Why Do Used Acura Cars Not Retain Their Value?

[StDonovan]

Used Acura cars do not retain their value primarily due to brand influence and market share. Here are the detailed reasons: 1. Brand Influence: Acura primarily targets the American market, where its sales can rival those of Lexus. However, Acura officially entered the Chinese market only in 2005, a full 10 years later than Lexus. As a result, Acura lacks the deep 'popular foundation' in terms of brand influence. 2. Market Share: Market share also significantly impacts used car prices—higher market share usually leads to better value retention (with some exceptions). Acura's annual sales in China can only be described as dismal, often not even matching Lexus's quarterly sales. With such a low market share, Acura is considered a niche brand. This niche status leads to fewer buyers, which in turn keeps the market share low, resulting in lower used car prices. Thus, Acura is caught in a vicious cycle.