Friday, June 27, 2014

Cadillac Won’t Give Up On The Dream Of European Success

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Despite a flimsy dealer network, a lack of diesel engines and a poisonous brand, GM still hasn't given up on the idea of making Cadillac a global luxury brand that can sell cars in Europe.

Speaking to AutoExpress, GM President Dan Amman expressed his desire to sell Cadillacs in Europe, despite its past failures. Amman also tacitly admitted that Cadillac would never be able to become a high volume brand or take on the German luxury brands – despite the fact that Cadillac has nakedly chased them in their home market of America

"But in the long term there is a role for Cadillac in Europe. Is it going to be a high-volume contender in the medium to long term future? Probably not. But is there a role for something other than the three German luxury brands? I think there is…We've got to figure out what it is, what our portfolio is, a different value proposition. But trying to out-German the Germans will not be the path to success. We have to have a different proposition."

With a skeletal dealer network, unsuitable product for European tastes and road conditions (no diesel options is a complete non-starter) and an undesirable brand, it's worth asking, why even bother?  Cadillac sold just 430 cars in Europe in 2012, with sales peaking at 3,000 cars in 2007. The brand has 40 dealers on the entire continent, and with diesels accounting for a reported 80 percent of premium car sales, this looks like nothing more than a vanity project, with GM wanting to sell Cadillacs in Europe just to bring the fight to the Germans on home turf – similar to VW's folly in going after premium cars with the Phaeton, because Daimler dared to launch the compact Mercedes A-Class. And we know how that turned out.



from The Truth About Cars http://ift.tt/Jh8LjA

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