Ch. 2 - Strategic Planning

Since Cadillac was created in 1902 it has always used strategic planning to gain an edge over competitors. Early on, Cadillac used "quality craftsmanship" to ensure potential buyers that they were purchasing only the best when buying a Cadillac.  While their beliefs and motto hasn't changed much since then, their marketing plan has.

A great example of Cadillacs strategic planning is their new XTS model.  Cadillac is planning on releasing the XTS model sometime in 2012.  It is designed to be Cadillacs flagship vehicle, and they want it to compete directly with their competitors, such as BMW, Acura, Mercedes-Benz.  The XTS comes at a time where Cadillac showrooms are only showing three main car models, the Escalade, CTS, and the SRX crossover.  This limited amount of automobiles by Cadillac is due to them canceling production of the STS and DTS models.  These two models were discontinued with plans to be replaced by the new XTS.

Cadillac has begun marketing aggressively their new XTS model.  They emphasize on the performance qualities of the XTS.  Such as the new Ultra-V8 engine with 350hp, or the newly designed exterior and interiors of the car.  Cadillac has a strong foothold in the American luxury vehicle niche, which has helped their sales over the years.  The new XTS model is designed to fit in that niche while luring other buyers as well.

The prototypes they've shown at Auto Shows have gathered a lot of attention and hype.  People are excited to see a new Cadillac flagship vehicle.  And with Cadillacs unique marketing plan they are beginning to compete more aggressively with their rivals.