Nissan searches for its lost youth - and sales

Article Abstract:

Nissan Motors is moving to regain lost market shares in Japan and overseas. The company reported its first operating loss in 35 years in 1986, $121.9 million for the six months ended Sep 30. The loss was partially attributable to the rising value of the yen, which cut overseas sales. Nissan's operating problems included: stodgy product design, costly international expansion, labor-management conflicts, protectionism, oversupply of overseas markets, and ineffective domestic dealership networks. Nissan responded by giving automobile designers more authority, resulting in the curvy new Be-1 model in Japan and the Pulsar NX in the US. Nissan has increased production in Europe, where 60 percent local production content qualifies vehicles for a 'made-in-Europe' designation. Other steps taken by Nissan in marketing, executive compensation, advertising, and pricing areas are also discussed.

Motor vehicles and car bodies, Management, Corporations, Nissan Motor Company Ltd., Corporations, Japanese, company profile, NSANY

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Second gear for European cars in Japan

Article Abstract:

European car manufacturers, led by the Germans, are beginning to make inroads into the domestic automobile market in Japan. Imports still only account for 2.3 percent of total car sales in Japan, but they now account for 33 percent of the luxury segment of the market. Mercedes and BMW each have about 11 percent of the luxury market. The three main reasons for the increased popularity of foreign cars in Japan are: the stronger yen, which allows foreign manufacturers to be more cost-competitive; the emergence of a new affluent class in Japan that is more consumer-oriented and more open to foreign goods; and the simplification of government import regulations.

Consumers, Foreign cars, Commerce, Automobiles, Foreign

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