Carlos Ghosn announces the Nissan Power 88 plan in Yokohama – Click above to watch video after the jump

Carlos Ghosn has announced the Nissan Power 88 midterm business plan, effective immediately, containing goals that will raise a number of eyebrows. Built on four pillars emphasizing "brand and sales power enhancement, growth, sustainable mobility and mobility for all," Power 88 is in effect from now until 2016, at the end of which time Nissan wants eight percent of global market share and eight-percent operating profit (hence the "88"). That would represent a 2.2-percent increase in market share and a 1.9-percent rise in operating profit versus last year's levels.

The strategy for success includes rolling out, "on average, an all-new vehicle every six weeks for six years" to cover 92 percent of global market segments, launching 90 new technologies over those six years and reaching cumulative electric vehicle sales of 1.5 million units between Renault and Nissan.

Sales in BRIC markets are expected to grow significantly, and Nissan plans to build a factory in Brazil to support efforts there. Much more will be made of Infiniti as well, with sales expected to rocket from 150,000 last year to 500,000 in 2016 and a product portfolio of "at least 10 vehicles." That would account for a projected 10 percent of global luxury market sales.

Ghosn has his eye on joining General Motors, Toyota and Volkswagen in the massive sales game, apparently because he sees that as the scale necessary to meet future challenges. Whether or not the automaker can manage such scale remains to be seen. There's a video and a press release with the nitty gritty after the jump.

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Plan emphasizes brand and sales power enhancement, growth, sustainable mobility and mobility for all

YOKOHAMA, June 27, 2011 - Nissan Motor Co., Ltd., today announced a wide-ranging, six-year business plan that will accelerate the company's growth across new markets and segments. The plan for fiscal years 2011 to 2016, called "Nissan Power 88," is effective immediately.

The name of the plan emphasizes key corporate goals: Nissan will renew its focus on the overall customer experience through actions that elevate its brands' power and sales power. By the end of fiscal 2016, the company will aim to achieve a global market share of 8% and increase its corporate operating profit to a sustainable 8%.

Highlights of Nissan Power 88 reflect Nissan's clear, global vision and strategic direction through fiscal 2016:
  • Nissan's extended new product plan will deliver, on average, an all-new vehicle every six weeks for six years. The company's global portfolio will have 66 vehicles and will cover 92% of all markets and segments.
  • The emphasis on sustainable mobility will continue, encompassing zero-emission vehicles and low-emission technologies that support PURE DRIVE. Cumulative electric vehicle sales for the Renault-Nissan Alliance will reach 1.5 million units.
  • "Mobility for all" will expand with dedicated new cars and light commercial vehicles (LCVs) developed for entry-level segments and emerging markets.
  • Nissan will introduce more than 90 new, advanced technologies, averaging 15 per year.
  • "Nissan Power 88 is the roadmap for our company's profitable growth," said Nissan President and Chief Executive Officer Carlos Ghosn. "We will accelerate our growth, bringing more innovation and excitement to our products and services as well as cleaner, more affordable cars for everyone around the world, in line with the energy and environmental challenges of the 21st century."

Nissan will increase investments in its brands and retail networks to enhance its customers' entire ownership experience. Nissan currently has 6,000 major points of sales globally; the retail network will expand to 7,500 in the midterm plan period.

Business expansion will focus on growth markets and further developing the company's Infiniti and light commercial businesses.
  • In 2012, Nissan will have a production capacity of 1.2 million units in China. China has become - and will continue to be - Nissan's largest single global market. Nissan aims for a 10% share of the Chinese market. Nissan will also increase its presence in Brazil, Russia and India, as well as in the next wave of emerging markets.
  • In Brazil, Nissan will build a new plant, with a capacity of 200,000 units as a first step.
  • Nissan NV200's selection as New York City's "Taxi of Tomorrow" illustrates the company's momentum in the LCV field. By 2016, Nissan will be the world's leading light commercial vehicle manufacturer.
  • The Infiniti premium brand will grow from its 2010 sales level of 150,000 vehicles to 10% of global market share among luxury brand segments, a level today that would represent 500,000 vehicles.1 Infiniti will be present in more than 70 markets with a product range of at least 10 vehicles.
  • "Nissan Power 88 is a demanding business plan, but our company has a proven track record of achieving challenging objectives," said Mr. Ghosn.

About Nissan
Nissan Motor Co., Ltd., Japan's second-largest automotive company, is headquartered in Yokohama, Japan, and is part of the Renault-Nissan Alliance. Operating with more than 248,000 employees globally, Nissan provided customers with more than 4.1 million vehicles in 2010, generating revenue of 8.77 trillion yen ($102.37 billion US). With a strong commitment to developing exciting and innovative products for all, Nissan delivers a comprehensive range of 64 models under the Nissan and Infiniti brands. A pioneer in zero-emission mobility, Nissan made history with the introduction of the Nissan LEAF, the first affordable, mass-market, pure-electric vehicle and winner of numerous international accolades, including the prestigious 2011 European Car of the Year award and 2011 World Car of the Year.

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    • 1 Second Ago
      • 4 Years Ago
      He is ambitious, but he's yet to fail in achieving his goals when he took over nissan. I can guarantee you this, among top brass in auto industry, no one is laughing.
      • 4 Years Ago
      Come on new Silvia... Please listen to us. That's what we want.
      • 4 Years Ago
      So 52 new vehicles over 6 years huh? Yeh, very ambitious!
      Bryan Riddle
      • 4 Years Ago
      And here I was thinking the 88 stood for Heil Hitler... silly me. I hope they don't trout this in germany, it's actually a sensitive number, used as a symbol of identification by underground neo-nazi groups
      • 4 Years Ago
      He might as well have announced that Nissan will gain complete control of OPEC and then conquer the US while he's at it. He's really got some seriously heavy brass ones....that guy....
      • 4 Years Ago
      This is the ultimate marketing nightmare. I would be killing myself if i worked on this account
      • 4 Years Ago
      This is really baffling. Haven't they learned anything from Toyota's mistake? I'm fine with them releasing new cars, but I also heard "trim cost 5% every year". Trimming cost 5% once is bad enough, but year after year through 2016? This is what happens when large part of executive compensation is tied to growth and equity appreciation. What a joke. People never learn.
      • 4 Years Ago
      People laughed when they heard the Nissan turn around plan, they laughed when Renault and Nissan formed alliance, they laughed at the notion of a Nissan super car, they laughed at the inception of an electric vehicle. At some point those people stopped laughing, and they started to take notes. Ghosn has a track record of pulling off the impossible, it's history, not speculation.
        • 4 Years Ago
        Maybe he will be able to make a reliable small car. The Sentra is a JOKE!. I understand the altima and maxima are nice.. but the other "volume" car is a complete disaster! From 2001 to 2011 it's been a complete failure. Come on.. bring us a small car.. a sporty sharp cheap car. BTW - We all laughed at the Murano Convertible.. We all laughed at the Titan.. we all laughed at the 2006 Maxima.. so there were some failures mixed in with his Supercar etc. Also, his supercar isn't selling that well. They have now raised the price $20,000 since it was first released and they are still sitting on a few lots here. I agree it's a monster of a car and hands down one of the best handling/quickest cars money can but, but it still should have been an Infiniti with that pricing.
          • 4 Years Ago
          Taken together Nissan/Renault is the 3rd largest automaker now, just behind GM. This plan would make the two companies together larger than GM and Toyota. However, they are very globalized, and not dependant on the US market for the majority of their sales- so people comming from a US-centric perspective may not recognize it at first. For example, Nissan is the #1 manufacturer in Mexico and UK. They tend to lead in growth segments for specific markets, like crossovers in Europe and hatchbacks in China. Going in strong with the Qashqai in Europe may have been risky, but they established the market and have lead it ever since.
          • 4 Years Ago
          The Sentra was only a joke in the U.S. where a limited number of compacts can be successful at any given time. World wide it is one of Nissan/Renault best sellers. Remember, Nissan is not a high volume automaker. What may seem like failures compared to Ford or GM is at least breaking even for Nissan... That being said, I completely agree that the convertible Murano was a stupid idea!
          • 4 Years Ago
      • 4 Years Ago
      Just stop with the electric car crap and I'll be happy. Nissans problem is a lot of their designs look like sh&t. Maxima? Complete crap. Versa? More crap. Infiniti? What are they smoking? There are some bright spots like the Juke however. Drive one. It's fantastic. I could go on, but you get the idea.
        • 4 Years Ago
      • 4 Years Ago
      "Ghosn has his eye on joining General Motors, Toyota and Volkswagen in the massive sales game" This sounds like a very bad idea...
      • 4 Years Ago
      This guy managed to turn Nissan's turn around, the GTR and the Leaf. I wouldn't bet against him.
      • 4 Years Ago
      I will say the same thing to this ambitious plan that I say to all these (usually) over-ambitious plans from carmakers... yeah, good luck with that. These guys can SAY anything they want, but until they actually show us the product, its all just a pipe dream. What almost invariably happens is that they follow through for a couple of years with fresh new product and eventually settle back down to a more realistic (longer) update cycle.
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