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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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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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Yes I can. Watch out for Hyundai to establish a new luxury brand and undercut Lexus. All Hyundai has to do is to have enough cash (which they are working on right now), seize the right moment and borrow Lexus' strategy. With the LS pushing $65K - $70K range, I see deja vu all over again for Hyundai to undercut Lexus with it own version of the 1990 LS400. You'll note that GM isn't sitting on its heels either. The same comparison could be made between the Lucerne(with the V8 of course) and the Lexus and Infinity models. 80-90% of the same car for a huge wad less. And it's actually selling quite well. So are most Cadillac models(2006 CTSs were sold out in about a month once the 2007s came out) You can still find 2006 Mercury and Lincolns on the lot. The CTS was(and the enw one moreso) wasn't a BMW or Mercedes killer. It was an attempt at making a car simmilar to their current offereings for a lot less money. And GM sold a ton of them - all they could make in fact(virtually zero fleet sales). I think Buick/Cadillac is going to be fine. They are pulling Hyundai's trick and being a major thorn in the competition's side. (and way better in terms of reliability/cost to own) Just a tune-up on a 5 series or E class can run you several months worth of payments, then there's the A/C if it goes out and then the brakes and tires, and...(non-warranty covered items for the most part). Out of warranty the bills are so high that you are always better off buying the extended warranty.(which is a unique situation in the industry) And GM... Chevrolet repair costs for near Lexus quality. P.S. The GM waranty stays in full effect upon transfer. Hyundai chops their in half for the second owner. The 100K warranty on the drivetrain is actually helping sales a lot. 100K waranty on a Cadillac... well, that's the entire loan period and then some. That lowers your costs considerably.
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