a friend called today and we were BSing cars and he mentioned how some neighbors gave in to the toyota tide. normally, he said, they buy a lightly used domestic, on payments and keep it a few and trade it. now, this time, they were enticed by toyota nation and a 179/mo lease on the camry. basic 4 cylinder automatic. who knows what the down payment was, and its very few miles....but i wonder how much of this cheap lease dumping is keeping toyota's numbers up. that and fleets. and then the cars hit auction after a couple years. in any case, toyota must be able to prop up those lease deals with good residuals that are no doubt a factor of their reputation. why buy a compact on a loan when a large camry can be had for so much less? but at what point is it more a factor of toyota buying market share with cheap leases? if this is their game, its game over for the US manufacturers. Toyota and such will just keep cutting costs out of their product but as long as its good enough for the segment and the 179 lease is there, that's how they will get the sale. I do not see GM having the ability to go toe to toe in this area of car sales.
this is how the asian brands will take over the mass market.
I've seen GM start to be aggressive with Malibu, G6, and Aura lease deals now but they still don't match this stuff toyota has going on. I don't think GM can compete in these offers.