you are trying to analyze and compare leases or simply deciding
whether to lease at all, going into the process without a fundamental grasp of the
concepts will end up costing you money. Surprisingly few individuals who will either
lease or seriously consider leasing, will enter into their transaction with a rock-solid
understanding of how leasing works and whether it best suits their driving habits and
financial preferences. Consumers may, of course, rely on the dealer to tell them that
they really got a good deal. But, today with more educated shoppers especially
Internet shoppers most would rather make that judgment themselves. In order to do
5
Car Lease Selection with respect to Customer Preferences in Islamabad
Financing and Paying Cash (Aghili, 1998).In this study we will focus on what factors
6
Car Lease Selection with respect to Customer Preferences in Islamabad
1.2
RESEARCH
QUESTIONS
7
Car Lease Selection with respect to Customer Preferences in Islamabad
customer’s preferences in selection of car leasing. In the process of this study, the
4. Does the knowledge of the term’s and conditions influence customer’s preference
in selection of lease?
5. Does the risk of buying second hand cars influence customer preference in an
8
Car Lease Selection with respect to Customer Preferences in Islamabad
buying with respect to the terms of the early termination option in future:
9
Car Lease Selection with respect to Customer Preferences in Islamabad
1.3
OBJECTIVES
10
Car Lease Selection with respect to Customer Preferences in Islamabad
1.3. OBJECTIVES
1. To identify the different types of car leasing options available to the customers.
3. To identify what factors customers need to consider while making a car leasing
decision.
7. To find out different customer’s preference reasons e.g. their purchasing power’s
8. To find out how much the customers are willing to spend and how this influences
their decision for interest rates, down payments, installments, conditions for
9. To help organization find out their customer preferences so they can give the best
10. To help firms by making them aware of what their customers want and what
11. To find the risk of buying second hand cars and lease termination policies
11
Car Lease Selection with respect to Customer Preferences in Islamabad
1.4
SIGNIFICANCE
OF THE STUDY
12
Car Lease Selection with respect to Customer Preferences in Islamabad
• To The Customers:
The study will help customers by bringing awareness to them, about the
different kinds of lease options available to them. This will also bring them awareness
on how som-e sales people don’t show them the exact figures that they need to know
in making a favorable deal. The study also gives the customers an understanding of
buying a new or a used car and what factors need to be considered while buying a
in order to make loyal customers, the organization them self need to be loyal to their
customers. This study may help organizations in knowing what their customer’s
preferences are, so they can design their packages that best suit their customers target
market.
Societies are composed of people. When people who form societies are honest
and loyal, societies prosper. Organizations are a major chunk of a society. Thus, sales
people should be honest to the customers while making a deal with them. This will
13
Car Lease Selection with respect to Customer Preferences in Islamabad
help both the customers and the leasing organizations, thus helping in building a
prosperous society in the end. The study also mentions the sales person scams.
• To Future Researchers:
Just as this study has benefited from the research of others, so can future
research benefit from this study. Since in Pakistan the concept of leasing is new, not
much research has been done on it. Thus, this study will provide sufficient
This study can also highlight one extremely important dimension to future
researchers, i.e. after realizing the significance of various factors, future focus can be
paid to devise ways to make packages that best suits their customers. The best
flexible, encompassing and resourceful for their customers. Perhaps future researchers
14
Car Lease Selection with respect to Customer Preferences in Islamabad
1.5
SCOPE
15
Car Lease Selection with respect to Customer Preferences in Islamabad
1.5. SCOPE
The research is a case study limited to Islamabad only. This project does not
generalize to the entire population it relates to only one geographic area, which is
Islamabad in order to focus the study and find out the real perception of customers.
The research therefore targets this project only on customers in Islamabad. The
research cannot be guaranteed to customers for all geographic areas and may vary on
how different leasing terms offer different packages, it only compares customer
preferences according to their income group or purchasing power etc and a customer
behavior in general only in Islamabad due to some limitations that have been
mentioned in the project. This research can however be replicated in other geographic
areas.
16
Car Lease Selection with respect to Customer Preferences in Islamabad
1.6
LIMITATIONS
17
Car Lease Selection with respect to Customer Preferences in Islamabad
1.6. LIMITATIONS
This project may have some correction error for inaccuracy, which may arise
1. Problem arising in one geographic area i.e. Islamabad which may not be the
behavior
3. Although most problems would be the same for leasing in every geographic
6. The time horizon within which this study was to be completed was very little.
7. Response from some customers may not meet expectation (questionnaires may
not have been filled out truly on how they actually behave)
misreporting in them
10. The human and financial resources required to distribute and retrieve
18
Car Lease Selection with respect to Customer Preferences in Islamabad
CHAPTER 2
19
Car Lease Selection with respect to Customer Preferences in Islamabad
2. LITERATURE REVIEW
A lease is a private contract between the leaseholder and the landlord. When a
car changes hands, the seller assigns all the rights and responsibilities of the lease to
the purchaser, including any future service charges that have not yet been identified. It
is an important document and leaseholders must ensure that they have a copy and that
they understand it. The wording of leases is usually in legal language and can vary
from asset to asset. Leaseholders who cannot understand their lease should get advice.
Technically, a lease is a legal agreement between two parties that specifies the
terms and conditions for the rental of an asset, which, in this case is a car. In general,
the agreement is not between you and the car dealer, rather it is between you and a
leasing company chosen by the dealer. In other words, the car is actually sold to the
leasing company who, in turn, rents the car to you. The dealer simply acts as an agent
for the leasing company and negotiates the terms under which you will rent the car
When you lease, you pay a significant amount of interest on the transaction.
And there are tax and license fees. And all cars don't depreciate evenly. But still, the
basic concept of leasing is that you pay for the depreciation of the car (Edgerton,
2001).
Signing a leasing contract means that “you agree to make regular monthly
payments, keep appropriate insurance, pay any vehicle taxes and licensing fees, and
take good care of the vehicle” (Kay, 1997). Further, you agree that you'll keep the car
for a specified number of months and you're expected to stick it out to the end.
20
Car Lease Selection with respect to Customer Preferences in Islamabad
The lease sets out the contractual obligations of the two parties, what the
leaseholder has contracted to do, and what the landlord is bound to do. Leaseholders
are not necessarily entirely free to do whatever they want in or with the car.
The first thing to understand is that leasing is not renting. When you lease a
car, you are arranging for the vehicle to be sold to a leasing company, usually an arm
of the manufacturer. The leasing company then lets you use it for a monthly fee over a
set period of time. When the term of the lease is up, you have two options, you can
either return the car to the dealer and walk away without paying anything else, or you
can buy the car for a prearranged lump sum, which is known as the vehicle's "residual
value." the number of factors that go into calculating the monthly payment is very
complicated. When you lease a car, what you are paying for is the car's depreciation
over the term of the contract, plus interest, taxes and fees (Sutton, 2001).
Depreciation is the difference between the car's value today (the price) and what it
will be worth at the end of the lease i.e., the prearranged residual value (Edgerton,
2001). As in a sale, the price (i.e., capitalized cost) is negotiable. It can be cut
automatically with a down payment or a trade-in. You can also negotiate the upfront
costs, such as the acquisition fee and security deposit, to get a better deal.
Leasing a car is a great way to drive a new model car and be able to switch to
a newer one every couple of years without the hassle of trying to sell your old car or
trade it in. Leasing has become more popular lately and seems to continue growing in
popularity. The lack of commitment to one car entices many people. Leasing also has
the benefits of lower monthly payments than buying a car, a low up front cost, and a
solid warranty that will cover you for the entire term of your lease. This will cut back
21
Car Lease Selection with respect to Customer Preferences in Islamabad
on your maintenance costs. Even though leasing may have its benefits, it may not be
for everyone.
At the end of the lease you're expected to return your vehicle to the leasing
company with no more than normal wear and tear. You'll have to pay for any damage
You may have an option to purchase your vehicle at lease-end for a specified
price, if you choose. Or you may be able to use the car as a trade-in on a new car.
Otherwise, you can simply return the vehicle to the leasing company and walk away.
However, because you might just have equity value in your vehicle that you don't
Leasing can be a tricky business. That’s why you need professional advice on
the topic. The information in this section can be used by banks, dealerships and
leasing companies to train their sales personnel and most importantly the customers,
Whether you are trying to analyze and compare leases or simply deciding
whether to lease at all, going into the process without a fundamental grasp of the
concepts will end up costing you money. Surprisingly few individuals who will either
lease or seriously consider leasing, will enter into their transaction with a rock-solid
understanding of how leasing works and whether it best suits their driving habits and
financial preferences. Consumers may, of course, rely on the dealer to tell them that
they really got a good deal. But, today with more educated shoppers most would
rather make that judgment themselves. In order to do so, we must begin with an
22
Car Lease Selection with respect to Customer Preferences in Islamabad
Financing and Paying Cash (Aghili, 1998).In this study we will focus on what factors
paying cash up front, a company can free-up its capital for other purposes. For
new furnishings and functional equipments are required. All of this takes capital, and
There may also be reductions in repair and maintenance expenses that come
with newer equipment, plus the operational efficiencies that accrue when technology
Leasing may also reward you with Off-balance sheet financing, Payment
amounts that are determined up front, Fully expensed lease payments, Potential tax
Bank financing preserves capital at the outset. But a company is still subject to
the risk of technology and equipment obsolescence that comes with ownership plus a
Banks may be limited in what they can offer a company in the way of leasing
if a company already has additional credit lines with them. Moreover, banks often
23
Car Lease Selection with respect to Customer Preferences in Islamabad
require compensating balances, availability charges, non-usage fees, lien search fees
On the practical side, banks can't help a company when it runs into
technological obsolescence, nor will they take existing equipment off your hands
when you decide to upgrade. For a company to grow and prosper, it can't afford to be
stuck with older equipment and technology. To maintain that competitive edge, a
Finally, consider that banks also shy away from some of the most important
investments like licensed software, installation, training, maintenance and other "soft"
costs.
preventing it from allocating them to more important uses. And by paying cash in full
at the outset, a company can only depreciate and write off a small percentage of the
original cost each year. With something that changes as quickly as computer
technology, a company may be saddled with outdated high technology assets before
they're fully depreciated, potentially resulting in a book loss and a negative impact on
profits.
Leasing has many advantages. A new car every time may seem more fun than
and Turner, 1998) is put at the back of the transaction. If you decide to keep the car,
24
Car Lease Selection with respect to Customer Preferences in Islamabad
you must pay the residual value at the end. You are also charged sales tax and license
If you like the vehicle, you can refinance the residual, provided you have paid
your account well and that your account is in good standing. You also need to have
the ability to make payments if you elect to refinance the car at the end of the
lease. People who benefit from leasing drive a reasonable number of miles per year.
High-mileage drivers destroy the value of their vehicle faster than they can pay for it
on a lease program. These motorists are generally better off purchasing the car.
However, many people find they want a new car about 3 years after they
acquire one. These people are ideally suited to leasing. Also, the warranty on the car
will probably be close to the same length of time the lease is written for, giving you
peace of mind.
tax-deductible overhead expense. Therefore, you can deduct the lease payments
term debt or liability, it does not appear as debt on your financial statement, thus
making you more attractive to traditional lenders when you need them.
• 100 percent financing. With leasing, there is very little money down - perhaps
only the first and last month's payment are due at the time of the lease. Since a
lease does not require a down payment, it is equivalent to 100 percent financing.
25
Car Lease Selection with respect to Customer Preferences in Islamabad
That means that you will have more money to invest in revenue-generating
activities.
• Immediate write-off of the dollars spent. Leasing payments are treated as expenses
• Flexibility. As your business grows and your needs change, you can add or
upgrade at any point during the lease term through add-on or master leases. If you
anticipate growth, be sure to negotiate that option when you structure your lease
program. You also have the option to include installation, maintenance and other
services, if needed.
tailor a program to fit your or year-to-year cash flow needs. You are able to
customize a program to address your needs and requirements - cash flow, budget,
transaction structure, cyclical fluctuations, etc. Some leases allow you, for
example, to miss one or more payment without a penalty, an important feature for
seasonal businesses.
• Asset management. A lease provides the use of equipment for specific periods of
time at fixed payments. The lessor assumes and manages the risk of equipment
ownership. At the end of the lease, the lessor is responsible for the disposition of
the asset.
• Upgraded technology. If the nature of your industry demands that you have the
latest technology, a short-term operating lease can help you get the equipment and
keep your cash. Lease equipment that you expect to depreciate quickly. Your risk
of getting caught with obsolete equipment is lower because you can upgrade or
26
Car Lease Selection with respect to Customer Preferences in Islamabad
• Speed. Leasing can allow you to respond quickly to new opportunities with
within one or two days and you can have your equipment very quickly.
• Improved cash forecasting. By leasing equipment you know the amount and
number of lease payments over the life of the leasing period, so you can
• Flexible end of term options. There are several options for disposing of equipment
after the lease term ends including returning the equipment, renewing the lease or
• Tax benefits. Lessors often pass the tax benefits of ownership on to the lessee in
Advantages of Leasing
• You can drive a better car for less money each month
• At the end of the lease you can buy the car or just give it back, you decide.
• Lower repair costs (with a three-year lease, the factory warranty covers most
repairs)
• Warranties are for the span of time you have the care normally.
• You pay sales tax only on the portion of the car you finance
Disadvantages of Leasing
• Your mileage is limited to a set amount, typically 10,000 to15, 000 a year
• Lease contracts are confusing, so it makes it difficult to ensure you're getting a fair
deal
Advantages of Buying
• No mileage penalty
• Increased flexibility — you can sell the car whenever you want
Disadvantages of Buying:
• You're responsible for maintenance costs once the warranty expires (or have to
28
Car Lease Selection with respect to Customer Preferences in Islamabad
• Your money is tied up in a car, which depreciates, rather than an investment that
appreciates.
• Turn it in at lease end, pay any end-of-lease fees and charges, and "walk
away"(Flinn, 1990).
• Take advantage of any warranties, recalls, or other services that apply to the
vehicle.
• Excess mileage charges when you return the vehicle. Your lease agreement will
tell you how many miles you can drive before you must pay for extra miles and
• Excess wear and tear when you return the vehicle. The standards for excess wear,
such as for body damage or worn tires, are in your lease agreement.
• Substantial payments if you end the lease early. The earlier you end the lease, the
Leasing Terms:
Considering leasing one should be familiar with all the Leasing Terms such as,
Money Factor, Residual, Cap Cost, Acquisition Fee, Disposition Fee and Monthly
29
Car Lease Selection with respect to Customer Preferences in Islamabad
1. Money Factor:
Money factor is a number that determines the monthly finance cost of a lease.
In other words, it determines how much you pay for the "right" to lease this vehicle.
Money factors are constant within a lease company, but playing off one leasing firm
2. Residual Value:
Residual value is a predetermined value of the lease vehicle at the end of the
lease term. Again, this is a negotiable item, sometimes not within one leasing
Cap Cost is the price at which the vehicle would be sold if the deal were for
cash. A finance/leasing company purchases the car from the dealer for this price. It is
negotiable and should always be fully negotiated. It should be clearly stated on the
lease agreement and should be identical to what was negotiated before you mentioned
4. Acquisition Fee:
You would have heard the commercials saying "No Money Down just a
monthly payment of a given low amount" Of course they don't tell you that you'll owe
the first month and a security deposit when you sign the lease and you'll be obligated
Acquisition fee from time to time is folded into the cap cost of the vehicle, so
5. Disposition Fee:
When you pay a disposition fee, you're paying the dealer to take your lease car
away from you and "dispose" it off so they can take full advantage of the next
uninformed consumer who walks in. Negotiate this out of your contract if at all
30
Car Lease Selection with respect to Customer Preferences in Islamabad
possible. If not, at least be aware of this cost at lease signing. It's nothing more than a
common lease ploy. The state attorneys general have exposed a lot of the fraud in the
leasing end of the business, and have forced the manufacturers to list "out of pocket
costs at signing" in advertising. It is perhaps for this reason that a lot of leasing
contracts have eliminated the acquisition fee, and substituted this one, which doesn't
6. Depreciation fees:
The wear and tear you inflict on the car while it is in your possession.
Mathematically, it is the difference between the capitalized cost and the car's value at
7. Down stroke - Everything you have to pay the day you sign the lease, including
8. Gap Coverage - Extra insurance the leasing company provides to cover you if
your car is ever wrecked or stolen. The gap is the difference between how much it
would cost to replace your car and the amount you would have to pay the leasing
9. Invoice Price (Factory Invoice) - This is roughly what the dealer paid for the car.
Use this number as a benchmark to figure out how much you should pay.
10. Manufacturer's Suggested Retail Price (MSRP). This is the sticker price. Nobody
car's residual value and/or cut interest rates (and thus reduce your monthly
31
Car Lease Selection with respect to Customer Preferences in Islamabad
12. Walk Up - A classic sales strategy wherein a salesperson lures you with a low
base price and then "walks up" the dealership's profit by selling you a lot of
options.
Types of Leases:
big difference between the two types and. Federal regulations require that the type of
lease be clearly indicated on all lease contracts. (Brigham and Gapenski, 1997)
1. Closed-end leases
Sometimes called "walk-away" (Bragg, 1999) leases, are most common for
consumer leases today. This type of lease allows you to simply return your vehicle at
At the time you lease, the leasing company estimates the vehicle's lease-end residual
value and, if the vehicle is actually worth less than the residual when you turn it in,
the leasing company takes the hit, not you. On the other hand, if the vehicle is worth
more than the residual, and you have the option to purchase, you may want to buy it,
2. Open-end leases:
Open-end leases are used primarily for commercial business leasing. In this
case the customer, take all the risks. You are responsible for paying any difference
between the estimated lease-end value and the actual market value at the end of the
lease. This could amount to a significant sum of money if the market value of your
32
Car Lease Selection with respect to Customer Preferences in Islamabad
though in most non-business leases your encounter will be of this type, read your
Even if you hate math, you owe it to yourself to become intimately familiar
with the method of calculating and analyzing monthly lease payments. The ability to
understand and manipulate the numbers that make up your lease quote may be the
most powerful tool in your bargaining arsenal. After all, you will never know if you
have truly obtained the best deal possible if you know nothing about how the dealer
Whichever method of calculation you choose, become acquainted with the four basic
• Lease Term
These items must be disclosed to you prior to lease signing. The trick is to ask
for the disclosures well before you sit down to sign the lease. Bring the dealer’s
disclosure sheet home and crank through the numbers to determine whether the offer
proposed is satisfactory to you and whether he gave you all of the terms you thought
The residual value of a leased vehicle is the lessor's estimate of what the
vehicle will be worth at the end of your lease term. Sometimes referred to as the
lease-end value, the residual value is an important number to know for a couple of
reasons. Your monthly lease payment is based on the difference between the adjusted
33
Car Lease Selection with respect to Customer Preferences in Islamabad
capitalized cost and the residual value of the vehicle. For that reason, knowing your
residual value represents the minimum you should expect to pay if you elect to
exercise your purchase option at lease end in a closed end lease. In an open-end lease,
Residual values will vary depending upon the particular model you choose,
the lessor (i.e. bank, captive finance company or independent leasing company), the
amount of miles you anticipate driving, and particular promotions being offered on
that model. In all cases, the lessor sets the residual value. So, the best you can do is
shop among different lessors for the most competitive number. You can expect
leasing companies, and banks. One way to shop residuals is to simply quiz the
dealer’s finance manager to find out which lenders are offering aggressive residual
There are times when you might not wish to have a high residual value. If you
are planning to enter into an open-end lease, for example, you will be safer with a less
aggressive residual value. In an open-end lease, you are liable for the difference
between the predicted residual value and the actual amount received by the lessor on
the sale or auction of your vehicle at lease end. If the open-end residual value is
artificially inflated to reduce the monthly payments, the shark will show up at lease
end when the actual market value of the vehicle is lower and you owe the difference.
If you are seriously considering a lease-end purchase, you may also be a candidate for
a lower residual value because that is typically the amount you will be expected to
pay for the vehicle. Of course, you must balance that possible saving against higher
monthly payments. A low residual value also makes good sense if you are leasing a
34
Car Lease Selection with respect to Customer Preferences in Islamabad
vehicle for business purposes and you have the opportunity to purchase it for personal
use at lease end. Provided the vehicle is actually being used for business, the higher
monthly payments may be deducted as a business expense during the course of the
lease, leaving a reasonable purchase option amount for you at lease end. Unless you
fit into one of those categories, however, you will likely find yourself shopping for a
high residual value in order to obtain the lowest monthly payment. Manufacturers are
aware of this and often "push" the residual value in order to advertise and deliver
lower monthly payments (Neard, 1996). High residual values offered by captive
important as other aspects of leasing (Jack R. Nerad and Jack Neard, 1996). There are
essentially two methods of assessing sales tax in a lease transaction. The most popular
method is to assess tax on the payments due under the lease (Neard, 1996). The
second method imposes a tax on the entire capitalized cost of the vehicle, even though
In theory, calculating your tax under either of these methods should not be
difficult. Of course, in reality, this proves less than true. Each state has not only its
own general method of calculating sales tax, but also a list of taxable and nontaxable
taxation.
Most states use the “stream of payments” method to calculate sales tax under a
lease. To figure out your tax liability under this method, just multiply your monthly
payment by one plus the tax rate (Howell and Macmillan, 1998).
35
Car Lease Selection with respect to Customer Preferences in Islamabad
In addition to tax on the monthly payment, you must also pay tax on any cash down
payment made because this is effectively a “purchase down” (Howell and Macmillan,
1998) of the price of the vehicle and would not be captured in the monthly payment
calculation. In some states you must also pay tax on any trade-in equity, which
reduces your cap cost. Under the stream method you do pay tax on the rent charge
With the stream of payments method, you actually pay less tax than does
someone who leases the same vehicle in a state which taxes the full capitalized cost of
the vehicle assuming you do not purchase the vehicle at lease end. Essentially, you
Under the capitalized cost method of taxation, the lessee pays tax on the
capitalized cost of the vehicle. In cap cost states the total tax is often due at the
commencement of the lease, meaning the lessor must pay it and either collect it from
In addition to your total purchase price or cash down payment and monthly
lease payment, there are other taxable elements of your vehicle transaction. In some
states, you will be taxed on the equity in your trade-in vehicle. On the other hand,
there are several states that will not tax trade-ins provided that the parties agree to the
value of the vehicle being traded. Other typical lease items subject to taxation
• Acquisition Fees
• License Fees
36
Car Lease Selection with respect to Customer Preferences in Islamabad
• Termination Fees
• Disposition Fees
If you understand early termination going in, you are more likely to plan a
more sensible lease term and certainly less likely to be surprised if you change your
If you terminate early, at the very least you should expect to pay: (Bragg,
1999)
• the remaining depreciation due under the lease (without interest), and
Against these charges, you should receive credit for any amount by which the
actual or estimated wholesale value of the vehicle exceeds the residual value stated in
your contract.
The description above is useful for illustrating how early termination works
if the value of your vehicle at termination is equal to or greater than its predicted
residual value. It does not illustrate, however, the risk you bear on early termination
if the value of your vehicle has dipped below the estimated residual value.
37
Car Lease Selection with respect to Customer Preferences in Islamabad
• At the beginning of the lease, you may have to pay your first monthly payment; a
refundable security deposit or your last monthly payment; other fees for licenses,
• During the lease, you will have to pay your monthly payment; any additional taxes
not included in the payment such as sales, use, and personal property taxes;
insurance premiums; ongoing maintenance costs; and any fees for late payment.
You will also have to pay for safety and emissions inspections and any traffic
tickets. If you end your lease early, you may have to pay substantial early
termination charges.
• At the end of the lease, if you do not buy the vehicle, you may have to pay a
disposition fee and charges for excess miles and excess wear.
Also, be aware that "Lease rates" (Sutton, 2001) or "money factors" (Sutton,
2001) do not have standardized definitions and are not equivalent to an APR. Unlike
when you finance a car and the finance charge must be stated as an Annual
Percentage Rate (APR), there is no similar requirement for disclosing the cost of
leases.
Dealers will always try to focus you on the monthly payment. There's a simple
reason for this, if they can get you comfortable with a set, cheap-sounding number,
38
Car Lease Selection with respect to Customer Preferences in Islamabad
they can manipulate the other variables i.e., the price, the interest rate, the residual
value, or the term to boost their profit while keeping the payment where it is.
the legal nature of the ownership. What exactly do you own and what are the
associated rights and liabilities. You need to understand what residential leasehold is,
Car Buying Strategic Defense Initiatives are explained in three steps: (Sutton,
2001)
If you take a “deal” without doing the three distinct parts, then the lessor has
You should be able to hold your own when calculating leases against the
dealer's supercomputer. It lets the dealer handle the messy financing stuff for you. It is
the most simplistic approach, and it will get the financing arrangement job done in
short order. However, dealer-arranged financing is probably not in your best interest.
Dealerships make a great deal of their money on what is known as Back End business.
A portion of back end profit comes from arranging the financing for the vehicles that
customers have purchased. Dealer agreements with financing institutions are often
structured so that the higher interest rate a dealer can get you to accept, the more
money they make off the deal. This portion of a dealer's business is summed up in just
39
Car Lease Selection with respect to Customer Preferences in Islamabad
decide on one source. Negotiate the particulars down to the last detail, but don't
Like most shoppers, you want to lease the car of your choice for the lowest
possible price. Leasing is attractive because of low payments and the prospect of
The biggest mistake many customers make when leasing a car is to focus with
their dealer's encouragement on that seemingly low monthly finance charge to the
exclusion of all else. The monthly payment is, of course, crucial but before buying a
car you would need to know the price and interest rates. The monthly payment is built
the monthly payments, the residual value and the length of the lease. It's worth noting,
however, that a dealer does not have to disclose the interest rate. But having these
numbers is really just the beginning. To figure out whether you're getting a good deal,
you need to know how each of these figures compares in the open market.
Leasing a car is complicated. It's also more expensive than it used to be. Just a
few years ago, the best deals were heavily subsidized by the manufacturers, which
made leasing downright cheap. Sadly, this practice is far less common today, which
means that to get a good deal in the current environment you'll need to be savvier than
ever. You also need to be aggressive. For example, one way to knock down your out-
40
Car Lease Selection with respect to Customer Preferences in Islamabad
of-pocket costs is to demand that the dealer waive the upfront costs such as the
acquisition fee, security deposit and processing fee etc. Most people don't realize that
Pricing Data:
Once you know what type of car you're interested in, it's crucial to have a
rough understanding of your opponent's bottom line. After all, if you don't know how
low a car dealer can go, how are you going to know when to push for a better price?
Your first step should be to find the car's invoice price. Also known as the
factory invoice, this number is essentially what the dealer paid for the car. Your lease
will be based on "the capitalized cost," a price you negotiate somewhere between the
invoice price and the MSRP. The MSRP is the "manufacturer's suggested retail
price"(PanAmSat Reports first Quarter 2000 Financial Results, 2000). In some cases
you can get a dealer to accept only a few hundred dollars above the invoice.
Sometimes cash incentives from the manufacturer even make it possible for dealers to
Not all car dealers are out to get you. There are many, of course, who would
just like to help you find the car you need. But you can count on your dealer trying to
squeeze as much out of you as possible is the salesperson's job. And when it comes to
leasing, aggressive sales tactics all too often range dangerously close to abuse and
fraud. Most states have laws against unfair and deceptive sales practices to protect
against such things. But that doesn't mean they don't happen.
41
Car Lease Selection with respect to Customer Preferences in Islamabad
If you understand the process and pay attention to the numbers on the
disclosure statement you can avoid many dealer scams. But here are some watch outs:
The most important thing to be aware of is a dealer playing with your contract
numbers after the negotiation. This will not be as easy to do with the new required
disclosure statement, but it's up to you to keep an eye on the numbers. You may have
thought you'd negotiated a great price and interest rates, in addition to an affordable
monthly payment, only to find those numbers have changed when the final contract
was drafted. The monthly payment may look the same, but other numbers have been
rigged to swing the deal in the dealer's favor. The problem is, leasing is so confusing
A salesperson will sit you down in front of a blank piece of paper divided into
four quadrants. In each quadrant he'll fill in values for the price, the trade-in value, the
down payment and the monthly lease rate. The salesperson will then negotiate the
four factors separately, crossing out numbers and writing in new ones until the
customer is hopelessly confused. The problem is, each of these factors is used to build
from it. In the end, you think you've cut a great deal on the price and trade-in, when in
fact, all you've done is told the dealer what monthly payment you'll put up with. Pay
attention to the other numbers used in calculating the monthly payment — the
A common complaint heard into a car dealership fully intending to buy a car,
only to be switched at the last minute into a lease deal, sometimes without even
knowing it. The scam is that the dealer promises a lease payment that is the same or
42
Car Lease Selection with respect to Customer Preferences in Islamabad
somewhat lower than a monthly loan payment on the same car and the problem is
because a lessor is only paying for two or three year's use of the car, the monthly
Releases, 2002).
Some leasing customers lose substantial value on their trade-ins. The dealer is
now required to disclose the capitalized cost reduction used in calculating your
monthly payment. That includes credit for a rebate or trade-in and down payment.
Ask your dealer to break down the number for you so you can see how much you're
getting for your old car. Keep in mind that you will usually get a better price if you
separate the sale of your old car from the lease deal.
advertisement quoting an attractive lease rate and then try to get you into a more
expensive deal any way they can. Maybe the fine print on the deal has terms that
make it unattractive. Many dealers will claim they've already sold all the cars
described in the promotion offer and end up showing you a "slightly more expensive"
(Kay, 1997) model. This practice violates many states' laws against deceptive
advertising. Other times, the advertised car is a bare bones model onto which the
dealer tries to pack numerous options that inflate the monthly payment like a balloon.
Car dealers have always done this. They'll let pressure and anxiety build over
time to wear down a customer's resolve. After hours in a showroom, some customers
will cave in to high-pressure tactics just to be "allowed" to leave (Flinn, 1990). Some
dealers will even pretend to "lose"(Raisglid and Turner, 1998) a customer's car keys
43
Car Lease Selection with respect to Customer Preferences in Islamabad
obtained while the customer was test-driving a new car just to keep the target in the
If you purchase or lease a car and then discover that it has defects that
substantially affect its safety, use or value, state law may help you gain satisfaction
from the vehicle's manufacturer. While the law cannot help everyone with a "lemon"
(a problem car) (Akerlof, 1970), and some people may have to hire an attorney to get
their cases resolved, the law does create important rights for car buyers. This brochure
provides basic information about how the law helps people get their cars repaired or
The Warranty Act also applies to used vehicles that are still under a
manufacturer's new car warranty. When a used car covered by a new car warranty is
sold, any remaining time left in the warranty protects the car's new owner. The law
covers "certified" (Akerlof, 1970) used cars (autos with quality guarantees sold by
are bought back by manufacturers or dealers and then resold) and autos covered by
44
Car Lease Selection with respect to Customer Preferences in Islamabad
Any defect or condition that substantially impairs the use, value or safety of
your vehicle under warranty, and that you have tried to have repaired by an authorized
dealer, entitles you to seek a refund or replacement under the Lemon Law, even if the
manufacturer continues to say it cannot find a problem. The law recognizes that if you
purchased a new or quality guaranteed vehicle, you have the right to rely on its
guilty, you can presume that a new vehicle under warranty is a lemon if you can show
that there have been numerous unsuccessful attempts to repair it, or that the problem
cannot be repaired.
Concluding Advice:
The customer should check out different leasing options before joining the
• The agreed-upon value of the vehicle (A lower value can reduce your monthly
payment)
• Whether your lease includes "gap" (Sutton, 2001) coverage, which protects you if
45
Car Lease Selection with respect to Customer Preferences in Islamabad
• Look for sub vented lease deals. Leases that are subsidized by manufacturers are
often good bargains. High residual values are usually the hallmarks of sub vented
deals. Often, high residuals are accompanied by reduced money factors, making
• Get market money factors and residuals to compare to the dealer’s offers.
Remember, the dealer will offer you one of many programs provided to him by
major lenders and captive finance companies. Arm yourself with information
about the market before you begin negotiating so you’ll know whether the dealer’s
• Don’t play games if you intend to lease -- tell the dealer you are interested in
leasing and open the negotiations with the cap cost. Use pricing guides to help you
• Add gap insurance to your lease if it is not already provided. That way, if your
vehicle is stolen or totaled before the end of your lease, you will not be stuck
paying the early termination balance (something your ordinary insurance will not
cover). The cost of gap protection should be no more than a couple hundred
dollars and often it is included in the lease rate. Read your gap insurance clause
carefully. Some contracts require your insurance company to “fully honor” your
claim before the lessor becomes liable for the “gap” (Sutton, 2001) in coverage.
You should ask your lessor what this means exactly so you don’t get left holding
• Generally, avoid making a down payment on a lease. One of the primary benefits
of a lease is that it allows you to avoid making a significant, up-front cash outlay.
If you have better uses for the money or you can invest the money and earn more
46
Car Lease Selection with respect to Customer Preferences in Islamabad
than what you save in rent charges by paying the money to the lessor, the money
• If you are trading in a vehicle, make sure you are getting the proper credit for your
trade-in. Since leases are based on the difference between the negotiated purchase
price and the residual value (a much smaller number than the purchase price),
reductions in the cap cost from trade-in's with equity result in magnified savings
• Know the basic elements of your lease: Cap cost, rent charge or money factor,
• Consumers should generally avoid open-end leases. If you do sign one, it means
that you, and not the lessor, will be liable for the difference between the estimated
residual value and the actual value of the vehicle at lease end. Although
monthly payments under the lease is unreasonable, if the difference is due to your
excessive wear or use of the vehicle, you may be liable for an amount that exceeds
the three-payment limit. Some lessors would contend that open-end leases are just
as safe for consumers as closed-end leases because you are effectively liable for
depreciation on a closed-end lease in the form of excess mileage and wear. While
this may be true, an open-end lease cannot cover you in the event of severe market
• Do not be pressured into signing a lease or purchase agreement on your first visit.
Shop around and run the numbers. You will be amazed at the money you'll save.
Use pricing guides and pricing services to help you uncover invoice prices, rebate
programs and other dealer incentives which can translate into lower prices for
you.
47
Car Lease Selection with respect to Customer Preferences in Islamabad
• If you expect to pile on the miles, be sure to find out how much it costs to “buy”
(MacPherson, 2001) extra miles up front. You’ll be surprised at how cheaply you
can buy extra miles. In some cases you pay less up front for extra miles than the
per mile depreciation actually caused by your driving those extra miles. In those
• Know your lease-end charges like disposition and purchase option fees.
• Know your early termination options. When can you terminate (if at all) and how
• Generally avoid leasing a vehicle for a term that exceeds the manufacturer's
warranty unless you are prepared to pay for repairs to a vehicle you do not own. In
• Know the minimum insurance coverage required by the lease and shop the
premiums.
• Leases are better on vehicles that are predicted to hold their value over the term of
the lease. Remember, the higher the residual value, the lower the monthly
payment. Generally, new models have higher predicted residual values at the
beginning of their design cycle. Consult ALG residual values guide to get an idea
the owner’s manual and have it cleaned and waxed regularly (even if you have to
pay someone to do it!). Your vehicle will be inspected after you return it and you
will be liable for any damage to the vehicle beyond ordinary wear and tear. If you
are worried about being tagged with an excess wear charge, take you vehicle to an
appraiser or a repair shop and find out how much it will cost to fix the damage.
You are usually better off making the repairs yourself rather than having the lessor
48
Car Lease Selection with respect to Customer Preferences in Islamabad
find the damage and charge you. Whatever you do, make sure your vehicle is
clean when you turn it in. The lessor’s appraisers are human, and a clean, freshly
waxed vehicle gives the impression that you were kind to it during the lease term,
which enhances the likelihood that the appraiser will "overlook" minor items that
the lessor might otherwise claim as damage beyond ordinary wear and tear. In the
end, your best bet is to treat your car like it belongs to a friend.
49
Car Lease Selection with respect to Customer Preferences in Islamabad
CHAPTER 3
50
Car Lease Selection with respect to Customer Preferences in Islamabad
3.1
TYPE OF STUDY
51
Car Lease Selection with respect to Customer Preferences in Islamabad
3. METHODOLOGY OF STUDY
describe the characteristics of the variables of interest in this situation. The study is
undertaken to find out the customer’s preferences of car leasing and what factors
affect their choice in making the purchase decision. The goal of the study is to
individual’s perspective.
Descriptive study that presents the data in a meaningful form thus help to
about aspects in a given situation and to offer ideas for further probing to make
52
Car Lease Selection with respect to Customer Preferences in Islamabad
3.2
SOURCE OF
INFORMATION
53
Car Lease Selection with respect to Customer Preferences in Islamabad
The source of information included filling out questionnaires to find out the
views of customers. It also included formal/ written information from websites and
the forms as well as assistance from our professor and any concerned persons. Both
field and desk research will be conducted to compile this study. Sources of desk
research include:
• Magazines
• Books
• The Internet
54
Car Lease Selection with respect to Customer Preferences in Islamabad
3.3
RESPONDENTS
OF THE STUDY
55
Car Lease Selection with respect to Customer Preferences in Islamabad
The respondents of the study were the present or past customers i.e. anyone
who has an experience of leasing a car. Distinctions were made among the population
on the basis of their income group and their purchasing power to find out what
56
Car Lease Selection with respect to Customer Preferences in Islamabad
3.4
SAMPLING
PROCEDURE
57
Car Lease Selection with respect to Customer Preferences in Islamabad
Despite the errors associated with sampling, samples had to be created from a
colossal population of respondents. The samples were taken from the population on
the basis of simple random sampling. Needless to say, even if the intent of this study
were to examine every element of the population; time, cost and human resource
constraints had made it very hard to collect data, or test, or examine every element.
Sample Size:
The sample size was randomly taken from the population available with ease.
The sample size was approximately of 100 respondents. Out of the 100 respondents
50 questionnaires were filled by lower income group and 50 by a higher income group
of people.
Survey Questions:
58
Car Lease Selection with respect to Customer Preferences in Islamabad
3.5
TREATMENT OF
THE DATA
59
Car Lease Selection with respect to Customer Preferences in Islamabad
questionnaire contains 17 questions. The language has been kept formal and
business-like. However, jargon has been purposely avoided to ease the filling-out
60
Car Lease Selection with respect to Customer Preferences in Islamabad
3.6
STATISTICAL
TOOLS
61
Car Lease Selection with respect to Customer Preferences in Islamabad
have used Nominal Scales to compute numbers and percentages of respondents for
frequency distribution in order to qualitatively distinguish the groups. This scale will
determine the percentage of respondents that have different variables involved and
any other statistical tools aimed at collecting information and profile data of
respondents like their income group or their purchasing power, and the perception of
the respondents about the purchasing power that influence their decision making in
purchasing the kind of lease that best suits them. Use of leasing as a tool for
Overall, descriptive statistics tool has been applied to interpret the data that
will be collected through interviews and questionnaires. The questionnaires are almost
purely descriptive, and the responses have been incorporated into the analyses.
62
Car Lease Selection with respect to Customer Preferences in Islamabad
CHAPTER 4
63
Car Lease Selection with respect to Customer Preferences in Islamabad
4.1
DATA FINDING
64
Car Lease Selection with respect to Customer Preferences in Islamabad
65
Car Lease Selection with respect to Customer Preferences in Islamabad
4.2
PIE CHARTS
66
Car Lease Selection with respect to Customer Preferences in Islamabad
None of the Leasing customers lie in the Below 20,000 income group. The income
group from 20,000-60,000 is classified as a lower and above 60,000 as a higher
income group.
A total sample of 100 was chosen out of which 50 were lower and 50 were higher
income group respondents. We observed the responses of different income group to
see how it affects the customer purchase behavior with respect to their purchase
power.
Hight Incom e
Gp.
In the lower income group the respondents are willing to spend between 5,000 to
10,000. While in the higher income group consists of respondents willing to spend
between above 10,000.
67
Car Lease Selection with respect to Customer Preferences in Islamabad
44%
Ye s Yes
No No
66%
88%
Monthly payments has a more importance in a lower income group due to their
preference of lower monthly payments that suits their income. While in the higher
income group it is given some weightage but not as much as the lower income group
respondents did.
Ye s Yes
No No
76%
88%
Projected value has a relatively higher weightage in higher income group, but even in
the lower income group, 76% respondents considered it importance which a huge
percentage of respondents who give considerable importance to the variable.
68
Car Lease Selection with respect to Customer Preferences in Islamabad
32%
Yes Yes
No No
68%
88%
Higher income group give a lot of importance to service as compared to the lower
income group people. They may be willing to pay more for services. While a lower
income group prefers paying a lower amount, even if they do not get better service,
32% of the respondents, however, do give importance to the service factor.
32%
68%
Lease tenure does not seem to have too much importance. 48% of lower income and
30% of higher income group do find it important, but the variable does not seem
significantly important.
69
Car Lease Selection with respect to Customer Preferences in Islamabad
Yes Yes
No No
80% 80%
Interest rate is important for both income groups. 80% respondents of both income
groups consider it an important variable.
24%
28%
Yes Yes
No No
72%
76%
Importance for depreciation of a new car does not seem very important for low
income group respondents, while 70% of the higher income group respondents
marked it important.
24% 20%
Yes Yes
No No
76% 80%
70
Car Lease Selection with respect to Customer Preferences in Islamabad
Importance for depreciation of old car is not considered very important by most
respondents in either of the income group.
Yes Yes
No No
100% 100%
Purchase power does not influence the decision for capital or operating lease. It is an
option that anyone can avail and is not influenced by the purchase power or income
group.
Yes Yes
No No
100% 100%
All respondents have a preference for capital lease since they would prefer keeping
the vehicle at the end of the lease period.
71
Car Lease Selection with respect to Customer Preferences in Islamabad
Yes Yes
No No
100% 100%
None of the respondents wanted to let go the option for keeping the vehicle at the end
of the lease.
40%
Yes Yes
No No
60%
80%
80%
72
Car Lease Selection with respect to Customer Preferences in Islamabad
4.2.14. Disposal Fee’s influence with respect to Early Termination option in future
Although the higher income group has also given weightage to the above variable,
majority of the lower income group find the disposal fees important with respect to
the early termination option in future.
4.2.15. Past Due Payments influence with respect to Early Termination option in
future
32%
40%
Yes Yes
No No
60%
68%
Very few respondents in both the income groups found the past due payments
influence important with respect to the Early Termination option in future.
73
Car Lease Selection with respect to Customer Preferences in Islamabad
32%
36%
Yes Yes
No No
64%
68%
Remaining depreciation does not seem to be a very important variable, although 32%
of the lower income and 36% of the higher income group respondents rate it
important, the variable does not seem to have significant importance in either group.
The percentage is almost the same for both income groups.
Most respondents of both income groups consider great influence of the early
termination penalty’s on the early termination option in future.
74
Car Lease Selection with respect to Customer Preferences in Islamabad
CHAPTER 5
75
Car Lease Selection with respect to Customer Preferences in Islamabad
5.1
CONCLUSION
76
Car Lease Selection with respect to Customer Preferences in Islamabad
5.1 CONCLUSION
The study was conducted mainly to find out the customer preferences,
i.e., what variables they give more importance to and the importance of those
Two groups of high and lower income groups were selected. The following
• Monthly Payments
• Projected Value
• Interest Rate
For the Higher Income group respondents, more importance was given to the
following variables:
• Projected Value
• Service Factor
• Interest Rate
group respondents. But the higher income group respondents give more
new car.
an influence. All respondents prefer capital lease over the operating i.e., they
would all prefer to keep the vehicle at the end of the lease period by paying a
77
Car Lease Selection with respect to Customer Preferences in Islamabad
and condition an importance factor. While 60% of the higher income group
Most of the higher income group respondents find the risk of buying
both income groups ranked the factors in the same manner given below:
2. Disposal Fee
4. Remaining Depreciation
The purpose is to find out the importance of variable and to review the
literature of experts. This will help the leasing customers evaluate themselves
in a better way, and focus on the factors they have not given importance to.
78
Car Lease Selection with respect to Customer Preferences in Islamabad
5.2
RECOMMENDATIONS
79
Car Lease Selection with respect to Customer Preferences in Islamabad
5.2 RECOMMENDATIONS
Based on the findings from the respondents the study concludes and
recommends the high and low income group customers of car leasing on what
Monthly Payments, Projected Value and Interest Rate for their car leasing. They are
also suggested to choose Capital Lease. The lower income group customers should
also get a clear understanding of the terms and conditions of the car before they lease
the vehicle. With respect to the Early Termination Option, they customers are
recommended to focus on the Disposal Fee and the Early Termination Penalty that
importance to the Projected Value, Service Factor and the Interest Rate factor. They
should also give importance to the Depreciation of a new car. The higher income
group customers are recommended for capital lease and to clearly understand the
terms and conditions before they lease the vehicle. They should also give measurable
importance to the risk (for an underdeveloped country) of buying second hand cars
before they lease a second hand vehicle. With respect to the Early Termination Option
the higher income group customers are recommended to focus more on the Early
Termination Penalty.
The leasing firms are also recommended to give measurable importance to the
80
Car Lease Selection with respect to Customer Preferences in Islamabad
BIBLIOGRAPHY
81
Car Lease Selection with respect to Customer Preferences in Islamabad
BIBLIOGRAPHY
Report by an Organization
1. PanAmSat Reports first Quarter 2000 Financial Results, Greenwich, Conn., April
Journal
pp. 488-500
2. Current and Archived Press Releases, XTRA Lease Selects Pivotal for Sales and
Referred Books
Financial Statement Analysis by Lepold A. Bernstein and John J. Wild, Sixth Edition,
2000
1. Don't Get Taken Every Time - The Ultimate Guide to Buying or Leasing a Car in
2. Car Buyer's and Leaser's Negotiating Bible-2nd ed, William James Bragg,
January 1999
3. What Car Dealers Won't Tell You - The Insider's Guide to Buying and Leasing a
82
Car Lease Selection with respect to Customer Preferences in Islamabad
4. Car Shopping Made Easy - Buying or Leasing, New or Used: How to Get the Car
5. The Complete Idiot's Guide to Buying or Leasing a Car, Jack R. Nerad, Jack
7. The No-Nonsense Credit Manual - How to Repair Your Credit Profile, Manage
Personal Debts and Get the Right Home Loan or Car Lease-1st ed, Shaun Aghili,
February 1998
8. Buying and Leasing Cars on the Internet-1st ed., Ron Raisglid, Cheri Turner,
November 1998
9. Don't Get Taken Every Time: The Insider's Guide to Buying or Leasing Your
10. How to Save Big Money when You Lease a Car, Michael Flinn, April 1990
11. The Unofficial Guide to Buying or Leasing a Car, Donna Howell, Macmillan,
July 1998
12. Car Shopping Made Easy - Buying or Leasing, New or Used-1st ed, Jerry
83
Car Lease Selection with respect to Customer Preferences in Islamabad
13. Buying and Leasing a Car - All Steps You Need to Know to Get the Car You
14. Don't Get Taken Every Time - The Insider's Guide to Buying or Leasing Your
15. Lease Your Car for Less: A Consumer's Guide to Vehicle Leasing-3rd ed, Richard
84
Car Lease Selection with respect to Customer Preferences in Islamabad
APPENDIX
85
Car Lease Selection with respect to Customer Preferences in Islamabad
QUESTIONNAIRE
86