Abstract

Author:
Hongtao Chen, Peishi Wu

Doi: 10.26480/mbmj.01.2024.01.05

This is an open access article distributed under the Creative Commons Attribution License CC BY 4.0, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

With the sustained development of China’s used car market, an intricate analysis and comprehension of this sector become paramount. This investigation incorporates both PEST (Political, Economic, Social, and Technological) analysis and Gaussian Process Regression (GPR) predictive models to discern the various determinants of the Chinese used car market and to precisely forecast the prices of used vehicles. Initially, the PEST analysis delineates how an amalgamation of macro-environmental factors, including policy shifts, economic trends, societal inclinations, and technological advancements, coalesces to influence and mould the used car landscape. Subsequently, the GPR predictive framework furnishes a data-driven approach to pricing, with the findings highlighting the original new car price, horsepower, and engine displacement as pivotal factors influencing used car valuation. This study proffers invaluable insights for policymakers, used car distributors, and manufacturers, facilitating a refined comprehension of market dynamics and the formulation of efficacious strategies.