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Monday, May 28, 2012


The Wheels of Luxury


 For the status-conscious, few signs of success are more satisfying than a Mercedes or Lexus--or even better, a Rolls-Royce or Ferrari--in the driveway. And while luxury cars are low-volume and relatively low-revenue lines, their strong margins and ability to attract affluent buyers make them integral to companies such as DaimlerChrysler (), Toyota (), Fiat (), and Volkswagen. BusinessWeek.com's Special Report on Luxury Cars looks at the state of the luxury auto market in the U.S. A key issue: Can America build a luxury car again after years of ceding the market to imports? Lincoln seems hors de combat, but Cadillac has the CTS, a $30,000 coupe with the looks and performance to compete with BMW's 3 Series and Mercedes' C-Class. We also ask how one can justify spending six figures on a car (it's not easy, but it can be done), and we grumble about top-of-the-line cars with the highest recalls. Last, see our slide shows on the top-selling luxury cars and now-faded marques such as Peerless, Alvis, and Isotta-Fraschini. Go to www.businessweek.com/go/07/luxuryautos for all this and more.

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