Globalization Renault Nissan
Carlos Gibson: Leading for global success at Renault-Nissan
Question 2: What is the nature of Nissan’s international strategy? Is the firm’s strategy primarily multi-domestic or global? What advantages does Nissan derive from the particular strategy (strategies) that it pursues? In what way does Nissan demonstrate efficiency, flexibility and learning?
Nissan’s international strategy is a set of multiple approaches including almost every aspect of operations. In business development, management viewed the global market as a whole but not irrelevant pieces and integrated its resources to facilitate different segment markets. Although their strategy identified several target segments, their concern and decision-making are based on a global view. A global company doesn’t mean slow-moving, passive and reluctance in change. In fact, because of their charismatic CEO, the culture of the company changed from slow and bureaucratic to decisive and proactive. In addition, he emphasized a uniform language, English, as official language in Nissan, which implied that after merge, the company is not a domestic company anymore. It’s good start to learn and accept global view and culture. More detail modifications on operations were made to bring the company back to first tier automaker in the world. Overall, the firm’s strategy is primarily global because the firm is not a simple combination of branches in different countries but is well at making best use of benefits of globalization.
In specific, the firm applied globalized design, engineering, production and sales. For example, a modular approach allows the company to streamline the process on assembly line and eventually minimize the manufacturing costs. They also reduced numbers of platforms and jointly shared vast majority of spare parts used to produce cars of both brands. Furthermore, Nissan and Renault shared their technologies with each other which significantly saved R&D cost for the integrated firm. By using this,
Question 2: What is the nature of Nissan’s international strategy? Is the firm’s strategy primarily multi-domestic or global? What advantages does Nissan derive from the particular strategy (strategies) that it pursues? In what way does Nissan demonstrate efficiency, flexibility and learning?
Nissan’s international strategy is a set of multiple approaches including almost every aspect of operations. In business development, management viewed the global market as a whole but not irrelevant pieces and integrated its resources to facilitate different segment markets. Although their strategy identified several target segments, their concern and decision-making are based on a global view. A global company doesn’t mean slow-moving, passive and reluctance in change. In fact, because of their charismatic CEO, the culture of the company changed from slow and bureaucratic to decisive and proactive. In addition, he emphasized a uniform language, English, as official language in Nissan, which implied that after merge, the company is not a domestic company anymore. It’s good start to learn and accept global view and culture. More detail modifications on operations were made to bring the company back to first tier automaker in the world. Overall, the firm’s strategy is primarily global because the firm is not a simple combination of branches in different countries but is well at making best use of benefits of globalization.
In specific, the firm applied globalized design, engineering, production and sales. For example, a modular approach allows the company to streamline the process on assembly line and eventually minimize the manufacturing costs. They also reduced numbers of platforms and jointly shared vast majority of spare parts used to produce cars of both brands. Furthermore, Nissan and Renault shared their technologies with each other which significantly saved R&D cost for the integrated firm. By using this,