BUSSINESS INFORMATION

Ideally, a dealership should help you find the right vehicle at a fair price. But some dealers place more emphasis on their profit margins than on satisfying their customers. When buying a car, keep your interests front and center--and avoid common pitfalls that can cost you extra money--by following these tips:

1. Do your homework.
Many dealerships prey on the unprepared. Going into a showroom “cold”--without having gathered key facts and preliminary pricing figures--gives the salesperson too much control over the buying process.


Thoroughly research your choices. Read a variety of reviews. Check the reliability, safety, fuel economy, and pricing of any models you're considering. And don't wait until the day you plan to buy to test drive the vehicles.



If you have a trade-in, know its approximate worth. That will depend on the vehicle's age, condition, mileage, and equipment, as well as where you trade it in. You can get an idea of your trade-in's value at auto-pricing Web sites or with CR's Used Car Price Reports. Focus on your car's wholesale, or “trade-in,” price; the retail price is what you'd expect to get if you were selling it yourself.



2. Don't assume that the sticker price is the purchase price.
To get the lowest price, go in with a starting price that's based not on the sticker price but on how much the dealer paid for the vehicle. The dealer invoice price is commonly available on Web sites and in pricing guides. But the invoice price isn't necessarily what the dealer paid. There are often behind-the-scenes bonuses, such as dealer incentives and holdbacks, that give the dealer more profit margin.



You can find sales-incentive information at some auto-pricing Web sites, or in CR' New Car Price Reports or New Car Buying Kit. These CR services include the CR Wholesale Price, which factors in the dealer invoice, holdback, and any incentives or rebates to give you a close approximation of the dealer's real cost. A reasonable price to start negotiations is either 4 to 8 percent over what the dealer paid or the CR Wholesale Price, depending on the demand for the model.



You can also check the quotes at auto-buying Web sites such as the ones listed below. The services are free, and you aren't under any obligation to buy. Keep in mind, however, that you can often get a lower price through effective negotiation at a dealership.

3. Negotiate one thing at one time.
Salespeople like to mix financing, leasing, and trade-in negotiations together, often asking you to negotiate around a monthly payment figure. This tactic gives the dealer more latitude to offer you a favorable figure in one area while inflating figures in another.

Make clear that you want the lowest possible markup over your starting price. Add that you intend to visit other dealerships selling the same vehicle and will buy from the dealer with the best price.

Only after you've settled on the price should you discuss financing, leasing, or a trade-in, as necessary. Negotiate each item individually. Remember, you're in charge and can leave at any time. Heading for the door can sometimes jump-start a slow-moving negotiation or bring a lower offer.

4. Arrange financing in advance.
Compare interest rates at several banks, credit unions, and loan organizations before checking the dealer's rates. If preapproved for a loan, you can keep financial arrangements out of the negotiations. Automakers may offer attractive financing terms, but make sure you qualify for them. Otherwise, the salesperson may try to sign you up for a higher rate than you could get elsewhere.

5. Don't pay for extras you don't need.
Dealers often try to sell you extras such as rustproofing, fabric protection, and paint protectant, or push etching your Vehicle Identification Number on windows to deter thieves.

Don't accept those unnecessary services and fees. If the items are on the bill of sale, put a line through them. Vehicle bodies are already coated to protect against rust. And CR reliability surveys show that rust is not a major problem with modern cars. You can treat upholstery and apply paint protectant yourself with good off-the-shelf products. Source: Yahoo.com

Indian vehicle manufacturer Tata Motors has reported an 11% rise in total vehicle sales during April.

Tata sold a total of 40,486 vehicles (including exports) during the month of April 2007, a growth of 11 % over the 36,574 vehicles sold in April last year. The company said vehicle sales in the domestic market were impacted, in varying degrees between the commercial and passenger vehicles segments, due to the high interest rate regime affecting retails
The company's commercial vehicle sales in its domestic market were down at 19,607 during April, compared to the 19,674 vehicles sold in April last year. The sales of M&HCV products, which witnessed shortfalls in some critical components, stood at 10,392 units, a decline of 14% over April 2006. LCV sales grew by 22% over April 2006, reaching 9,215 units.

Tata said its passenger vehicles business reported a total sale of 16,842 vehicles in the domestic market in April 2007, an increase of 26% over April 2006. The Indigo family registered sales of 2,632 units, an increase of 2%. The Sumo and Safari accounted for sales of 3,340 units, an increase of 49% over April last year. Safari sales at 1474 units grew by 269%.

The company's sales from exports were 4,037 vehicles in April 2007 as compared to 3,572 vehicles in April 2006, an increase of 13%, driven mainly by commercial vehicles

Honda Motor Company, Japan's second largest auto maker, will recall 298,231 cars in Japan to repair a fault in the fuel pump relay that could stop the engine.
Honda said that 13 of its models are affected, including its Accord and Civic cars manufactured between April and October 2005. The defect may also stop the engine from restarting.


Honda added that no accidents or injuries had been reported to the company as a result of the default. The Japanese company also said it was recalling over 96,000 Vamos minivans manufactured between January 2000 and March 2007, due to a fault in the oil feed pipe which could leak oil and ultimately cause fires. Honda said two fires have been reported regarding this fault.

Nissan Europe has reported that it sold a total of 32,468 vehicles in February 2007, a decrease of 4% compared to the same month last year.
In the year to date, Nissan has sold 61,874 vehicles in Europe, a 5.3% drop in comparison to the same period a year ago.
Total industry volume in February was down 2.8% in Western Europe, on last year's figures, particularly in its markets in Spain, Portugal and Germany (down 14% in comparison to last year).

Despite the disappointing results, however, the Russian and UK markets performed well, as did the Eastern European and Nordic regions, and the introduction of the new Qashqai model has appeared promising, according to the Japanese car maker.
In the Russia, Ukraine and Kazakhstan region, Nissan sold 6,644 units in February, registering an increase of 80% over the previous year, and has sold 11,699 units in the year to date in these countries, up 88.8% on the comparable period.
In the UK, Nissan sold 2,235 units in February, an increase of 3.7% compared to last year, while in the year to date, it has sold 6,486 units, representing a 16.0% drop.