Nissan getting out of Europe?
Posted: Tue May 05, 2020 6:35 am
(Reuters) - Nissan Motor Co Ltd (7201.T) will pull back from Europe and elsewhere to focus on the United States, China and Japan under a plan that represents a new strategic direction for the embattled carmaker, people with direct knowledge of the plan told Reuters.
The “operational performance plan” is due to be announced on May 28 and goes beyond fixing problems from ousted leader Carlos Ghosn’s aggressive expansion drive, the people said.
Pursuit of market share, particularly in the United States, led to steep discounting and a cheapened brand. Under the new, three-year plan - reported here for the first time - Nissan aims to restore dealer ties and refresh lineups to regain pricing power and profitability, the people told Reuters.
“This is not just a cost-cutting plan. We’re rationalising operations, reprioritising and refocusing our business to plant seeds for the future,” one of the people said.
The plan also aims to cut competition and expand cooperation with alliance partners, the people said. Nissan will follow Mitsubishi Motors Corp (7211.T) in plug-in electric hybrid vehicle technology, with the smaller peer taking the lead in Asian markets outside China and Japan. France’s Renault SA (RENA.PA) will likely focus on electrical vehicle technologies and Europe.
https://uk.reuters.com/article/us-autos ... KKBN22G0XD
