Cadillac Challenges Mercedes-Benz by Pitting the Escalade Against the C-Class [Video]

We think most of you will agree with us when we say that, for the same reasons the Cadillac Escalade is extremely profitable, it also doesn't quite fit the brand's current image being sort of a throwback to the glory days of the classic American cruiserships.

But this didn't stop General Motors from raising the ante in yet another provocative commercial for Cadillac that follows the CTS-V spot featuring the Ferrari 458 Italia.

This time, the General took the Escalade and pointed its ammo towards Mercedes-Benz and its C-Class sedan. The video spot shows the big Caddy V8 beating the C300 on a straight line duel, and then…hauling back the Merc.

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Video: GM CEO Mark Reuss Drives us Through the 2013 Cadillac ATS

Following Cadillac's unsuccessful efforts to enter the compact luxury sedan segment and challenge Germany's finest including the Audi A4, BMW 3-Series and Mercedes C-Class with the European market BTS that was a basically a Saab 9-3 dressed as a Caddy, General Motors appears to have learned its lesson about cutting corners.

The Detroit carmaker is now developing a brand new competitor for the 3-Series from the ground up based on a rear-wheel drive platform. The entry level Cadillac is codenamed ATS and it is destined to enter production next summer (2012).

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