Renault

Renault–Nissan Alliance is a strategic Franco-Japanese partnership between automobile manufacturers Renault, based in Paris, France, and Nissan, based in Yokohama, Japan, which together sell more than one in 10 cars worldwide.[1] The companies, which have been strategic partners since 1999, have nearly 350,000 employees and control eight major brands: Renault, Nissan, Infiniti, Renault Samsung Motors, Dacia, Datsun, Venucia and Lada.[2] The car group sold 8.1 million cars worldwide in 2012, behind Toyota, General Motors, and Volkswagen for total volume.[3] As of December 2013, the Alliance is the world's leading plug-in electric vehicle manufacturer, with global sales of over 134,000 units delivered since December 2010.[4]

The strategic partnership between Renault and Nissan is not a merger or an acquisition. The two companies are joined together through a cross-shareholding agreement. The structure was unique in the auto industry during the 1990s consolidation trend and later served as a model for General Motors and PSA Peugeot Citroën,[5] PSA Peugeot Citroën and Mitsubishi, as well as Volkswagen and Suzuki,[6] though the latter combination failed.[7] The Alliance itself has broadened its scope substantially, forming additional partnerships with automakers including Germany's Daimler, China's Dongfeng Motor, and Russia's AvtoVAZ.[6]

The Alliance is a strategic partnership based on the rationale that, due to substantial cross-shareholding investments, each company acts in the financial interest of the other—while maintaining individual brand identities and independent corporate cultures. Renault currently has a 43.4 percent (fully voting) stake in Nissan, and Nissan holds a 15 percent (non-voting) stake in Renault effectively giving Renault control. Although more companies have adopted such an arrangement, it remains controversial. Some business journalists have speculated that the companies should be joined in a conventional merger in order to make a "bold"...