Leveraging the balance sheet allows Automobile industry to quickly expand into other markets and products, especially in fragmented industries… … "Financial Leverage (Automobile industry)" has a significant impact, so an analyst should put more weight into it. "Financial Leverage (Automobile industry)" will have a long-term positive impact on the this entity, which adds to its value. This statements will have a short-term positive impact on this entity, which adds to its value. This qualitative factor will lead to a decrease in costs. This statement will lead to an increase in profits for this entity. "Financial Leverage (Automobile industry)" is an easily defendable qualitative factor, so competing institutions will have a difficult time overcoming it.