Research On The Value Of Used Cars Under The Circumtance Judicial Auction

With the rapid economic growth,China was already among the highest in production and sales volume as the prosperous and flourishing car market in recent years,and the total transactions amount of second-hand car have exceeded the total transaction volume of new cars.The fact is that as one of the channels of circulation of the second-hand car,the status of Judicial auction can’t be ignored.The dealt second-hand car accounts for 32,508 in the judicial auction in Taobao between 10th October 2012 and 7th November 2016,with an average of over 20 cars been successfully auctioned every day.Besides,there were 76 are on the auction on 7th November 2016 and 652 ones to be continued the day after.First,from the three aspects such as utility factors,cost factors,as well as trading conditions factors,this paper classifies and analyzes the influence factors of the value of second-hand car under the condition of judicial auction(including environmental standards,mileage,software and hardware facilities,illegal and accident conditions,vehicle use time,market value of license,duration of auction,number of bidders,starting price of auction,cash deposit,bid increment,the number of auction,registration number,the number of set reminders,and the price of new car).Then,the paper selected 49 Audi brand second-hand car case from December 2015 to November 2016 from Taobao auction platform which has been traded as research sample.Next,the paper constructs the comparable indicators of the factors influencing the value of second-hand under the condition of auction by using the factor analysis,the factor analysis of five factors method is comparable to the price index as independent variables,After that,The least squares regression analysis is used to obtain the correction coefficient of the influence factor of the value of second-hand car under the judicial auction,and construct the evaluation model of the value of second-hand car under judicial auction by regarding the value of second-hand car under the condition of judicial auction as the dependent variable,and 5 comparable indexes as independent variables.Finally,this paper also selected a specific case to test the accuracy of the judicial auction model,the final results showed that the error is 12.26%which is in a reasonable range,so the model is reliable.This study provides a new method for evaluating the value of used cars under the circumstance of judicial auction,and has strong practical significance.But at the same time,there are some limitations,for example,the sample in this paper is small due to the limitation of data collection methods.Regarding given the sample size will affect the reliability of research results,this paper suggests that scholars can make the research results more reliable by using advanced data acquisition technology to expand the size of sample in the future.