Great Deals on Cadillac Likely
Over The Next Year
GM, in an effort to make Cadillac more like its luxury counterparts (Mercedes, BMW, and Lexus), would like to terminate hundreds of Cadillac dealerships, mostly in larger metropolitan markets.
Cadillac has roughly 1,500 dealerships while Mercedes and BMW have about 350 each.
GM thinks by eliminating most of its Cadillac dealerships, the remanning dealers will sell more collectively.
GM may want to terminate about 1,000 Cadillac dealerships by October 2010. If this were to happen, those terminated dealerships may find themselves in a similar situation to Chrysler dealers which were terminated recently.
Some of those dealers were forced to sell their inventory at fire sale prices.
Most terminated Cadillac dealers will probably be able to sell their inventory to the remaninig dealers, but a few will surely be forced to make some great deals with the public.
If you've got a long-term horizon before buying a car and you're considering a Cadillac, it may be a good idea to wait and see how this plays out.
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