Page 61 - PRAGMATIC STRATEGY

Nissan follows a business strategy of direct technology transfer through formal tie-
ups with foreign automakers like British, American, and German automakers or
part manufacturers. It uses one market’s successful strategy in another if it feels
that strategy can work in the new market as well. Nissan have made several global
alliances with firms like Daimler, Mazda, Volvo, Mitsubishi, etc. to the extent that
more than 73% of its global market is covered by these alliances with the exception
of the USA where it operates without any sort of alliance.

Although the car industry in Britain is now largely foreign owned, it still employs
more than 700,000 and accounts for more than 10 per cent of exports -- an annual
value of around 25 billion pounds.

2012 saw the UK attract, from these global vehicle manufacturers, in excess of
£4bn to plants and facilities, securing future model production and employment for
the U.K.

However, in early January 2013 Honda announced that it planned to cut 800 jobs
at its Swindon plant, blaming weak demand across Europe emanating from the
eurozone crisis. In contrast, three days after the Honda announcement, the Tata
owned JAGUAR LAND ROVER group announced it was creating 800 new jobs