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Cadillac Escalade, Cadillac XLR, Cadillac STS, Automotive News
#3174 of 6195 Re: Cadillac has to beat the German brands... [62vetteefp]
May 07, 2007 (4:28 am)
My apologies. I should have been more precise. I was looking specifically at mid-lux sedans: the Caddy STS, Mercedes E-Class, BMW 5-series, Lexus GS, Infiniti M & Acura RL. This is the sweet spot of the luxury sedan market.
In April '07, the E-Class Benz, which is the sales leader in this segment, moved more cars than Lexus & Infiniti combined. Together, the E-Class & 5-series accounted for more units than the other 4 cars in this price bracket put together.
Keep in mind that I'm sympathetic to Cadillac. I like the STS, which will be significantly improved for the 2008 model year, & am looking forward to seeing the new CTS. I'd like to see these cars succeed. But you can't win the war unless you understand your enemy, & in my area the German brands enjoy overwhelming dominance of the luxury market. I suspect that this is true in all of the key coastal markets. That's why I don't understand why some of you focus on the Japanese brands.
#3175 of 6195 Re: Cadillac has to beat the German brands... [jimbres]
May 07, 2007 (7:03 am)
Yet, the simple fact is that, like Cadillac in the 70s and 80s, if you build junk for too long, your customers will flee for better, more reliable vehicles. The same thing happened to Jaguar, afterall. They became hideously expensive and unreliable, though still remained a status symbol.
BMW is already there, IMO - they just retain a solid share via their focus on handling.(ie - it's prone to break, but dang what a ride)
Mercedes... People are just about to go elsewhere, and soon. I give then 3-4 years to fix this mess they are in or it's over. In fact, at this point, as much as I love Mercedes, I'd buy an Infinity or a Cadillac because they'll cost half as much to keep running over their lifetime.
#3176 of 6195 Re: Cadillac has to beat the German brands... [plekto]
May 07, 2007 (8:32 am)
BMW is showing no signs of slowing down. As matter of fact it is the second most profitable auto manufacture behinds Toyota.
#3177 of 6195 Re: Cadillac has to beat the German brands... [louiswei]
May 07, 2007 (9:11 am)
I thought Porsche, was the most profitable. My goodness, so many different story's each week I here from folks on this subject.
#3178 of 6195 Re: Cadillac has to beat the German brands... [rockylee]
May 07, 2007 (10:12 am)
The report you are refering to about porsche did not take in account all the accounting funny business from them buying an increased share in VW. That made Porsche look like they made 28,000 dollars per vehicle.
They didn't really make that much per car but some magazine took how much their stated profits were and divided it by how many cars they sold. The thing is not all of those profits caome from building cars and not all of those profits were even real profits. You have all kinds of weird accounting business going on when buying 30 something percent of VW.
#3180 of 6195 Re: Cadillac has to beat the German brands... [rockylee]
May 07, 2007 (10:26 am)
There was another article on the net where some guy from Porsche actually explained what happend in more techincal accounting terms but I can't find it. He basicly said we wish we made that much money per car but we don't even get close to that.
#3181 of 6195 Re: Cadillac has to beat the German brands... [british_rover]
May 07, 2007 (10:48 am)
Well they should make that much money for as little R&D they have to put in on coming up with a new design, and how much they charge. $28,000 per unit on a 911 wouldn't seem un realistic to me given what I see in engineering changes which can't be much money.
#3182 of 6195 Re: Cadillac has to beat the German brands... [plekto]
May 07, 2007 (2:18 pm)
Maybe Mercedes would be wise to follow suit w/ what every other major auto manufacturer does; share basic platform archetecture throughout its lineup (including Chrysler).
#3183 of 6195 German competition
May 08, 2007 (1:25 pm)
Well the charger, 300, and magnum use E-Class parts.
The A-B class, caliber, patriot, compass, ect share parts.
If DiamlerChrysler is still around, maybe the Pacifica and R class will share more parts.
There were rumors that the next M-class and next Grand cherokee may share parts too.
Cadillac is a great company and I finally figured out why the 1967eldorado's hood was a mile long! Thats when GM was planning to use a v12 engine!! Now gm is combing its 3.6l engine to make a VV(W) 12 engine! I predict that this engine will see use in the next Cts-v, corvette, and XLR.