During the vehicle exhibitions in Frankfurt in 2009, Renault, a French car constructor showed new electric concept cars. These cars are today, more than just concepts because Renault offers its customers a whole range of electric vehicles. This is the best way for Renault to offer a range of products and services answering the actual problems of sustainable development. Technological evolutions and innovations makes Renault able to offer electric cars at reasonable and affordable costs. This is also the vehicle adapted by the major part of the Europeans, who drive less than 60km per day. The point of this paper is to analyze and create a marketing plan to help Renault to internationalize its electric car offer, and sell some in North America. As search and development of these cars have been possible due to the Renault and Nissan alliance, we can assume that it can be a plus point to enter the North American market. The place chosen to launch first is California, because this state is very concerned by sustainable development and has planned to implement the use of electric cars. Officially, a billion dollars could be spent from 2008 to 2012 to create and implement public and private battery plugs in the area of San Francisco.
[...] internationalization Pro-active and Reactive motives Before analyzing the different parameters that Renault will need to set up to penetrate the US market, we are going to classify and prioritize the proactive and reactive: Increase the profits and lower the economies of scale Earn market shares Improve its global vision and its brand image worldwide Penetrate a new market presenting a lot of opportunities Find an alternative to the French market which is very competitive and has less opportunities, The main reactive motive is that America is a very important foreign market opportunity officially; a billion dollars could be spent from 2008 to 2012 to create and implement public and private battery plugs in the area of San Francisco. [...]
[...] The Role of Government: In France, as Renault is an government owned company, the government still plays a role in the car company. During the crisis, the French government (which still owns a large part of shares in Renault's company) granted it and helped it not to fall down as the industry was doing very bad. Meso level analysis: analyze the competition in an industry thanks to Porter' five force analysis PORTER'S FIVE FORCE ANALYSIS New entrants The force of the new entrants is important: new entrants are not numerous but very competitive concerning price and quality. [...]
[...] The thing here is that Renault should actually creates a joint venture with an American car manufacturer to penetrate the market easier, because it's well know that the car industry in the United States is under the State protection, and that can be hard to compete with this kind of company with two foreign car manufacturer implementing in the United States. a. The direct investment or acquisition method This way could also be used by Renault to acquire assets in the United stated. [...]
[...] Let's analyze them concerning the electric cars: Development phase: The time taken by innovation and Search & Development to create a concept electric and designed car Introduction stage: When Renault's electric car concept has been presented at the Francfort exhibition, so it has been indirectly put on the market. Growth: when it starts to be produced and sold Maturity: The point where people know the product and want it Decline: When others competitors would have taken market share or offer a better product or finally better substitute products. [...]
[...] What type of market entry modes should the French car manufacturer consider? First, we are going to explore which type of entry modes exist and then we will make a recommendation to Renault. The exportation The system of exportation is the way used by a company which consist in producing in a country and send it in another one. The product is not produced and sold at the same place. This commercial activity is very important as it allows to boost an economy with highlighting the company's and the company's country' efficiency in a global world. [...]
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