Nissan wants equal capital partnership in alliance with Renault

Renault will have to assuage Nissan’s hurt feelings before it moves ahead with capitalizing on synergies within the alliance.

As per a report from Japan;s Nikkei, Nissan Motor Co Ltd will reject a proposal from its French partner Renault SA on integrating the management of the joint venture. Nissan wants an equal capital relationship.

As per the report, Nissan’s management feels it has not been treated as an equal of under existing capital ties and a merger would bring finality into this sense inequality.

Renault has argued, the a tighter integration of management would be suitable since it would maximize synergies within the alliance.

In late March, the Financial Times had reported that Renault intends to restart merger talks with Nissan within 12 months.

Nissan’s spokesman declined to comment.

Renault was not immediately available for a comment.

Categories: Creativity, Entrepreneurship, HR & Organization, Strategy

Tags: , , , , , , , , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: