Based on the theoretical building framework, this study also carry the secondary research method to collect the useful information about external business environment such as economic figure, population rate and so on, and also the Nissan’s company’s information. At least twice each year, use the SWOT analysis to discover key internal and external issues and refresh the strategies and tactics of your … It is a useful technique to analyze the present Strengths (S), Weakness … Japan public has high level of social responsibility awareness; Japanese people are more interested in the eco products. Nissan has introduced its electric vehicle product Nissan Leaf, which as the first electric vehicle to be manufactured in large scale in the world. He likes to blog and share his knowledge and research in business management, marketing, literature and other areas with his readers. In this way, Nissan’s Leaf is among the best selling EVs worldwide. In the future Nissan has to adopt market penetration strategy in the automobile market through the effective marketing strategy such as promotion strategy, price strategy and so on. Its focus on CSR has also helped the company grow its brand image stronger. Competition has kept growing intense in the automobile industry. Nissan also experienced a rise in sales of its electrical models. Design/methodology/approach – Based on primarily secondary research i.e. Industry Center: Nissan Motor Co., Ltd. Company Profile. Demand for SUVs and hybrids has risen fast in recent years. Our services are to be used for research and reference purposes only, Home Of Dissertations Copyright © 2012-2020. Japanese economic freedom score is 74.7 that ranks 25th freest in 2014 Index (The Heritage Foundation, 2014). This is a result of strong brand equity and continuous investment in product quality. Sales of electric cars have grown worldwide but overall vehicle sales have reduced. In the world automobile industry, Nissan has to be better understanding of the changing of market trend through the effective market research. Nissan has made important strategic changes to ready the company for the future challenges. Except for a decline in market share in the United States, Nissan did not experience any major decline in net revenue in fiscal 2018 as compared to 2017. Nissan has started to shine in the electric and hybrid space as well. The recalled models included 2016-2017 Maxima, 2013-2016 Altima, NV200, Leaf, Sentra and Pathfinder, 2014-2016 NV200 Taxi, 2014-2017 Rogue, 2015-2016 Murano and Murano Hybrid, and 2014-2015 Pathfinder Hybrid vehicles. But, the business firms face the rapid changing of the environments that force them to adjust their corporate, business and operational strategies. E.g. The issue came to the notice of NHTSA and Nissan in 2018. Cash flow from operating activities reached 1,450.9 billion Yen in 2018 compared to 1,071.25 billion Yen in 2017. Nissan Place & Distribution Strategy: Following is the distribution strategy of Nissan: Nissan … And also the ‘Passenger cars’ is the company’s major business that generate great valued for the company. SWOT analysis of Nissan Motors analyses the brand/company with its strengths, weaknesses, opportunities & threats. The supply chain management consist of two different activities and is amalgamated into the present time of a strategic and holistic approach to material, logistics, and operation management (Tan, 2001: pp.39-48). And also, building the deep relationship with the international suppliers in which find the lowest-cost products. There are moderate threats of substitute products for Nissan. The auto industry is changing fast and various consumer demographics have different needs and varying expectations from the automakers. However, while it has still not led to a recall, it could lead to a recall campaign once investigation by NHTSA is completed. It will be caught in Plagiarism. At the time, Louis Schweitzer was the CEO of Renault and Carlos Ghosn the CEO of Nissan. Today, the ecommerce provides a very convenient pattern for customer shopping in Nissan. The great advantages of adopting the advanced IT involvingin Nissan’s operation process are reducing the operational costs and enhance the marketing performance. And also, building efficient system is to link suppliers’ product with the firms’ production processes in which effective response to customers’ unique manufacturing specifications. contact:,, recalled more than 215,000 vehicles including cars and SUVs. Summary This paper "Nissan - Corporate-Level Strategy" focuses on the fact that the corporate level strategy can be considered to be actions that are taken by an organization so as to gain competitive … In the recent years, Japan’s economic is recover (Nakamichi and Warnock, 2014). [Online]. Yahoo! Its market share in the U.S. has also kept falling. Localization is a priority for the Nissan… However, Nissan must continue to focus upon growing its portfolio of electrical cars and continue to invest in autonomous driving as well as AI and other latest technologies. The product diversification strategy should be carried out focusing on understanding the target market. However, during the previous decade, Nissan management has emphasized on short-term market share growth, instead of profitability or long-term strategic success. This shows that the demand for electric cars will continue to grow in the coming years. FRAMEWORK FOR COMPETITOR ANALYSIS Framework of competitive analysis provides are clear picture of the Nissan’s competitor strategic moves, strength, weakness and their current … Based on the differentiation strategy, Nissan has to extend its sustainable mobility technology to all Nissan cars through using their hybrid technology that aims to respond to the environmentally friendly trend and reduce the operation costs to achieve the low price advantage in the world automobile market. the best way to find growth amid a difficult situation is to invest in the latest technologies and improving the product portfolio. The effective strategic designing is according to the external and internal business environment analysis (Campbell and et. Nissan … According to the Kelly Blue Book, the company recalled around 3 million vehicles in 2016 over airbag issues. By using this two analysis, Nissan can analyze their company and make necessary plans and implement strategy to achieve competitive in the market and producing environmental friendly cars to protect the … Nissan must grow its R&D investment, if it wants to maintain its competitive advantage and grow sales faster. Thus, Nissan… The initiative also focuses on China which has become the leading automobile market of the world. 2.4. Get a Quote Get an instant price with no sign up required. Some of the innovations created by Nissan include Nissan Pro-pilot, an automated driving system, an epedal which allows for acceleration, deceleration and complete braking using just one pedal. Nissan of North America for the promotion of the Nissan Leaf, Washington State’s best-selling electric vehicle. Apart from having sold more than 10.76 million vehicles , the alliance operates across more than 200 markets worldwide. Diversification strategy . These things could make growth of the brands in future difficult. To further grow its brand equity, the company has made a strategic plan as a part of which the company will grow its investment, electrical vehicles, sustainability and maximizing satisfaction for all the stakeholders. These business strategy models are found from the business books and articles. However, Nissan’s marine business does not occupy strong market share, but, this product sector is kind of product diversification that alliance with the company’s international strategy. Apart from that, digital technology and autonomous driving technology have also acquired higher popularity. Nissan had experienced sales decline during 2018. Developing countries like those of Asian nations are showing positive growth rate as these markets are evolving with the rise in income level, & purchasingpower. [Online]. Producing more vehicles locally will help the brand bring manufacturing costs down. This gives an insight in the Nissan marketing mix pricing strategy. However, Nissan has been able to sustain its sales and even grow its market share in China. The rivals of Nissan including Honda, Ford, Toyota and others invest heavily in R&D, marketing and sales so as to grow their market share. This study adopts the deductive research approach with the secondary research method. You are only allowed to use the essays published on these platforms for research purpose, and you should not reproduce the work. There are a large number of troubles before Nissan Motors right now. Nissan also needs to adopt some especially human resource management strategy e.g. Nissan is dealing with a large number of internal problems. In order to achieve the company’s cost-leadership competitive, Nissan has to utilize the economies of scale to reduce costs. The automobile industry has entered a challenging phase in the twenty first century and most brands have experienced a decline in sales in 2019. Simultaneously, the company will be able to grow its local sales by catering to the demand and taste of Chinese customers. Nissan has established more than one strategic alliances and partnership with other companies. In the automobile segment, Nissan operates in such areas such as Infiniti car, Passenger cars and electric vehicles, Marine and Forklift industry. Nissan operates in two segments: automobile segment and sale financing segment. Nissan applies the diversification strategy in which the company offer and operates in a wider range of products and services. Instead, Nissan will continue its strategy of using the sponsorship as a brand platform as it looks to raise awareness in European markets where “it is not necessarily at the level of awareness of some other marques”. The company is positive about faster growth in the coming years. In this respect, Nissan Motor Company has proved to be a valuable study case. It also launched a device campaign to avoid a major recall in 2019. But, these kinds of product have long-term product life cycle, as a result, the market growth sale rate is becoming declined. [Online]. This will help grow both demand and popularity. [Online]. In 2017, the alliance invested around 5.7 billion Euros in synergies. Nissan is benefited from the technological know-how and power manufacturing industry. Available through: [Assessed on 25th March, 2014]. So, regulatory pressure is one of the leading threats, the automotive firms including Nissan Motors are facing. [Online]. Here's the SWOT analysis of Nissan which is a leading automobile manufacturer. The company sells its cars under the Nissan, Infiniti, and Datsun brands with in-house performance tuning products labeled Nismo. Strategic planning demands realistic and objective assessment. 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