Globalization Renault Nissan essay

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 Ionians, 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.

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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 globalizes design, engineering, production and sales. For example, a modular approach allows the company to streamline the recess 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, Ionians and Renault shared their technologies with each other which significantly saved R cost for the integrated firm.

By using this, the firm is able to design “global cars”. Besides of the benefit in cost saving, they are able to promote their brand, maximize market awareness and adaptability of their products and allocate the resource into cutting edge technologies.

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