Cadillac News: Under Fire: GM targeting metropolitan Cadillac dealers for closure?
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Cadillac News, Concepts, Future Models, Rumors and more Discussion, Cadillac News: Under Fire: GM targeting metropolitan Cadillac dealers for closure? in Current Cadillac Vehicle Discussion; Filed under: Cadillac , GM Cadillac is one of the core brands that will form the new General Motors, but ...
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    Post Cadillac News: Under Fire: GM targeting metropolitan Cadillac dealers for closure?

    Filed under: Cadillac, GM



    Cadillac is one of the core brands that will form the new General Motors, but the dealership network can't continue in its current guise, according to GM sales head Mark LaNeve. There are 1,422 Cadillac dealers nationwide, more than four times the number of Mercedes-Benz dealers and more than six times the number of Lexus dealers. That kind of saturation meant that in 2008, the average Cadillac dealership did one-sixth the business of a Mercedes dealer and one-tenth the business of a Lexus dealer.

    To be fair, Cadillac has fewer cars on offer than Mercedes, BMW, or Lexus. Still, GM wants to gets its dealer volume numbers closer that of the competition - proportionally speaking - and that means more dealer closings. GM hasn't said how many, but to even get close to retail parity they'd be looking at many hundreds of closures, with many of them likely to be in metropolitan areas. Whenever those dealers are chosen, as with the others, they will be allowed to remain open until their franchise agreements on October 31, 2010.

    [Source: Automotive News - Sub. Req.]Under Fire: GM targeting metropolitan Cadillac dealers for closure? originally appeared on Autoblog on Tue, 09 Jun 2009 09:58:00 EST. Please see our terms for use of feeds.



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    Re: Cadillac News: Under Fire: GM targeting metropolitan Cadillac dealers for closure

    My understanding is that dealers have the option to stay open and wind down operations by October, 2010 or shut down in the next 30 days (or so) and have GM buy back their inventory.

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    Re: Cadillac News: Under Fire: GM targeting metropolitan Cadillac dealers for closure

    Is there any way to find out who's getting closed?

    Not quite sure I can bring myself to walk into my local small dealer and ask if they're going to be around in a year.

    I understand the need to 'thin the herd' a little but it's going to be hard seeing some of the smaller dealers get the axe because of volume issues.

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