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Presentation of the successful merge of Renault and Nissan Motors.

Paper Topic: Presentation of the successful merge of RENAULT corporation and NISSAN motors!

In 1999, RENAULT, a French midsize automaker company decided to create an alliance with Japan's NISSAN Motors. This operation has transformed the company into a global player, inside the very competitive market of worldwide vehicular distribution. By taking over 36.8% of Nissan's capital, Renault decided to send Carlos Ghosn, as new manager from Nissan, in order for him to install a "Nissan Revival Plan" (NRP). Actually, this plan has been made in order for both corporations to restore profitability, and acquire and increase market shares in Japan. My paper presents and describes the different aspects of this successful merging operation between two cultural opposites way of managing and running business. In other words, it shows the differences and changes that have been brought by Renault Corporation. First, it presents the major leadership role played by Carlos Ghosn in successfully restoring Nissan's health. Secondly, it introduces the Nissan's Japanese way of running an !

organization, and the main changes made by Renault organization, a western European firm: showing the huge differen


It has been two years since Renault and Nissan have signed their alliance. By installing a French manager at the head of the company, Carlos Ghosn, and changing many aspects of the Nissan management method, Renault wanted to bring leadership in order to boost the sales of the company and bring back success. In 2001, the key accomplishments are an expecting post record profit of $2.3 billion for the year ending Mar. 31 (rebounding from seven years of losses), a cut costs to trim Nissan's debt load from $13 billion to $10 billion, and boost Nissan's stock price by 38 % in 2000, to about 11.

Carlos Ghosn has been charged to revive Nissan Motor Corporation. After working in turn-around situations at Renault in France and at Michelin's U.S. operations, 46-year-old Brazilian-born Ghosn moved to Nissan Japan in 1999, and has vowed to quit if the auto maker isn't profitable by March, showing his character's determination. His leadership has been one of the main factors of the working of Nissan Revival. The question is what really makes him a leader? Actually, understanding the different characteristics of his personality really explains why this alliance has been successful, as Carlos Ghosn has been one of the principal actors of the merge between Renault and Nissan. Kenji Watanuki, director of Foreign Investment in Japan Development Corporation (FIND) describes him as the complete opposite of traditional Japanese managers: "he has energy, char

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Approximate Word count = 976
Approximate Pages = 4 (250 words per page double spaced)


  

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