#NAIAS: US Luxury Brands In Catch Up Mode - How Long Until They Can Become Competitive?

I'm not trying to be mean nor am I trying to causing an internet fight but the short answer is "never". There are certain affiliation with certain types of product and it's almost impossible to change such affiliation. When it comes to luxury cars, it's the 3 German car brands (and the Bentley, RR, and Jaguar of course but those are small volume). Let's face it, the 2 significant markets for such cars are the Middle East and China and both markets genuinely believe in those 3 German makes as epitomes of luxury cars. Heck, even the American rich and wealthy believe the same thing given how much we buy from those 3 over the last decade. Cadillac and Lincoln are simply not known in Asia, period. Now if you want to say American action movies or American tertiary/higher education (university), then we will be the world's first choice when compared against European university education or movies. I think we just need to be happy that we're taking back some of the luxury car mkt shares from Lexus. And for the scary scenarios, the German mfrs are gaining a larger of the young and upcoming market segments with their CLA, A3 and 2s, which mean they have gotten us locked up for the foreseeable future as well.

Exactly, my friend. I fully agree.

Cadillac may get back to the table with new product, but you can surely forget Lincoln. They're still nothing but warmed over Fords, better Fords, but still.

One gets really tired of hearing the same comparison over and over again - when in fact most of these foreign cars - are NOT LUXURY cars - they are pseudo sports cars - largely sports sedans - and Audi and Bmw sell very few real Luxury cars - their larger cars are dead weight in the USA. A case could be made for Mercedes S class since it actually sells pretty well.

Cadillac has essentially left the LUXURY car business to attempt to produce tiny little essentially two seat Sports sedans that Americans do not want.

However - Cadillac will be returning to the Luxury Car market with the CT6 - and I will bet that it will outsell Both Audi A8/BMW 7 Series combined - which is not saying much. ANd that depends on it actually having a usable rear seat.

Lincoln will also be selling a new MKS sedan that might be called "Continental" - and if it looks decent - it will sell too.

Still - neither will ever approach Rolls or Bentley - or Mercedes/Maybach.

IMO, Cadillac needs to stay consistent. Keep the quality and the value coming and the tide will turn. As folks that loved land yachts of the past, move on, others will come to know and respect the products they're building now. History for younger buyers is being set now and the products are exceptional and world class. 25 years from now they will be buying the flagship cars, etc... I cannot imagine that Ford will allow Lincoln to continue as Mercury's replacement. Both brands have rich histories of innovation and luxury. Heck China has what 4X our population and THEY remember Buick as a storied brand, that it once was. GM sells vastly more Buicks there than here. History means something. That CT-6 derived Buick Flagship seen at NAIAS is insanely beautiful and if they build it, and the absolutely should, it will sell. I also think a lot of Americans also want the best their dollar can buy, until recently for a luxury vehicle that means German and to the value buyer, Lexus. Things have changed and are changing and the new Cadillac's are world class products, period. I would absolutely prefer to buy and American car vs an "import". One thing that must be done is Cadillac's Customer Service and their dealers. In my town the dealers a very weak link. The dealer experience MUST be better than the others. I love to take my wife's Mercedes in because its fun to be a the dealer.

Also, if Mercedes can market a stretched wheelbase S-Class as a $350K Maybach as they're going to be doing soon, to compete with Bentley, why not have a Cadillac competitor. Cadillac used to have a limo as part of their offerings, factory made. AND... all you naysayers.. Bentleys are essentially VW Phaetons under their fantastic looking sheet metal. Build a solid platform and make it gorgeous.. Cadillac can do that...

Completely agree. Well said... who would have thought 10 years ago Hyundai would be selling the number of cars they are today... build a quality product and people will respond. NO ONE has it locked up. Look in the rear view mirror at what happened to Cadillac & Lincoln...things are always changing. Also, to have a BMW or a Mercedes used to be a hugely special thing, today they're everywhere, I don't see either as that special anymore. Cadillac has a window to make a statement and can lure buyers that don't want to be like the guy across the street, and the neighbors on both sides, all with BMW's.

Bentleys are at least VW.

Cadillac limo would be...what would it be?

Oh yes, some Made in Mexico parts + Australian made chassis + Canadian made engines + American quality reliability.

I'm sure this garbage will sell soooooo many in today's society.

Cadillac needs to build a true American Luxury car and stop trying to be Audi or BMW.
Cadillac invented this class of cars but those at GM have failed over and over to keep it on top. They need to go back to their roots and build a car like the Sedan DeVille a bigger RWD car that offers luxury let BMW and AUDI worry about high speed cornering
Lincoln unless Ford starts to build the TownCar again Lincoln will be a has been. American drivers like their V8 RWD cars thats why the 300 and Genesis are such good sellers Ford and GM have pretty much left that market wide open

So, let me bring this up again.

"The United States has been in decline relative to other countries for the last 30 years. On key metrics, we've fallen behind our peer group of industrialized countries, such as the UK, France, Germany, and Japan."

"Speaker of the House John Boehner repeatedly proclaimed (with passionate intensity) that America has the "best health care system in the world." Boehner is correct only if you exclude the entire developed world from the comparison. The U.S. ranks 50th for longevity and 49th for infant mortality, where we're barely ahead of Belarus, Croatia and Lithuania."

"Many Americans still have an almost cult-like belief that America is the greatest nation on earth. They systematically reject evidence suggesting we have significant room for improvement."

http://www.businessinsider.com/america-slouching-towards-third-world-status-2012-5


"Fundamental characteristics that define a 3rd world country include high unemployment, lack of economic opportunity, low wages, widespread poverty, extreme concentration of wealth, unsustainable government debt, control of the government by international banks and multinational corporations, weak rule of law and counterproductive government policies. All of these characteristics are evident in the U.S. today."

http://news.goldseek.com/GoldSeek/1321029120.php


"As CJ Werleman points out over at Alternet, while America is the wealthiest nation in the world, and has the most billionaires in the world, not a single U.S. city ranks among the world's most livable cities."

http://www.truth-out.org/opinion/item/23535-usa-the-worlds-newest-third-world-nation


The U.S. received a cumulative grade of 'D+' in the American Society of Civil Engineers' 2013 Report Card on America's Infrastructure, which estimates $3.6 trillion of investment is needed by 2020.

"We know that investing in infrastructure is essential to support healthy, vibrant communities," the ASCE wrote in its executive summary. "Infrastructure is also critical for long-term economic growth, increasing GDP, employment, household income, and exports. The reverse is also true – without prioritizing our nation’s infrastructure needs, deteriorating conditions can become a drag on the economy."

http://finance.yahoo.com/news/america-s-infrastructure--a-national-disgrace--a-bipartisan-failure-to-act-163225535.html


So now my question to you is, why would you think you can expect some sort of "luxury" from a bankrupt third world country that is nothing but just a poser? It's not me saying. This is how many people in the world feel. The American automobiles (And many things) failed not because people hate America. But it's because the U.S. is no longer respected.

BMW managed to maintain its title of most popular luxury automotive brand in the world in 2014, with its sales for the year coming in at 1,811,719 cars, a substantial 9.5 percent increase on the 1,655,138 it sold the previous year.

http://www.motorauthority.com/news/1096204_bmw-is-most-successful-luxury-car-brand-in-2014-with-1-8-million-sales


Hung, a former investment banker, is known for his flamboyant style and the resort looks to be the flashiest of the wave of expansion projects now under construction in the tiny Chinese territory near Hong Kong.

The resort will boast a 1,860-sq metre (20,000-sq ft) villa billed as the world's "most extravagant" hotel suite, which will reportedly cost $130,000 a night.

Hung has even enlisted a descendent of Louis XIII to help with the hotel's design, based on French Renaissance and Baroque styling.


http://www.theguardian.com/world/2014/sep/17/hong-kong-tycoon-rolls-royce-phantoms


Switzerland, Hong Kong top global infrastructure quality rankings

http://www.out-law.com/en/articles/2014/september/switzerland-hong-kong-top-global-infrastructure-quality-rankings-but-global-economic-health-still-at-risk/


The new land of opportunity for immigrants is Germany

http://www.washingtonpost.com/world/europe/the-new-land-of-opportunity-for-immigrants-is-germany/2014/07/27/93464262-7eff-4931-817c-786db6d21ec8_story.html


Not only is Germany practically No. 1 in almost anything nowadays, Germany and the other European nations are competing against each other all so that they can make their countries even better.

Europe, is Number 1, and the Europeans are now investing more and more in wealthy Arab countries as well, it seems like the wealthy Europe and the wealthy Arab nations are leading the world.

And the U.S.? It is just chilling in the back, doing nothing.

Now do you see my point? My point is not about bashing America in any way. I am just saying, if you want to be recognized, you better have your country on the first world level, otherwise no one cares.

I mean sure, Caddy and Lincoln will still do well in North America but that's about it.

Cadillac is already competitive and will be better able to muster good product than Lincoln. The ATS and CTS are quite competent. They need to return to names and kick up the styling a few notches. Forging a platform-sharing pact with Hyundai could be a smart move for Cadillac as well as leveraging Cadillacs for near-premium Buicks.

Lincoln also needs to abandon the alphabet soup for names and stop being Mercury.

The key to success for both brands is to be unabashedly American rather than playing wannabe Germans. The CTSV will continue to be a most delicious reason NOT to buy German.

By the way, did you guys notice the new Ford GT has a V6 engine?

And also has a semi-automatic transmission.

Do you guys know who makes supercars like this? Japanese. GT-R and NSX both are V6 engines with automatic transmission.

The Europeans are still sticking with V8, V10 and even V12 (BMW, Mercedes-Benz, Ferrari, Lamborghini, Rolls-Royce and such mega powerful European powerhouses love to put down their V12 engines in their cars) with or without hybrid and Bugatti even uses W16. The Europeans are not afraid to put down super ultra powerful engines down their cars, because the Europeans want to show their ultimate power to the entire world. Why? Because they are Number 1 in the entire universe.

However, the Americans are getting all conservative, like the Japanese.

I can clearly see the new Ford GT is trying to compete with GT-R and NSX, not like the ones from Europe. Because hey, the previous gen had a V8, not this V6 with Eco-Boost garbage (aka Eco-Lying-About-MPG)

At least Lexus LFA used V10 engine. And this is most likely the most powerful Japanese supercar ever. Japan is not afraid to challenge the Europeans, but the Americans are afraid.