Renault Nissan Partnership

The most important problem facing the Renault Nissan Partnership, Inc. is that both sides—Renault and Nissan—may soon face their own blend of internal problems. These problems, when taken from both parties and when merged or when analyzed from the overall perspective of the partnership, will most likely result to misinterpretations and, consequently, misunderstandings thereby undermining the whole purpose of the partnership. This eventually affects the general performance of the partnership as it divides and sets apart the two companies.

The most probable set of recommendations that can be given to the Renault Nissan Partnership is for both sides to essentially take into account all the possible angles that will explain the problems that beset the other party. That is, an understanding and awareness of the other side’s problems should be given proper importance because both companies are involved in a partnership and that the welfare of one significantly contributes to the welfare of the whole.

This should be the first consideration that the Renault Nissan Partnership should give full attention essentially because the very essence of the partnership would be undermined. Once this happens, the performance of the partnership will be affected as well which manifests at least in terms of the productivity rate and overall image of the partnership. Another is that the good relations of the involved parties in the partnership will also be affected. It leads to the possibility of a split-up where either one or both of the parties may disengage from the partnership.

Another recommendation is that the Renault Nissan Partnership should anticipate possible discrepancies in terms of production so as to preempt the occurrence of one or, at the least, allot enough time for the partnership to address or to be able to resolve the impending crisis as soon as possible. Internal problems can be resolved through the early exposition of predicted problems thereby creating enough time between the occurrence of the predicted problem and the current timeframe. This expanse of time should be used in order to formulate sets of solutions as early as time permits.

Last but not the least, when the partnership is faced with drawbacks from either sides, it should be the case that both should not leave-out the other party and, instead, provide substantial assistance in order to uplift the business relationship and lessen the impact of the problem to both Renault and Nissan. This assistance can take many forms depending upon what the existing situation necessitates or on what the nature of the problem is. In essence, the business partnership should all the more be strengthened during times of financial or internal difficulties and that the real test of the Renault Nissan Partnership rests on these unwanted instances.

One can balance commitments to shareholders and commitments to the community by setting certain priorities depending on the context of the existing situation. That is, if the situation necessitates that the commitment towards the shareholders outweighs the commitment towards the community, it should be the case that one should choose the shareholders. On the other hand, the opposite case should be maintained thus suggesting the very idea of setting priorities according to the degree of importance as necessitated by the situation.

On another note, when one is faced with the commitment towards the community or to the shareholders, it must be the case that one ought to give full attention to the needs of the concerned party in order to equalize everything when the time that the other side or party is also the one that should be committed with.

In essence, setting priorities plays a key role in maintaining the balance between the levels of commitment towards the community and the shareholders.

References

Culpan, R. (2002). Global Alliances in the Automobile Manufacturing Industry. In Global Business Alliances: Theory and Practice (pp. 126-136). Westport, Conn: Praeger.

Hoed, R. v. d., & Vergragt, P. J. (2005). Technology changes and industrial responses: changes in fuel options for the fuel cell automobile in the automobile industry. In K. Green, M. Miozzo & P. Dewick (Eds.), Technology, Knowledge and the Firm: Implications for Strategy and Industrial Change (pp. 149). Northampton, MA: Edward Elgar Publishing, Inc.

 

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