1.1 Background of Renault and Nissan
French Renault is the ninth largest manufacturer with 4.3% of the market in the world. Bartlett, Ghoshal, and Beamish (2008, p. 587-588) found “In the spring of 1997, Georges Douin, Executive Vice President in charge of corporate strategy, had submitted an international development plan to Renault’s Management Committee, at the request of Louis Schweitzer.” Renault wants to entry in the Asian market. Especially, it researched Nissan which manufacturer in Japan. And Renault attempts merger with the Nissan.
Nissan is the second biggest manufacturer in Japan. Bartlett, Ghoshal, and Beamish (2008, p. 587-588) found “In 1998 Nissan Motors was a company with major financial problems.” Another problem is internal management problems. By way of keep on operations, Nissan needs seeking a partnership.
1.2 Purpose of assignment
The purpose of this assignment is to gain analytical and research skills by examining a case study using International Business theory.
Base on the research from the case study and other sources, prepare a report addressing the following issues:
• Environment: external and internal factors
• Conflicting global demands
• Strategy implementation
• Global marketing and operations
• Identifying current challenges
• Suggestion and recommendations
2.0 Discussion and analysis
2.1 External environmental scanning
Hunger and Wheelen (2003, p.30) “Environmental scanning is the monitoring, evaluating, and disseminating of information from the external and internal environments to key people within the corporation.” Corporations use it to avoid strategic surprise and to ensure long-term health. This is a positive relationship between environmental scanning and profits. Analysis of the external business environment is a major factor in determining the strategy adopted by a business. For businesses that are international, this stage in strategic analysis is even more... [continues]
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