Strategic Analysis of the Renault-Nissan-Mitsubishi Alliance
Strategic Analysis of the Renault-Nissan-Mitsubishi Alliance
By Launching 12 New EV Models, the Alliance is Set to be the First to Cross the One-million-a-year Sales Mark by 2022
11-Sep-2018
Global
Description
In 2017, the Renault-Nissan-Mitsubishi Alliance sold an estimated 10.6 million passenger vehicles and light commercial vehicles (LCVs), making it the best-selling automotive group in the world. Such an achievement stems from the Alliance’s commitment to driving maximum synergies, while enabling individual brands to retain their distinct identities and realise sustained revenue growth.
Renault sold more than 3.76 million vehicles in 2017, establishing a strong presence in emerging markets: Russia, India, Iran, Turkey, and Brazil. Nissan sold more than 5.8 million vehicles, while Mitsubishi (in which Nissan has a controlling stake) racked up sales of 1 million in vehicle, with China and the US being the largest markets for both companies.
Renault and Nissan have generated strong synergies over the years in the purchasing, engineering, and manufacturing spaces.
a. Purchasing: Since 2009, the Renault-Nissan Purchasing Organisation (RNPO) has been responsible for 100% of all Alliance purchases. The convergence of platform, powertrain, and component development has helped RNPO generate very high economies of scale for the Alliance.
b. Engineering: The joint development of a modular vehicle platform—the Common Module Family (CMF) —is aimed at reducing manufacturing costs across the Alliance
c. Manufacturing: In emerging markets, such as Russia, India and Brazil, the Alliance has worked in unison to boost market penetration. In 2010, the first joint manufacturing facility was set up in India, to manufacture Renault, Nissan and Datsun vehicles.
d. LCV: Renault, which also manufactures for Fiat and Nissan, has a strong presence in the global van market, while Nissan has a light truck business unit. The LCV unit was spun off into a separate business unit in 2017, to grow LCV sales worldwide.
Research Highlights
Future of the Alliance: In September 2017, the Alliance announced its ambitious six-year plan. Highlights of the Alliance 2022 plan are:
- 9 million vehicles to share four platforms
- Powertrain sharing to increase from 30% to 75%
- 12 pure electric models
- 40 vehicles with autonomous drive technology
- Robo-vehicle ridehailing service operator
Key Conclusion
Renault, Nissan, and Mitsubishi have come together to form Alliance Ventures, a venture capital unit through which they intend to spend $1 billion in the next 5 years on innovative technology and new business models.
RESEARCH: INFOGRAPHIC
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Table of Contents
Executive Summary—Key Highlights
Sales Performance Benchmarking
Executive Summary—Alliance 2022 Plan
Executive Summary—Common Module Family (CMF)
Executive Summary—Electrification Model Roadmap
Executive Summary—Autonomous Vehicle Rollout
Executive Summary—Global Manufacturing Footprint
Executive Summary—Current and Future Outlook
Research Scope Aims and Objectives
Research Aims and Objectives
Key Questions this Study Will Answer
Vehicle Segment Definitions
The Need for the Alliance
Alliance—Structure
Alliance—Organization
Alliance—Company Performance
Alliance 2022 Plan
Alliance—Synergies
Alliance—Challenges
Financial Performance Benchmarking
Sales Performance Benchmarking
Alliance Top Markets #1—China
Alliance Top Markets #2—US
Alliance Top Markets #3—France
Alliance Top Markets #4—Japan
Alliance Top Markets #5—Russia
Alliance Performance in Emerging Nations
Model Line-up—Hatchbacks and Sedans
Model Line-up—SUVs, Wagon and Trucks
Best-performing Models—Renault
Best-performing Models—Nissan
Best-performing Models—Mitsubishi
Alliance Luxury Vehicle Brand—Infiniti
Alliance as a Pioneer of Advanced Technology—QX50
Performance Vehicles
Light Commercial Vehicles
Common Module Family (CMF)
CMF Platform—Model Evolution
Platform Future Strategy—CMF-B
Powertrain Portfolio 2018
Powertrain Synergies and Future Models
Electrification 2018
Electrification—Battery Ecosystem
Electrification Technology Evolution
Electrification Model Roadmap
Electrification Partnership
Autonomous Vehicles 2018
Future of Autonomous Technology
Autonomous Vehicle Rollout
Future of HMI in Autonomous Vehicles
Future of Connectivity
Advanced Technology Partnerships
Global Manufacturing Footprint
Manufacturing Strategy—France and Japan
Manufacturing Strategy—North America
Manufacturing Strategy—South America
Manufacturing Strategy—Southeast Asia
Manufacturing Strategy—China
Manufacturing Strategy—Europe
Battery Manufacturing
Battery Reusability
Purchasing and Aftermarket Synergies
Impact of the Manufacturing Strategies on the Alliance
Daimler-Alliance Relationship
Advantages of the Daimler Partnership
Future of the Daimler Partnership—COMPAS
The Future of the Daimler Partnership
Current Retail Strategy
Future Brick-and-Mortar Retail Strategy
Online Retail Strategy
Impact of Retail Strategy on the Alliance
Financial Services Highlights
Future of Financial Services
RCI Bank Partners and Acquisitions
Other Financial Services
Alliance Ventures—Structure
Alliance Ventures—Comparison
Ionic Materials—Why Did RNM Invest in this Company?
The Impact of Start-ups on the Alliance
New Mobility Services—Current Scenario
Car Sharing Services—Key Markets
New Mobility Services—Partnerships
New Mobility Strategy—Future
The Impact of New Mobility Services on the Alliance
Growth Opportunity for the Alliance
Strategic Imperatives for Success and Growth
The Last Word—3 Big Predictions
Legal Disclaimer
Market Engineering Methodology
List of Exhibits
- 1. Alliance: Electric Model Rollout, Global, 2018–2022
- 2. Alliance: Autonomous Vehicle Rollout, Global, 2016–2019
- 3. Renault Nissan Mitsubishi Alliance: Current and Future Outlook, Global, 2017 and 2023
- 4. Vehicle Segment Definitions, Global, 2018
- 5. Alliance: Structure, Global, 2017
- 6. Unit Sales, Emerging Markets, 2016 and 2017
- 7. Top Performing Vehicle for Renault Group, Global, 2017
- 8. Vehicle with Highest YoY Growth in Renault Group, Global, 2017
- 9. Vehicle with Highest YoY Growth in Nissan Group, Global,2017
- 10. Top Performing Vehicle for Nissan Group, Global, 2017
- 11. Top Performing Vehicle for Mitsubishi Group, Global, 2017
- 12. Vehicle with Highest YoY Growth in Mitsubishi Group, Global, 2017
- 13. Motorsports Derived Technology, Global, 2017
- 14. Alliance: Common Modular Family Platform, Global, 2013–2022
- 15. Electric Vehicle Portfolio, Global, 2017
- 16. Battery Suppliers and Chemistry Used, Global, 2017
- 17. Alliance: Electrification Technology Evolution, Global, 2010–2018
- 18. Alliance: Electric Model Rollout, Global, 2018–2022
- 19. Alliance: Autonomous Vehicle Rollout, Global, 2016–2019
- 20. Alliance: Aftermarket Synergies, Global, 2017 and 2023
- 21. Alliance: Purchase Synergies, Global, 2017
- 22. Alliance Dealerships and Brand-wise split, Global, 2017
- 23. Alliance Dealerships: Key Markets, Global, 2017
- 24. Alliance: RCI Bank Partners and Acquisitions, Global, 2017
- 25. Alliance: Ventures Comparison, Global, 2017
- 26. Alliance: Strategic Imperatives for Success and Growth, Global, 2017
- 1. Top 5 Automotive OEM Groups’ PVs and LCVs, Global, 2017
- 2. Alliance 2022 Targets, Global, 2017
- 3. Alliance Manufacturing Facilities, Global, 2017
- 4. Alliance: Company Performance, Global, 2017
- 5. Alliance 2022 Targets, Global, 2017
- 6. Alliance: Synergies Generated, Global, 2009–2022
- 7. Alliance: Finance Performance Benchmarking, Global, 2015–2018
- 8. Top 5 Automotive OEM Groups’ PVs and LCVs, Global, 2017
- 9. Top-selling Vehicles, China, 2017
- 10. Unit Sales Share of Alliance Brands, China, 2017
- 11. Unit Sales Share of Alliance Brands, US, 2017
- 12. Top-selling Vehicles, US, 2017
- 13. Unit Sales Share of Alliance Brands, France, 2017
- 14. Top-selling Vehicles, France, 2017
- 15. Unit Sales Share of Alliance Brands, Japan, 2017
- 16. Top-selling Vehicles, Japan, 2017
- 17. Top-selling Vehicles, Russia, 2017
- 18. Unit Sales Share of Alliance Brands, Russia, 2017
- 19. Unit Sales Share of Alliance Brands, Emerging Markets, 2017
- 20. Alliance: Hatchbacks and Sedans, Global, 2018
- 21. Alliance: SUVs, Wagon and Trucks, Global, 2018
- 22. Luxury Vehicles—Infiniti Unit Sales, Global, 2014–2017
- 23. RNM Alliance Powertrain Distribution, Global, 2017 and 2023
- 24. Nissan LEAF Sales, US & Europe, 2014–2017
- 25. Alliance: Manufacturing Facilities, Global, 2017
- 26. Percent Split of Dealerships by Brand, Global, 2017
- 27. Number of Vehicle Contracts, Global, 2017–2022
- 28. Number of Service Contracts, Global, 2017–2022
Popular Topics
Research Highlights
Future of the Alliance: In September 2017, the Alliance announced its ambitious six-year plan. Highlights of the Alliance 2022 plan are:
- 9 million vehicles to share four platforms
- Powertrain sharing to increase from 30% to 75%
- 12 pure electric models
- 40 vehicles with autonomous drive technology
- Robo-vehicle ridehailing service operator
Key Conclusion
Renault, Nissan, and Mitsubishi have come together to form Alliance Ventures, a venture capital unit through which they intend to spend $1 billion in the next 5 years on innovative technology and new business models.
No Index | No |
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Podcast | No |
Table of Contents | | Executive Summary~ || Executive Summary—Key Highlights~ || Sales Performance Benchmarking~ || Executive Summary—Alliance 2022 Plan~ || Executive Summary—Common Module Family (CMF)~ || Executive Summary—Electrification Model Roadmap~ || Executive Summary—Autonomous Vehicle Rollout~ || Executive Summary—Global Manufacturing Footprint~ || Executive Summary—Current and Future Outlook~ | Research Scope and Methodology~ || Research Scope Aims and Objectives~ || Research Aims and Objectives~ || Key Questions this Study Will Answer~ || Vehicle Segment Definitions~ | Overview of the Alliance and its Brand Synergies~ || The Need for the Alliance~ || Alliance—Structure~ || Alliance—Organization~ || Alliance—Company Performance~ || Alliance 2022 Plan~ || Alliance—Synergies~ || Alliance—Challenges~ | Overview of Key Market Performance~ || Financial Performance Benchmarking~ || Sales Performance Benchmarking~ || Alliance Top Markets #1—China~ || Alliance Top Markets #2—US~ || Alliance Top Markets #3—France~ || Alliance Top Markets #4—Japan~ || Alliance Top Markets #5—Russia~ || Alliance Performance in Emerging Nations~ | Product Portfolio Strategy~ || Model Line-up—Hatchbacks and Sedans~ || Model Line-up—SUVs, Wagon and Trucks~ || Best-performing Models—Renault~ || Best-performing Models—Nissan~ || Best-performing Models—Mitsubishi~ || Alliance Luxury Vehicle Brand—Infiniti~ || Alliance as a Pioneer of Advanced Technology—QX50~ || Performance Vehicles~ || Light Commercial Vehicles~ || Common Module Family (CMF)~ || CMF Platform—Model Evolution~ || Platform Future Strategy—CMF-B~ | Technology Strategy—Powertrain & Electrification~ || Powertrain Portfolio 2018~ || Powertrain Synergies and Future Models~ || Electrification 2018~ || Electrification—Battery Ecosystem~ || Electrification Technology Evolution~ || Electrification Model Roadmap~ || Electrification Partnership~ | Technology Strategy—Autonomous and Connected Technology~ || Autonomous Vehicles 2018~ || Future of Autonomous Technology~ || Autonomous Vehicle Rollout~ || Future of HMI in Autonomous Vehicles~ || Future of Connectivity~ || Advanced Technology Partnerships~ | Manufacturing Strategies~ || Global Manufacturing Footprint~ || Manufacturing Strategy—France and Japan~ || Manufacturing Strategy—North America~ || Manufacturing Strategy—South America~ || Manufacturing Strategy—Southeast Asia~ || Manufacturing Strategy—China~ || Manufacturing Strategy—Europe~ || Battery Manufacturing~ || Battery Reusability~ || Purchasing and Aftermarket Synergies~ || Impact of the Manufacturing Strategies on the Alliance~ | Daimler Strategic Cooperation~ || Daimler-Alliance Relationship~ || Advantages of the Daimler Partnership~ || Future of the Daimler Partnership—COMPAS~ || The Future of the Daimler Partnership~ | Retail Strategies~ || Current Retail Strategy~ || Future Brick-and-Mortar Retail Strategy~ || Online Retail Strategy~ || Impact of Retail Strategy on the Alliance~ | Financial Services Strategy~ || Financial Services Highlights~ || Future of Financial Services~ || RCI Bank Partners and Acquisitions~ || Other Financial Services~ || Alliance Ventures—Structure~ || Alliance Ventures—Comparison~ || Ionic Materials—Why Did RNM Invest in this Company?~ || The Impact of Start-ups on the Alliance~ | New Mobility Strategies~ || New Mobility Services—Current Scenario~ || Car Sharing Services—Key Markets~ || New Mobility Services—Partnerships~ || New Mobility Strategy—Future~ || The Impact of New Mobility Services on the Alliance~ | Growth Opportunities and Companies to Action~ || Growth Opportunity for the Alliance~ || Strategic Imperatives for Success and Growth~ | Conclusions~ || The Last Word—3 Big Predictions~ || Legal Disclaimer~ | Appendix~ || Market Engineering Methodology~ || List of Exhibits~ |
List of Charts and Figures | 1. Alliance: Electric Model Rollout, Global, 2018–2022~ 2. Alliance: Autonomous Vehicle Rollout, Global, 2016–2019~ 3. Renault Nissan Mitsubishi Alliance: Current and Future Outlook, Global, 2017 and 2023~ 4. Vehicle Segment Definitions, Global, 2018~ 5. Alliance: Structure, Global, 2017~ 6. Unit Sales, Emerging Markets, 2016 and 2017~ 7. Top Performing Vehicle for Renault Group, Global, 2017~ 8. Vehicle with Highest YoY Growth in Renault Group, Global, 2017~ 9. Vehicle with Highest YoY Growth in Nissan Group, Global,2017~ 10. Top Performing Vehicle for Nissan Group, Global, 2017~ 11. Top Performing Vehicle for Mitsubishi Group, Global, 2017~ 12. Vehicle with Highest YoY Growth in Mitsubishi Group, Global, 2017~ 13. Motorsports Derived Technology, Global, 2017~ 14. Alliance: Common Modular Family Platform, Global, 2013–2022~ 15. Electric Vehicle Portfolio, Global, 2017~ 16. Battery Suppliers and Chemistry Used, Global, 2017~ 17. Alliance: Electrification Technology Evolution, Global, 2010–2018~ 18. Alliance: Electric Model Rollout, Global, 2018–2022~ 19. Alliance: Autonomous Vehicle Rollout, Global, 2016–2019~ 20. Alliance: Aftermarket Synergies, Global, 2017 and 2023~ 21. Alliance: Purchase Synergies, Global, 2017~ 22. Alliance Dealerships and Brand-wise split, Global, 2017~ 23. Alliance Dealerships: Key Markets, Global, 2017~ 24. Alliance: RCI Bank Partners and Acquisitions, Global, 2017~ 25. Alliance: Ventures Comparison, Global, 2017~ 26. Alliance: Strategic Imperatives for Success and Growth, Global, 2017~| 1. Top 5 Automotive OEM Groups’ PVs and LCVs, Global, 2017~ 2. Alliance 2022 Targets, Global, 2017~ 3. Alliance Manufacturing Facilities, Global, 2017~ 4. Alliance: Company Performance, Global, 2017~ 5. Alliance 2022 Targets, Global, 2017~ 6. Alliance: Synergies Generated, Global, 2009–2022~ 7. Alliance: Finance Performance Benchmarking, Global, 2015–2018~ 8. Top 5 Automotive OEM Groups’ PVs and LCVs, Global, 2017~ 9. Top-selling Vehicles, China, 2017~ 10. Unit Sales Share of Alliance Brands, China, 2017~ 11. Unit Sales Share of Alliance Brands, US, 2017~ 12. Top-selling Vehicles, US, 2017~ 13. Unit Sales Share of Alliance Brands, France, 2017~ 14. Top-selling Vehicles, France, 2017~ 15. Unit Sales Share of Alliance Brands, Japan, 2017~ 16. Top-selling Vehicles, Japan, 2017~ 17. Top-selling Vehicles, Russia, 2017~ 18. Unit Sales Share of Alliance Brands, Russia, 2017~ 19. Unit Sales Share of Alliance Brands, Emerging Markets, 2017~ 20. Alliance: Hatchbacks and Sedans, Global, 2018~ 21. Alliance: SUVs, Wagon and Trucks, Global, 2018~ 22. Luxury Vehicles—Infiniti Unit Sales, Global, 2014–2017~ 23. RNM Alliance Powertrain Distribution, Global, 2017 and 2023~ 24. Nissan LEAF Sales, US & Europe, 2014–2017~ 25. Alliance: Manufacturing Facilities, Global, 2017~ 26. Percent Split of Dealerships by Brand, Global, 2017~ 27. Number of Vehicle Contracts, Global, 2017–2022~ 28. Number of Service Contracts, Global, 2017–2022~ |
Author | Venkata Balakrishnan |
Industries | Automotive |
WIP Number | MDD5-01-00-00-00 |
Is Prebook | No |
GPS Codes | 9800-A6,9AF6-A6 |