Luxury

Cadillac to Become a Separate Entity from the Rest of GM

And that also means that Detroit will no longer be its HQ.

It couldn’t be any clearer that Cadillac is undergoing some drastic changes, both internally and model wise as well. General Motors has just announced that as part of the continued expansion of Cadillac, the luxury brand will officially become its own separate business unit. It will even have its own global headquarters in New York City, which will open in 2015. According to the official press release, the reason for this move is to enable Cadillac "to purse growing opportunities in the luxury automotive market with more focus and clarity."

GM calls it a "strategic realignment." Despite the fancy language used, the decision to allow Cadillac to operate outside the rest of GM makes absolute sense. Its new CEO, Johan de Nysschen, has plenty of experience in the luxury segment, having made Audi what it is today in North America. He also worked for two years running Infiniti. The Q50 Eau Rouge was his doing. De Nysschen knows good and well what it takes to make a luxury brand go from average to outstanding. GM will still oversee Cadillac in general, but day-to-day functions will be left to de Nysschen and the rest of Cadillac’s leadership council. Some Cadillac staff will remain in Detroit, but all the shots will soon be called from the Big Apple.

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