Cadillac’s Problem of the Cars It Can’t Sell

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09-27-16, 07:32 PM

#226

SW17LS

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I'm not sure why this needs to be analyzed to death...like I said this is not an unusual thing for a franchiser to do.

09-27-16, 07:37 PM

#227

mmarshall

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Quote:

Originally Posted by SW15LS

I'm not sure why this needs to be analyzed to death...like I said this is not an unusual thing for a franchiser to do.

Nothing in the auto industry happens today without a lot of talk from auto-enthusisats. That's just the state of today's social media.

And you seem to like the CT6. Might be a nice replacement for your LS one day...........

09-27-16, 10:00 PM

#228

Toys4RJill

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Quote:

Originally Posted by tex2670

They are offering "up to" $180,000 to each of these dealers. They better be selling 50 or fewer cars, because that is an incredibly low buyout.

Quote:

Originally Posted by mmarshall

I agree, but tex2670 is still correct that it's an insulting offer, even by rural standards.

Quote:

Originally Posted by mmarshall

Agreed, but maybe De Nysschen and his henchmen feel that they at least owe their dealerships something, even if it isn't much. After all, Cadillac itself might not exist today if, during the bankruptcy/reorganization right years ago, the Federal Government, State of Michigan, City of Detroit, UAW, GM bond-buyers, stockholders, and others had all not been so generous with their lending and/or donations to keep at least part of GM still afloat. Still, even with all of that, four GM divisions obviously didn't survive.

Cadillac is not going to be nice and owe the dealers anything. GM wants the dealer network cut. As simple as that. 900+ dealers selling how many cars? These dealers are going to be offered between 100k and 180k, they apparently will not be carrying inventory in the future as Cadillac is going to an order based system where the buyer views the car though virtual reality and then they order the car. This method is for the poor performing dealers.

BTW, Lincoln has the same amount of dealers as Cadillac. They went though a similar downsizing a few years ago.

09-27-16, 10:51 PM

#229

Aron9000

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Another thing about the small dealers is they probably won't have parts in stock for your Cadillac. And I have serious doubts about some of them being able to even properly service your Cadillac as well, they might have one or two Cadillac trained techs who don't work on Cadillacs all the time(ie they mostly service Chevies since that's what the dealer mainly sells). Cadillacs are very complex and different mechanically from everything else GM sells(except for the Escalade)

09-28-16, 06:14 AM

#230

mmarshall

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Quote:

Originally Posted by LexsCTJill

BTW, Lincoln has the same amount of dealers as Cadillac. They went though a similar downsizing a few years ago.

Lincoln, though, to my knowledge, does not have any stand-alone dealerships....Cadillac does, though some Caddy shops are also shared with other GM brands.

09-28-16, 06:22 AM

#231

mmarshall

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Quote:

Originally Posted by Aron9000

With most auto manufacturers (and I don't see why Cadillac would be any different) the Service-Technicians at the dealerships receive factory-training...particularly when an all-new model is about to be introduced. (and Cadillac has just introduced two all-new models, the CT6 and XT5, with another, smaller XT3 on the way). Factory-training for dealer-techs is usually a requirement by the manufacturer for a dealer-franchise. In addition, most of the techs also have an ASE (Automotive Service Excellence) Certification as well. That is one reason why service at dealerships often costs more than independent shops....in addition to using certified factory parts.