Nissan not only built race iconic cars but it also built powerful engine in suv to its sport cars and some others company like Suzuki also used its engine in its off-roader gypsy.
Nissan is known for its skyline GTR, patrol, worldwide and it’s first choice for tuning shops and car enthusiasts to customize it.
Best known JDM brand for its performance and wide scope of modification which is used on cartoon tv shows too.
Short history of Nissan
In 1933 a Japanese company tobaka casting where they made a auto devision with the name of Nissan motors, which was formed properly as automobile branch after world war.
From 1950 they started making reliable and affordable cars and till 1960 they were reputed name in car industry.
In 60s nissan started importing their cars in USA and Europe with the name of Datsun which created a history for nissan in automobile field.
In the same time nissan was participating in Japanese race events where they were obtaining lead or 2nd or 3rd position in every car race which started building Nissan’s fan following.
In the 80s and 90s nissan had build some famous and fast cars which captured European and USA customers with their sporty fast cars like GTR etc.
Beginning of the Nissan’s downfall
Nissan was doing everything great but Nissan’s business started facing downfall even if they were in demand in 90s.
It’s true that Nissan attracted customers through its presence in racing world but nissan was involved in racings extremely that it spent most of the money on events and participating and lack of attention on its business.
All of this led to company towards loss and it had 17,02,11,51,000.00 United States Dollar in 1999 and Nissan had to have partnership with Renault with their 36% stake to save it from going to bankrupt.
There are few points which brought downfall on Nissan.
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Cost cutting and no R&D
After getting new CEO nissas focused on major cost cutting and which resulted in lacking research and development on company’s products.
Because of this Nissan’s cars were keeping loosing its iconic badge of performance cars now company shifted to family cars like sedan and vans
and new innovations
Due to cost cutting policies of Nissan there weren’t innovative cars in this brand as it used to be in early year so car enthusiasts started getting away from this brand.
Alliance structure
Nissan has another partners in its share like Mitsubishi and Renault where Renault has more stake in company but still Nissan was more profitable than these other brands.
All this created chaos in board members so there wasn’t progressive partnership due to varying mindset and decisions.
Controversy and arrest of Carlos
In 2018, company’s CEO Carlos ghosn was aarrested in Japan with allegations of hiding own salary and serious charges of financial misconduct against him.
He was accused of using company’s funds and adding their personal losses in company’s balancesheet.
Before Carlos ghoul was taken as a hero in Japanese media for recovering a looss making big company with his dedication strategies and plans by working from morning 7 to evening 11 pm.
Lack of visionary Leadership
After Carlos ghoul arrest Nissan’s leadership was totally wracked so there were no new strategies no clear visionary approach and no strong decisions which resulted it to decreasing even more market share.
Outdated and boring products
In post pandemic Era nissan was totally on Backfoot when other competitors were busy in adopting new market trend and manufacturing their products with new technologies especially in ev sector, nissan wasn’t even updating their existed products from very long time.
There’s even some issues with its models and quality complains were on peak which was making negative impact on Nissan’s customer service experience of people.
Slower actions than rival and even new established car brands
Where other brands
Overexpension
When Nissan’s sales were on peak in year 2017 then nissan started expansion globally before stabling its growth and profile. Nissan was spending more on expansion without a proper lineup and product.
So in 2020 pandemic, nissan couldn’t handle overexpansion burden and it started scaling down.
And this wasn’t a good sign for a company which started giving competition to brands like honda Toyota etc.
Nissan lost its half value after its profit dragged down 75% with sale from 5.8 million to 4 million and desperate for survival.
Nissan in india
Nissan entered in Indian car market in 2005 with its Teana model through cbu route. Later Nissan’s collaboration with Renault brought well known hatchback cars like Renault kwid, nissan micra in a manufacturing plant in Chennai.
With this joint venture nissan brought very decent products in india like nissan micra, sunny etc which had a great market share with big numbers of sales.
Weak products planning
Nissan failed to plan its products well structurally to launch in india where even dealers couldn’t catch their strategy. It led massive confusion in buyers and dealers
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Less and limited service centers
No doubt Nissan’s products were quality products but it failed to expand its service centers and customer experience with ita services. There was massive issue with spare parts availability which was enough for negative marketing about Nissan’s services.
Under estimating to Indian customers
Where entry level car market was already being dominating by well established car brands Hyundai and Maruti Suzuki, nissan didn’t provide even infotainment system in it dutson go and redigo hatchback even it top varient.
Indian customers were underestimated by nissan which caused failure in Indian operation.
Life cycle management
When Nissan didn’t have much products in indian market, it decided to discontinue well performing products like micra, sunny without launching any successor or any new replacement.
Even terrano was discontinued within few years of its launch even if it was rebadge kf Renault Duster.
Currently there’s only one product of Nissan in Indian market which is nissan magnet and nissan is exporting Nissan magnate outside India from its Indian manufacturing plant.
Conclusion
So nissan is missing its innovative soul in design and if it wants to comeback then nissan should avoid unnecessary coat cutting and bring some new models in market after researching.
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