The Renault Nissan automobile alliance is now committed on a reboot, to leave behind the upheaval and the dust kicked by the shock fall of boss Carlos Ghosn, a year after the incidence.
This gigantic task, in context of the car industry is now on the shoulders of the new Chairman of the board, Jean Dominique Senard. This is a challenge of the car industry as a whole, which is racing fast to meet huge new challenges.
Ghosn celebrated the idea of taking in the two partners to the forefront of the car making game. A total of 10.76 million vehicles were sold last year, along with its ally Mitsubishi Motors. This put Renault-Nissan-Mitsubishi ahead of Toyota and Volkswagen.
But this year a slide back in volumes of sales was seen again below both Toyota and Volkswagen.
Ghosn’s era came to an end with his arrest on the charges of financial misconduct and it lifted the lid on an empire that is riven with internal conflicts. Ghosn was the Chairman of all three automobile companies and he concentrated all powers to himself only.
A highly placed official within the alliance said that the singular command masked the incredible diversity of forces at work. But when the command exploded, it liberated the work force.
The Japanese standing behind the Nissan Director Hiroto Saikawa, felt that they were the standout part of the partnership, yet they saw themselves as undervalued for long.
The four square behind the Renault’s then Chief Executive, Thierry Bollore, the French contingent felt themselves as betrayed at a secret Nissan investigation, which has put Ghosn into the hands of the Japanese judiciary.
This alliance was not an integrated group but was a partnership, based on cross shareholdings, without having a joint structure. Renault holds 43% of Nissan that has 15% stake at Renaults and a 34% controlling stake at Mitsubishi.