Group Renault in the Russian Market

Résumé du document

Solid and ambitious, the Renault Commitment 2009 plan, revealed by Carlos Ghosn on February 2006, mobilizes the entire company around three strong key commitments: quality (position New Laguna among the Top 3 models in its segment, in terms of product and service quality), profitability (achieve an operating profit margin of 6% in 2009) and growth (sell an additional 800,000 units in 2009, compared to 2005). Renault's ambition is to become the most profitable European volume car company. The group now owns plants all over the world. Renault is present in 118 countries, and has had worldwide dimension thanks to its alliance with Nissan, its acquisition of Romanian manufacturer Dacia, the creation of the South-Korean society Renault Samsung Motors and its strategic partnership with AvtoVAZ in 2007. Renault is also the most sold in France. It is ranked ninth in the global car market. Renault was the most sold brand in Europe several years ago, but relinquished it to Volkswagen.

Extraits

[...] To diversify its long-term funding sources, Renault SA is stepping up its presence in the domestic bond market in Japan. It has already made seven Samurai issues (yen-denominated bonds issued in Japan by non-Japanese entities), the latest of which in January 2008. Cash flow Strategy generating by subsidiary of Renault: Since few months, Renault tried to make a cash-flow strategy by reducing his cost, his production and by trying to sell directly the car between their production and the moment when they will be available. [...]

[...] A strategic choice made by Renault in 1998. Avtoframos: subsidiary of Renault Although Renault has been present in Russia since the early 20th century in 1907, it was in 1998 that a milestone event occurred. In association with Moscow city authorities, the Group founded Avtoframos, a company under Russian law. Avtoframos is considered like a subsidiary of Renault which regroups the activities of assembly, import, marketing and sales of Renault vehicles In 2003, Renault invested million to produce and sell Logan under the Renault brand. [...]

[...] $ 635.6 million ( up 56.5 We notice Russia exports a lot of raw materials. It means Russia has enough natural resources at its disposal for his own consumption and can also export them. It is very interesting for Renault because these raw materials are useful to build a car if it wants to increase its market shares there. Indeed, Renault will not have to import some raw materials indispensable to build a car. Therefore the basic raw materials necessary for building a car will be within reach. [...]

[...] Russia is on its way to become Renault group's biggest market. AvtoVAZ is the first national manufacturer and body assembler of cars in Russia, far away before the second The company is actually very famous for this brand AvtoVAZ has a positioning as an entry range. About Avtovaz, they bought two new licences to RENAULT: Two new contracts of licence RENAULT has been approved by AvtoVAZ, the last 5 of September 2008. The first of 120 millions of euro about techniques and “after sales service. [...]

[...] Moreover, Renault has become more operational and has accelerated its international development since this alliance. Renault disposes of a strong R&D department. This department has as goal to make some researches in innovation first and building safe cars second. Indeed, Renault wants to make innovation accessible to everybody. They introduce the best of technology in each car. Secondly, pioneer in security, Renault created in 1954 a laboratory in order to study the effects of accidents. This laboratory hires doctors, engineers, psychologists and sociologists who work together. [...]