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Automotive News & Views Can GM make Cadillac the standard of the world Again?
6098 messages, Last post on Aug 14, 2009 at 4:43 PM
You are in the Automotive News & Views Forum. Your Hosts are steve_ & claires
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Why don't we look at the Lexus story in 1990 and figure out how they did that? Now here's a company with a new nameplate entering a very mature and presumably saturated luxury car market in the USA practically owned by Mercedes on the high end and BMW in the middle. Seems like a tall order. How'd they pull that off?
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Replying to: Mr_Shiftright (Jan 14, 2007 8:30 am) MBs were grossly overpriced (and the W140 was even more overpriced upon introduction in 92), and had a large clientele that didn't care for any driving dynamics these cars might have had...they just wanted euro-plush and cachet. MBs of the time were reliable, but did require extensive maintenance as well. Lexus shows up with something that offers much of what a 70K MB offered...for 40K. It was even a virtual copy of the MB in exterior design. It was very refined, had a catchy name, and gave all the tactile/plush feel many period MB customers wanted. It also was less expensive to keep around. That was a winning combo. It was an S class for E class money. It's almost like Lexus knew that the W140 was going to be very expensive, as well. By then (1992) a LS was what, 45K...and a W140 ran 80-90K for V8 cars. That helped them too, they could undercut that car even more. And MB made the car very complex, which led to maintenance issues, and that helped Lexus again. They seemed to know what to do to make MB panic.
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Replying to: mediapusher (Jan 13, 2007 7:19 am)
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Replying to: cooterbfd (Jan 13, 2007 7:53 am)
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Replying to: lemko (Jan 14, 2007 9:27 am) |
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Replying to: lemko (Jan 14, 2007 9:27 am) So again, let's stick with apples to apples okay? I am interesting to see the comparison between UAW workers' wages and import workers'. Does anyone know where I can find that information?
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Replying to: fintail (Jan 14, 2007 9:11 am) What were the techniques used? GM needs to separate Cadillac from the rest of the company in the public's perception, not just in name of the line of cars. |
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Replying to: imidazol97 (Jan 14, 2007 10:23 am) I'm wondering...hmmm...maybe GM should start with an entire new name for their luxury line? |
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Replying to: lemko (Jan 14, 2007 9:24 am) However I think that if Hyundai keeps improving they could give Toyota a run for its money. I think the reason why people are a bit more forgiving on Hyundai is the HUGE warranty and the fact that they seem to have a reputation for not haggling over it. Both the domestics and Toyota have a reputation for giving folks a run around over the warranty.
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Replying to: lemonhater (Jan 14, 2007 11:15 am) The GM warranty is 100,000 miles now. |
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