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Despite strong profits, GM still fighting flat market share

Looking at the progress General Motors has made since it entered bankruptcy, it's easy to forget that the company still has a long way to go before it's the juggernaut it once was. A recent report from Reuters points out that, while GM is making money, it isn't making any gains in terms of US market share. Quite the opposite, really. Consider this factoid: In 1963, nearly half of the cars sold in the United States were from Chevrolet, Cadillac, Buick, GMC or Pontiac. Now, the company's US market share is stagnant at 17.9 percent. That same number is half of just Chevy's 1963 market share. This is all despite GM going on a binge replacing or updating its models. "Market share increases are not instantaneous," Mark Reuss told Reuters at the 2014 Detroit Auto Show. "We've got a lot of baggage. Don't underestimate what people though of us, or these brands, through these hardships and 30 years." The reasons for the stagnant market share are numerous. Reuters points out that retooling of factories and a focus on limiting incentives are both good things for profit, but not necessarily for market share. There's also the troubling turnover of the brand's marketing department. These issues don't change the fact that Chevrolet has lost 1.4 percent of its market share in two years, and that Cadillac - arguably GM's most improved brand overall - has lost 1.2 percent in the same period. Part of that can be blamed on GM's avoidance of fleet sales in favor of more profitable customer sales. "Our focus has really been on retail and that's where we've got the growth," said Alan Batey, GM's interim global marketing boss. "We want to grow GM and that means growing market share and profits, but it's not at all costs," Reuss said. News Source: ReutersImage Credit: paul bica - Flickr CC 2.0 Earnings/Financials Buick Cadillac GM GMC sales profits

2016 Cadillac CTS-V First Drive [w/video]

A million insects lost their lives today. Boxelder bugs and mayflies making the ultimate sacrifice in Elkhart Lake, their carapaces no buffer against a rocketing rectangle of safety glass. Their bodies gorily streaking into spangles along the diamond-faceted face of the Cadillac CTS-V. Road America is a four-mile ribbon of pavement snaking its way through the emerald center of the country's northern heartland. Since the 1950s it's seen uncountable fields of diverse racing machinery rocket over its hills and around its 14 corners. I would imagine that on those occasions the tramping of onlookers and hubbub of vehicles, both competitive and commonplace, would dissuade a great number of our six-legged friends from making their way onto the track. But today it's just me turning laps. Inconceivably just one journalist, driving the baddest roadgoing Cadillac ever made, on one of the loveliest circuits America has ever carved out. So big-winged bugs made it out to me in a vast array and a tragic sum, and I drilled through them oblivious to anything but one of the greatest days of driving I've ever had. Cadillac has turned its CTS-V from a performance sedan to a monster. For 2016 Cadillac has turned its CTS-V from a performance sedan to a monster worthy of the carnage described above. The words "epic" and "awesome" are hilariously overused on the Internet, but in the case of the CTS-V's 6.2-liter supercharged V8, their literal meanings are fitting. The capacity to produce 640 horsepower and 630 pound-feet of torque is astounding. Feeling those outputs come to growling life under my foot arch, uncorks different reactions in my brain as the day wears on: first trepidation, next cautious optimism, finally red-eyed bloodlust. A glance at the power and torque curves will show you that the charged V8 behaves more like a naturally aspirated thing than a turbo'd on/off switch. Peak torque arrives at 3,600 rpm, horsepower at 6,400, giving the engine lovely, linear power delivery. Even with top torque happening near the middle of the tach, there's no small amount of the stuff when the engine first spins up, so launching all 4,145 pounds of Detroit iron still feels exotic. Launching all 4,145 pounds of Detroit iron still feels exotic. On the roads around Wisconsin, using all of the available power is hardly advisable, but I have no trouble driving this fast car slowly (sort of).

Despite De Nysschen saying it won't, Cadillac cuts struggling CTS prices

Ah, well that didn't last long. Not even two years after elevating the price of the then-new third-generation Cadillac CTS by $7,000, the company is now stepping back, telling dealers it will be slashing the price of the 2015 model by anywhere from $1,000 to $3,000. It seems that there are two reasons behind Cadillac's move. First, and most obviously, are its slumping sales, down seven percent last year. That figure is made worse, Automotive News reports, by the seven-percent gain made by the greater luxury market, not to mention gains from fellow American luxury brand Lincoln. Cadillac, meanwhile, also likely faced pressure from its dealer body, which AN reports hasn't been so keen on the price increases. The price reduction is something of a surprise following statements made by Cadillac President Johan de Nysschen shortly after he took office. In September of last year, the 54-year-old exec, who took charge of Cadillac in July of 2014, defended the company's decision to raise prices, telling Automotive News a price cut was "not going to happen." It seems current conditions contradict de Nysschen's statements, though. "We're taking what we've seen are the more desirable optional features for customers and making them more readily available," Cadillac's Dave Caldwell said of the price cut. "Once a car has been on the market for a while, it's not unusual to look at the customer behavior and try to optimize for it." In what's sure to be a pleasant surprise for anyone in the market for a CTS, the most expensive models are getting the biggest price cut, with the price on the Premium and Performance Collection sedans dropping $3,000, AN reports. The 2.0T will get a $2,000 drop, while certain optional extras will now be standard on the Luxury trim, including a panoramic sunroof, navigation and Bose stereo.