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IntelliChoice Value Rating
The chart above shows the purchase price versus ownership cost for each car from a specific vehicle class. The cars with better than average ownership cost/purchase price correlations are the best values, and these best value cars are represented by the dots below the curve. (i.e. the cars that have a lower ownership cost compared to its purchase price.) Those cars, which are worse than average or poor values, appear above the curve.
One way to view the graph is to draw a vertical line through any purchase price. You may see several dots that fall on this line - each of which is a car with a similar purchase price. However, notice the difference in ownership costs of each car represented by the vertical position of the dot. Two cars with the same purchase price can have thousands of dollars difference in ownership costs. This is what separates "good value" cars from "poor value" cars.
What is a good car value?
A "good car value" is one whose cost to own and operate is less than expected. The lower the cost to own and operate a car compared to what is expected, the better the value of that car.
But how do we know a car's "expected cost"?
For each car in the class, IntelliChoice plots the car's purchase price against the total five-year cost to own and operate it as determined by IntelliChoice research. Each dot on the above chart represents a specific car. Generally, we find that as the purchase price of the car increases, the cost to own and operate that car increases. This is why the dots on the graph tend to rise upward and to the right. This phenomenon also makes intuitive sense - as the purchase price rises, financing costs tend to rise, as do insurance, depreciation, taxes, and most other car ownership costs.
This is an important concept. It's normal for car ownership costs to rise as purchase price rises. Therefore, we can't just establish one "average" ownership cost number for each class, since cars in the class have different purchase prices. (This is why the "Relative" shown on each chart is different for cars in the same car class.)
Using statistical techniques, IntelliChoice "connects the dots" to form a curve that defines, for this car class, the relationship between the car's purchase price and car's ownership costs. This curve is our "expected cost" curve. The curve defines, for any car in the class, the five-year ownership cost that we would expect to see at each possible purchase price. If every car in the class were an average value, then all the dots would fall exactly on the curve. However, it's rare that any dot is exactly on the curve. Some dots are a little higher or lower, and some are a lot higher or lower. The dots that are a little lower are better than average car values, while the dots that are a lot lower are excellent car values (A dot that is a lot lower than the curve has ownership costs much lower than expected for a car of its purchase price). Conversely, a dot a little higher than the curve is a poorer than average car value, while a dot that is much higher than the curve is a poor car value.
Value is a relative term, not an absolute term. It is performing better than the logical expectation.
So is a Mercedes-Benz E320 expensive to own and operate? Certainly in an absolute sense. Most other cars cost less. But, when its cost to own and operate is plotted against cars with comparable invoice prices, the E320 costs less. So the E320 is not expensive to own and operate - it is a good car value. The Mercedes does not have low ownership costs, but it has low ownership costs for its invoice price.
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Jeep Grand Cherokee Laredo Sport Utility Recalls
| Recall Date: |
FEB 06, 2008 |
| Component: |
VISIBILITY:WINDSHIELD WIPER/WASHER |
| Model Affected: |
GRAND CHEROKEE |
| Units Affected: |
1338
Recall Details
|
Recall Date:
FEB 06, 2008
Model Affected:
2008 JEEP GRAND CHEROKEE
Summary:
CHRYSLER IS RECALLING 1,338 MY 2008 JEEP GRAND CHEROKEE AND COMMANDER VEHICLES. THE FRONT CONTROL MODULE MAY HAVE BEEN INCORRECTLY MANUFACTURED.
Consequence:
THIS COULD CAUSE THE ENGINE TO STALL WHILE DRIVING OR NOT TO START AND/OR CAUSE THE WINDSHIELD WIPERS TO BECOME INOPERATIVE. ENGINE STALLING OR INOPERATIVE WIPERS COULD CAUSE A CRASH WITHOUT WARNING.
Remedy:
DEALERS WILL INSPECT THE MODULE AND REPLACE IT IF NECESSARY. THE RECALL BEGAN ON FEBRUARY 18, 2008. OWNERS MAY CONTACT CHRYSLER AT 1-800-853-1403.
Units Affected:
1338
Notes:
CHRYSLER LLC. H03
| Recall Date: |
FEB 06, 2008 |
| Component: |
ELECTRICAL SYSTEM |
| Model Affected: |
GRAND CHEROKEE |
| Units Affected: |
1338
Recall Details
|
Recall Date:
FEB 06, 2008
Model Affected:
2008 JEEP GRAND CHEROKEE
Summary:
CHRYSLER IS RECALLING 1,338 MY 2008 JEEP GRAND CHEROKEE AND COMMANDER VEHICLES. THE FRONT CONTROL MODULE MAY HAVE BEEN INCORRECTLY MANUFACTURED.
Consequence:
THIS COULD CAUSE THE ENGINE TO STALL WHILE DRIVING OR NOT TO START AND/OR CAUSE THE WINDSHIELD WIPERS TO BECOME INOPERATIVE. ENGINE STALLING OR INOPERATIVE WIPERS COULD CAUSE A CRASH WITHOUT WARNING.
Remedy:
DEALERS WILL INSPECT THE MODULE AND REPLACE IT IF NECESSARY. THE RECALL BEGAN ON FEBRUARY 18, 2008. OWNERS MAY CONTACT CHRYSLER AT 1-800-853-1403.
Units Affected:
1338
Notes:
CHRYSLER LLC. H03
| Recall Date: |
SEP 12, 2007 |
| Component: |
SERVICE BRAKES, HYDRAULIC:FOUNDATION COMPONENTS:DISC:CALIPER |
| Model Affected: |
GRAND CHEROKEE |
| Units Affected: |
28755
Recall Details
|
Recall Date:
SEP 12, 2007
Model Affected:
2008 JEEP GRAND CHEROKEE
Summary:
ON CERTAIN SPORT UTILITY VEHICLES, FRONT BRAKE CALIPERS IN A CERTAIN LOT MAY HAVE BEEN MANUFACTURED FROM GRAY IRON INSTEAD OF DUCTILE IRON AS DESIGNED AND COULD FRACTURE WITHOUT WARNING.
Consequence:
THIS WOULD INCREASE THE VEHICLE'S STOPPING DISTANCE AND COULD CAUSE A CRASH.
Remedy:
DEALERS WILL INSPECT THE FRONT BRAKE CALIPERS TO SEE IF THEY FALL INTO THIS LOT AND, IF SO, WILL REPLACE THEM FREE OF CHARGE. THE RECALL BEGAN ON OCTOBER 22, 2007. OWNERS MAY CONTACT DAIMLERCHRYSLER AT 1-800-853-1403.
Units Affected:
28755
Notes:
DAIMLERCHRYSLER CORPORATION G35
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