An Interview with Carlos Ghosn, President of Nissan Motors, Ltd. and Industry Leader of the Year (Automotive News, 2000)

Emerson, Victoria
March 2001
Journal of World Business;Spring2001, Vol. 36 Issue 1, p3
Academic Journal
The article presents an interview with Carlos Ghosn, an executive in the alliance partner Renault SA, who in July 1999 became president and COO of Nissan Motors Ltd., a company with huge strategic and financial problems. Ghosn discussed the underlying strategic and financial objectives behind Renault's 36.8% stake in Nissan, the issues and challenges Ghosn faces, and the dramatically powerful yet common-sense approach he is taking to manage the transformation of Nissan and its integration with its French alliance partner. According to Ghosn, the three main challenges were high debt, inability of the company for many years to show a profit, and the continuous decline of the company in global market share since 1990. In light of the consolidation and globalization taking place, first in terms of competitors. and then in terms of the markets that were opening up, Renault was thinking maybe there was no future without a solid partner in the picture. Although their view was focused on becoming part of a global group, they couldn't neglect the potential for synergy that can come from a partnership,both in the short and the midterm.


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