Obviously car selection can be a factor as well as tuning...but if you are coming in last place, there is lots more to work on. First and foremost, make sure you are getting the most out of the rooms restrictions. If there are no tire restrictions, you'd better be on racing tires. If there are performance point or power/weight restrictions, make sure you match them perfectly. Turn off aids except ABS=1. Traction Control might help for high powered cars but it robs you of power in slower cars.
If you've got those bases covered and you can't manage an 8th place finish out of 16 racers, it is probably your driving that needs work.
Practice mode is a good way to learn the fastest line through the tracks. If you are relying on the driving line you are cheating yourself. When your ghost is on, it will show you when you ran a turn slower than before. After an hour or so of lapping you'll start hitting the brake points with more consistency and you'll know what can and cannot be done. After several hours you may find upwards of 5-10 seconds on a given track.
Trail braking is the secret to fast times in most cars. Research techniques if you don't know what it is. The game models it superbly. Braking later and keeping your foot (or finger) lightly on the brake will allow you to enter turns much quicker without understeering. It keeps the weight of the car forward providing the front tires with more grip. As soon as you release the brake pedal most cars will begin to understeer so it is best to find a line that allows you keep braking all the way to the apex, but this really depends on the turn. I spent hours practicing this at Tsukuba for the GT academy. One car, one track, one goal. I followed other's ghosts and learned how to get the car to rotate via brake modulation. I saw my lap time drop by about 10 seconds.