Business Strategy Analysis: Nissan Motor Company

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Question :

Write a topic on "Business Strategy".

Assignment Scenario : Nissan Motors UK


You are to take the role as a strategic manager for Nissan, a Japanese carmaker that also operates in the UK. Nissan sells its cars under different brands such as Nissan, Infiniti, and Datsun.  

In 2013 Nissan was the 6th  largest worldwide carmaker just behind Toyota, General Motors, Volkswagen Group, Hyundai Motor Group, and Ford.    

You have been asked to review some of the many changing aspects of strategic management in modern business. It requires the understanding and skills needed to design and implement operational systems to improve their effectiveness and efficiency to achieve the desired results for the business.  

Due to the continuous changing nature and complexity of strategic business. You are required to research, gather and present the appropriate information both management theories and practical examples applicable to the context of your chosen organisation.  

You are also required to demonstrate comprehensive subject knowledge and its application to the chosen context including the importance and interrelationship of business processes, the development and the implementation of strategic activities together with quality systems and health and safety in achieving satisfactory results.

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Answer :

Task 1


Nissan Motor Company is well known Japanese multinational automobile company. The head quarter of the company is located in the city of Yokohama (Nissan, 2017). The company is popularized due to its unique innovative strategy and stylish range of cars. It is widely acclaimed for its combustion control of engine, zero emission facility of its vehicle, and fuel-efficient strategy. The company is placed in the third position due to its sales amount and revenue recovering its operational profit. Car manufacturing is a complex function that involves strategic planning, productivity and marketing. The functions are determined by its accuracy, strength, determination, effective planning, as there is no chance for errors in its prevalence. Nissan the well known car manufacturing company, therefore, cannot take the risks of such chances as the outcome needs to adhere in producing first class quality fulfilling the demands of the people across globe (Andre et al. 2017). The paper discuses the marketing strategy of the company, and how the implementation of the strategies have helped in giving the company global acclamation. The paper focuses on the external and internal influences that affected the company’s growth and development. 

1.1 Mission, vision, objectives and competencies of the company:

The strategic planning of the company is very much essential to develop the market plan in a proper way and to help in the company growth in the global market. The Nissan Company based in UK has some of the strategic planes that help the company to achieve the market value and along with that with the help of the strategic planning is gaining the faith and consideration of the customers. The company aims at providing the best value to the customers the sustainable process of the company products and services will give the direct view to the market insight. The sustainable growth of the company will lead it towards the long-term growth. The company is focusing on to make the enduring contributions to social development as a valued and trusted member of the society (Yim et al. 2015)

To change and enrich the people’s life the company is strategizing the value for them. Nissan company is doing the business with a view that they will provide the social service that includes, taking care of the environment by doing the business, support and create agreed value for education and most importantly serving the humanitarian relief when it will necessary (Whittington, 2016). The social contribution is the most effective thing for them and they work based on that sense to provide best service to the customers with a relation to the social value. The company believes in creating the efficient service for the customers and catering the customer and the acknowledgement about every information of the company and thereby they wants to sell their products. 

1.2 Planning and formulating strategies:

The company will formulate the new strategies and it will help the company to bring popularity and growth to the organization. Forecasting the value and the marketing objectives for the company is the main essential thing and the company before starting business, and to serve the service to the customer the company needs to look at the strategic value of the market as well as the market itself. The formulation of strategies has started from the insight that customers are the main consideration for them and they need to serve the best service to the customers. Not only by providing, the best service but the company also needs to look at the strategic and effective pricing of the products. The customers avail the services when they will be happy with the service providence (Albrechts, 2013)

The employees of the organization and the marketing people need to know that they have to strategize the entire plan because of the customer preferences and effective pricing. The voluntary participation of the employees as well as the management team will help the company to get the best place in the customers’ eyes and also bring growth to the market. The marketing capabilities of the company and the objectivities that the company wants to achieve by the help of measurable, realistic planning the company can achieve growth. Objectives of the company will direct it towards the motivation and in future, it will accomplish anything within a certain period of time. Strategies are the main game plan for the company and the successful strategy formulation will bring the competitive advantages that the competitors cannot initiate easily. 

The specific actions and the tactics will help the company to reach out to the larger base of the customers. Nissan UK company is sustain its value in the market and the advantage in the competitive market by developing each day innovative in the market. The mega brand is focusing on creating the brand value to the customer’s mind. The marketing plan of the company is another necessity for reaching up-to the desirability of the customers. The marketing plan will help the company to allocate the resources and divvy up the tasks that the employees need to involve for the company to meet the market objectives. In this process the market penetration, product development, diversification is very necessary (Abdallah, and Langley, 2014). In the planning and formulating the strategies, the product development strategies are cordially related. 

1.3 Effectiveness of the strategic planning techniques:

The strategic planning tools and the effectiveness are very much important. The company can put the essence mental approaches and the procedures to apply to develop effective strategic planning. The relevant identification of the company strategy and the implementation of the same will help the company to achieve the mission and goal. The strategic planning can do the performance analysis of the company and by the performance analysis of the company it will get to know that what other initiatives the company need to take to reform the company strategies. The internal efficiencies are also important factor in the effectiveness of the strategic planning techniques (Floros, 2015)

The common indicators that incorporate repetition rates, promotion and drop rates, percentage of the selling of the products, efficiency of the services and the input and the output of the marketing plans. The external efficiency of the company is related to the investment of the company. Analysis of the management capacity is another indicator for the entire process for the effectiveness of the strategic planning process. Analysis of the management capabilities will describe the process regarding the cost and financing of the company. The main and the final step of the entire process include the sector analysis from the existing sources of information that the company gathers from the customers’ feedback as well as from the market orientation. 

Task 2

2.1Strategic positioning of Nissan UK concerning the SWOT analysis: 

The company is the fastest developing brand known for its utilization of innovative technologies and equipments. Nissan is widely known as the leader of zero emissions and of its brand awareness and reputation it has earned due to several factors across globe. The company’s major strengths are its sales and distribution process and its financial growth and performance worldwide. Nissan has been able to expand and flourish worldwide due to its unique style and design of models that has gained huge successes for instance in India. 


Nissan’s major weakness is its decrease in sales value in the home market. As examined, its weaknesses have been few with little trouble in product recalls.


Nissan has been fostering multiple opportunities with the increase in demand for the zero emission vehicles due to which the Company has gained global brand success especially in the Indian markets. The growth of the Zero emission vehicles is popular as it is environmental friendly gaining public support and acclaim. It has gained expansion in relation to its partnership strategy with Renault and Avtovaz. 


There are few threats in relation to the productivity of Nissan that follow rise in price of the raw materials and economic diversification and fluctuations. However, the major threat of Nissan being the competition faced by other automotive companies globally such as Honda, Hyundai, Ford Toyota and others. The competition has raise due to the technological excellence and innovation. Even though, the threats are relatively but needs appropriate attention affecting the Nissan’s productivity and performance.

2.2. PESTLE analysis:

Political factors:

Political factors determine political rules, policies and security affects Nissan in changing their business strategic plan and decision making process.  The change in the political atmosphere, trends and decisions have adverse affect on Nissan Company. For efficient productivity, Nissan needs to adhere to the fulfilment of government’s regulations (Ayub et al. 2016). Changes and variations made in the law and policies by the government affect the mode productivity and development for Nissan. In addition, a change in labour law, taxes, and internal marketing policies affects the distribution of its automotive products and services and affects the sales and marketing process.

Economic factors:

It is important for Nissan in keeping an analysis of the process of auditing and how the company is affected by the recent taxation change and taxation law and far have the company adapted to it. In addition it is important for the company to evaluate the GDP of the country they are operating in and the measures taken in balancing the margin of investment.Nissan is a dynamic company promoting its distribution of innovative automotive products across globe (Dang et al. 2014). Different countries vary in culture, desires and interest, and Nissan seems to fulfil the demands of millions of people. The popularity has been identified through their unique and innovative measurable values in satisfying the needs of the customers while handling every change and updates. They earn profitable income in and around the one hundred and ninety countries they are working currently.

Social factors:

Nissan is chained in multiple distribution process in various cultured countries meeting the demands of the millions. Similar efforts are being made in other countries like India, China etc. It is therefore important for the Nissan Company in evaluating the opinion of different consumers regarding the products. Since the company is operating in developing countries like India, it is important in meeting the budget and expectations of the people, especially in reaching out to the middle class family. 

Technological factors:

Being one of the largest automobile firms, technological advancement and equipments help in higher standards of productivity. The company uses machinery for fast delivery system and improving the quality of product. In addition, Nissan needs to adhere to the manufacturing of vehicles using advanced technologies and use of information technology in generating smooth operations meeting the competitive impacts (Santos and Laczniak, 2015)

Environmental factors:

Nissan being large manufacturing firm is important in focusing on the management of environmental and energy efficiency and manufacture zero emission vehicles causing no harm to the environment. It needs to ensure the well being of nature and environment in and around by abiding the laws and rules in regards to environmental safety (Nomoto, 2016).

Legal factors:

Legal factors ensure the safety and management of environmental safety. In addition, the important legal factors include the protection of its confidential agreements; designing of its vehicles should be under strict copyright action (Dang et al. 2014). The company needs to ensure in maintaining and abiding the laws and rules in regards to long term investment. 

2.3. Stakeholder analysis: 

Nissan’s corporate social responsibility has been designed in meeting the objectives of Nissan and interests of its stakeholders. The stakeholders are an important component of the Nissan Group of company, as the affect the company’s social, political and economic pressure. In maintain the company’s popularity and demand it is important address and analyze the needs and requirements of the stakeholders. This will help in developing and modifying automotive products and ensure the sustenance of long term investment. In meeting the requirements of the stakeholders and enhancing healthy relationship the company can achieve its worldwide success and will be able to become a global automotive leader in future (Sukitsch, Engert and Baumgartner, 2015). The various problems faced by the stakeholders can be assessed and addressed by through corporate social responsibility policies and programs while prioritizing their demands and in accordance meeting the customer’s satisfaction. The company needs to analyze the top priorities including employees, stakeholders, customers, investors and fulfill their needs and resolve any issue. 

2.4. New strategy for Nissan: 

Nissan has been approving new strategies while meeting customer demands and satisfaction. One of the main strategies is to evaluate and conduct communication with the customer’s post the sales experience. The feedbacks help them in understanding of the customer’s personal choices and maximize customer retention. As examined Nissan will be able to launch eight modified models of cars by the year of 2021,that will give a boost to their market and sales revenue (Nissan, 2017). The modifications are kept in meeting the global demands that will help the company in reaching to global mass and their interest. With its various unique models such as hatchbacks, luxury cars, sedan models, SUVs that appeal and encourage the different segments of customers. 

It has been strategizing in fixing its price in relation to the functions of its various models while pressing reasonable and logical prices to every range of models. With its dealing and distribution channel, Nissan will place strategic dealership network that will strengthen its market position. In relation to its promotional activities, Nissan tends to advertise and campaign through various ways with the utilization of print media, television, online sources, social media, and attempting to indulge with charity events that will foster its promotions of the upcoming range of models (Andre et al. 2017)

Task 3

3.1 Alternative strategies relating to the marketing entry:

The company Nissan has a global value in the market and they are strategically fulfilling the customer desirability by providing the best services through products to them. The leading growth of the company is wide and large and day by day, it is evaluating in the market and capturing the market area to a great extent. The company is adopting the global strategies with consideration to the changing customer preferences as the growth of the emerging countries are getting large with time (Sahin et al. 2016). The diverse green technologies and the shift towards the smaller cards give the company a strategic start towards the marker area. The company is focusing more on the customers’ need, connection with the government for the easy pass of the legislation process, the IT changes to the automobile society as the technological advancements are the main enforcement for the company. Other than that, the company is focusing on the human resource management so that the employees of the company stay satisfied and they can serve better way to the customers as well.  

The investment procedure of the company is the most essential thing that the company has taken into consideration (De Baerdemaeker and Bruggeman, 2015). The Nissan Company UK has put the main stress to capitalize on partnerships and focusing on the local resources. The partnership of the company strategizes the value of the marketing skill and adopts the techniques in more efficient way. The partnership process inculcate share investments, capitalize on local insights, complement technologies to use in the market and to create the market value and most importantly they have put an enforcement on the capitalization of the local talents. It has various other branches like in India, Indonesia, Russia, South Africa. The company maintains the policy for the complementarily, synergy, alternative ways of marketing and promoting their company and the offset policy. 

The alternative strategies relating to the marketing entry of the company comprises of the certain values that the company need to consider. In the relation to that factor when the company enters into the market then the company, consider various options linked with the cost, risk and the degree of control, which can be exercised over time. One of the strategic decisions in internal business for this company is the mode of entering the foreign market (Bostrom et al. 2017). The market entry of the company strategy is a planned method so that in small amount of time the company can receive attention from the customers. Delivering goods or services for the target market and distributing them with proper allocation. The import and the export services are also important in this regard. The process of importing and export services will refer to establishing and managing contracts in a foreign country so that the population can get the acknowledgement of the company products and the services (Sharpe et al. 2015)

The three processes in the alternative strtaegi9es related to the marketing of the company, sourcing and investment and control. The marketing entry strategy reffers to the process of exporting, licensing, franchising, joint venture, contract manufacturing, mergers and acquisitions, fully owned manufacturing facilities, counter trade, turkey contracts and the involvement of the third country location. There are some of the advantages that incorporated with the entire process, those are freedom of employment, proven products and services, proven trade markets and the reduced risk of failure. 

3.2 Selection of strategies: 

Nissan Company has some of the global strategies that they have incorporated in the marketing procedure and for that process; the customers are get attracted to that products. The company strategy has become the prominent aspect for the company. The selection of strategies has done by the help of the market positioning, effective marketing and pricing strategy and most importantly fulfillment of the customer need. The selection of strategies for nay organization is very important to bring growth for the company as the human resource management team and the marketers will help in that entire process. The human resources director of the company will choose the planning and will implement t5he same in the business process so it can work properly in the marketplace (Mäntysalo et al. 2015)

The knowledge and abilities and most importantly the skill of the employees, the marketers and other department will help the company to grow positively in the market. The traditional selection methods with the consideration of the skill, ability and knowledge will analyze every department, lists all the requirements of the company, and determine success of the company. Outsourcing is another important criteria in this context as the selection strategy that human resource departs need to adopt for giving the positions of the employees as per their expertise. The most common strategy is to hire the skilled employees for the entire business process (Pindolia et al. 2014). The multistage selection strategies will help the company to visualize the bigger picture of the organization as it will use the multidimensional success approach for the organization. The conjunctive selection strategies will help in multiple assessments of the organization and from the initial stage to the processing and implementing; the entire thing will help the company to achieve a strategic standpoint for itself. 

Task 4

4.1 Role and responsibilities of personnel charged with strategic implantation:

With the changing overview of the company, the organization needs to keep a relation to the keeping pace with changing environment. As the present day environment is very much adopting for the organizations and by using the dynamic environment, changing for the organization will put a strength and sometime weakness for the marketing criteria. Sometimes the organization can face the difficult situations to operate in the business (Bachmann et al. 2016). The personnel when get changed within the internal and external environment of the organization then it needs to consider the circumstances and the business cooperation take the help from the management to strategize every plan so that the customers get a value within the organization. 

The organization needs to minimize competitive disadvantages like those that the company needs to merge itself in the marker to give a strategic standpoint of the appropriate business (Albon et al. 2016). The organization need to have clear sense of strategic vision and sharp focus on the company goals and objectives for the sustainable development and for the establishments of proper market base and sustain in the market for a long time with reference to the future values. As the employees are the key components of the company so the organization needs to motivate them so they can work hard for the company and the motivation policy make them more confident to fulfill any work by utilizing their skill (Lipan et al. 2015). Strengthen the decision making policy will popularize the principles of the strategic management and will find smooth cooperation of the strategic management. Other than that, the organization by utilizing the efficient and effective way of implementing actions for the better result will put the success factors for the organization (Karepova et al. 2015)

By achieving the maximum harmony and synchrony, the organization can expect a good result that is obtained from the viewpoint of the economical and strategic process. The understanding of the internal and external environment will classify the organization to gain the opportunities and that will be marginal. The levels of strategy that is corporate strategy, business strategy, functional strategy and most importantly the operating strategy will incorporate with the total process will help the organization. 

4.2 Analysis of the estimated resource requirements for implementing a new strategy for Nissan UK:

The company that is Nissan UK by implementing in the process that turns strategies and plans into actions in order to accomplish strategic objectives and goals are essential to gain the market and the attention of the customers. The company adopts some of the critical plans that will document as the estimated resources for the company. The estimated resource for the company is very high and to implement in the strategic planning will need the supervision of the experts and the management (Bachmann et al. 2016). With the help of the higher management process the company can achieve the success factors by allocate the resources in proper manner. The estimated resources that will require for the whole process are the ownership strategy that is the procedure that the management team is very much straightforward and can take any decision based on the current market view (Cardinal et al. 2015)

Furthermore, the company will require planning for the advertisements that need to reach out to the customers at the right time and the information of that plan will catch up the mind of the customers. Not only through the advertisement process but also through the management can take help from the employees to promote the in store offers in order to do that the employees need to be very well knowledgeable. Effective pricing helps to fetch the customer attention and Nissan company will put the main consideration to that factor and after that they will plan entire pricing policy in a way that will help the company’s profit as well as the company will get the positive attention of the customer. 

4.3 Evaluate the contribution of SMART targets to the achievement of strategy implementation for Nissan UK: 

Usually the successfully implementation of a strategy in the organization is because the objectives and targets are clear and SMART. The SMART target will help the company to contribute in the successful implementation of strategy. SMAET target means specific, measurable, area-specific, realistic, and time-bound. The specific target means to indicate the target population who will avail the services from the organization, measurable mans how many will be targeted in that process. Area-specific indicates the geographic location of the target population or community for that product, realistic takes an account in the account existing resources and has the support of the target population or community involved in the organization. 


From the above study it is understood that Nissan is a rising company recognized for its strengths. The company has been successful in building global business culture. In the recognition of its influencing factors Nissan has been acclaimed for being the second largest among the automotive industry in exporting. Nissan has been facing global competition, through its effective planning and strength in meeting the challenges and changes in social and economic factors have resulted in expanding its performance and sustain its development and market integrity. With the global trends and effects of globalization Nissan need to be prepared in meeting the upcoming challenges and threats from the global environment. 

With the expansion of industries in its luxury segment, Nissan need to ensure its functioning and implement its strategies in meeting the global market.  Nissan can expand its product range in accordance to the increased market share of car products and car sales and revenue collection. As examined the opportunities emerging in the industry of the car industry, Nissan needs to invest more in enhancing and integrating it’s the production capacity in the coming years by introducing new models and modifying the existing models.