Alliance Renault-Nissan-Mitsubishi: The Great Departure!

Carlos Ghosn may have been controversial as the leader of the Renault-Nissan-Mitsubishi alliance towards the end, but at least he held them together and pushed them forward. Now they face a wreck with a great plan: everyone focuses on the region where they are strongest and can make the most money. So far, so good. But in the end, there will only be losers, because many brands are strong in many regions and act as veritable competitors, even if the products hardly differ and a Dacia Duster is sometimes sold as Renault or Nissan depending on the market – which doesn't necessarily contribute to brand building.

Which brings us to the point: What do Renault, Nissan, and Mitsubishi stand for? After the recent sweeping cuts by the Japanese, especially in Europe, for uhhhh? Yeah, what actually? Cheaper, but not cheap alternatives to the VW Group (without premium brands)? French flair and e-mobility at Renault or all-wheel drive expertise at Mitsubishi? Well, kind of, but also kind of not, which is why they now decided that Mitsubishi should concentrate on Southeast Asia and Oceania, where there are no large margins and everyone has been waiting for the brand with the diamonds because they never wanted Nissan and Renault! Which is why all Nissan and Renault customers there will surely switch to Mitsubishi immediately... what a crude assumption! Hence, Mitsubishi will not bring any new models to Europe for the time being. Which is tantamount to a death by installments!

The Mitsubishi customers will not automatically become Nissan or Renault customers

Because the Mitsubishi customers will not flock to Nissan and Renault dealers, as many of them appreciate the above-average well-organized dealer network, which sells even this thinned-out diamond program better than some organizations of other Japanese brands! For example, during the corona crisis, the committed Mitsubishi dealers were temporarily able to bring more Space Stars to private customers than VW managed with the top seller Golf!

And these committed dealers now have to suffer for Mitsubishi's completely botched brand policy, which actually only produces isolated blossoms, but no blooming landscapes, even though the potential was there: With the Pajero, they would have had a rugged off-road vehicle that, in its latest version, electrified, would have perfectly fit between the cult Suzuki Jimny and the much too expensive Land Rover Defender and the even more expensive Mercedes-Benz G. Now Jeep does that with the Wrangler and Ford with the new retro Broncho. The L200 could have been made vehicle-to-grid capable and would have been THE pickup for power companies and the Outback – instead, Amazon subsidiary Rivian does that. And while we’re talking rugged, they could have continued rallying with Colt and/or Lancer and maintained the sporty, rough image. This could have been complemented by the dirt-cheap and good Space Star from Thailand plus Outlander plus Eclipse Cross, and they would have had some kind of image and a solid model platform. Instead, they leave the committed dealership network out in the rain.

P.S. This same network managed to gain an above-average number of Mitsubishi customers in my personal circle of friends and family – who were generally looking for "some cheap and reliable car." and will one day buy from their dealer whatever (reliable) brand he offers next.

For the current model range, in just a few years, it can only be sold on price. By then, other companies will have already occupied the themes of vehicle-to-grid, plug-in hybrid, and off-road competency. Nissan is aware of this, but here too the mills are grinding (too) slowly. The rest? You won't find it at Renault or Nissan. That capacities need to be reduced and the model flood cut back even at BMW or Daimler is undisputed – but one would never think of focusing regionally and giving up entire regions completely – never change a running system! However, this is exactly what is currently happening with the Renault-Nissan-Mitsubishi Alliance!

What does that mean?

The Renault-Nissan-Mitsubishi Alliance is trying to downsize itself into good health. With fatal consequences, especially for Mitsubishi in Europe: They are abandoning entire regions in an attempt to become more profitable. But lost markets remain lost, and returning is almost unaffordable today – especially as, despite Corona, numerous startups are ready to take over the abandoned dealerships and market segments.