When I was the China bureau chief for Automotive News, General Motors loaned me a Cadillac CTS to drive for a few days when I returned to the U.S. in February of 2008 to attend NADA in San Francisco. I had never driven a Cadillac before. Boy was I impressed. Not only did it handle really well, when I closed the door it was like the outside world was not even there, noise-wise. And the design language – wow.
I’ve had a bit of a soft spot for Caddy since then, so it pains me to see the brand continue to struggle. Cadillac dealers have been through a lot in recent years. They were cheered up by the new product line presented to them in September, it seems. Along with the new product line, however, they got a new brand boss in Steve Carlisle.
Now, Cadillac is moving its headquarters back to Detroit. This may not be a bad idea. Detroit is becoming kind of cool with all the corporate dollars being poured into renovating older buildings and the like.
Still, one has to wonder if all that money Caddy poured into the Manhattan move couldn’t have been better spent. Is this move going to add to the brand’s value, and the value of Cadillac franchises? What do you, my readers, think of this headquarters move?
On to this week’s issue. Cybersecurity columns are always well-read, telling me this is an area of concern for dealers. As well it should be – cybercrime is on the rise and can have very negative consequences for a dealership. This week, we have a column by a cybersecurity expert at DHG. You can’t know enough about this crucial topic. As the author says, “Effective security is a process, not a destination.”
I recently profiled the Harnish Auto Family. Shannon Harnish, the group’s president emphasized to me how important the fact that so many of Harnish family members were deeply invested in the group’s success. Many family-owned groups use a pass-through structure, so the profits are taxed as individual rather than corporate taxes. This week, two of our contributors, The Rawls Group and MBAF, join in a column emphasizing how vital it is to consider the impact these taxes can have on a dealership’s value.
And of course we have Transaction News.