It shouldn’t really surprise anybody that Mitsubishi finally got taken over by a larger auto maker, the brand was simply too small and too irrelevant in the world’s most important markets to survive on its own. But the way Nissan played its cards was a stroke of genius, whether intentional from the get-go or just improvising on the opportunity at hand. Mitsubishi has supplied its bigger rival with Japanese market minicars (“Kei” cars, as described in my article on the Japanese auto culture) since 2011 and when Nissan was testing the pre-production next generation cars they found some irregularities with the reported fuel economy figures. This led to a public scandal in which Mitsubishi had to admit some of its engineers had been using a trick with tire pressures for the past 25 years to overstate fuel economy of its Japanese market cars (and perhaps some cars sold outside of Japan), causing Mitsubishi’s share prices on the stock market to almost halve. Nissan then scooped up 34% of these shares at the heavily discounted price for a controlling stake to become Mitsubishi’s largest single shareholder. It’ll take a few months to complete the takeover, and there are still quite a few issues to be handled before the deal will be finalized, but looking ahead: what will Nissan do with Mitsubishi? [Read more…]
Executive salaries are a hot topic these days, mostly due to the huge bonuses paid out to executives in the financial industry, at companies that needed government aid during the global financial crisis. And the French have always been exceptionally sensitive about this topic, as a country with strong unions and an a socialist government.
So when the Renault board voted to almost triple the 2014 salary of its CEO and Chairman Carlos Ghosn to € 7,2 million in cash and share options (up from € 2,67 million in 2013), it shouldn’t come as a surprise that 5 of the 19 board members voted against the proposal, including those of the French state, which still controls a 15% share in Renault. What these board members must have failed to realize, is that Renault’s net income has also tripled, to € 1,89 billion thanks to sales successes of the Renault and Dacia brands in Europe and continued benefits from the alliance with Nissan.
Ghosn has been in charge of Renault for 10 years and helped to make the alliance with Nissan perhaps the most successful in the automotive world ever, he’s led Nissan for 15 years, and he’s known for setting audacious goals and then achieving them. [Read more…]
After Nissan announced their goal of having multiple self-driving vehicles on sale in 2020 last august, a press release dated yesterday announces the brand is already looking further into the future, and has started investigating the next step into the autonomous car.
“We have asked ourselves: ‘what comes next?’ As a technology leader, you need to have a vision for the future”, Nissan CEO Carlos Ghosn explained to left-lane.com. “We expect passengerless cars to be the mobility of the future. Imagine the benefits for road safety: when fully autonomous cars, without a driver or passenger, are involved in a crash, nobody will suffer serious injury of even fatality.” [Read more…]