Renault’s Joint Venture in India could be in Trouble


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With the collaboration with Indian car makers is not yielding any results; Renault may be forced to rethink its marketing plan. According to a recent article in Times of India, the French car maker may go solo on its ambitious projects in India.

The company’s experience with Indian car makers has not been pleasant as its partnership with Mahindra & Mahindra ended in a disaster. Analysts are of the view that the company’s flagship model Renault Logan did not get the expected response because of its partnership with Mahindra & Mahindra.

After breaking its partnership with Mahindra & Mahindra, the company entered into a Joint Venture with Bajaj to manufacture and sell its products. However, the recent statements of the company suggest that there could be problems in the new partnership. Recently the company officials were non-comitial about the ambitious JV and said that they may pull out of the JV if their expectations were not met.

According to an article in Times of India, the JV with Bajaj is mired in problems because of the recurring disputes between the parties. Initially, both companies joined hands to beat the popular automaker Tata Motors, but differences in ideology and approach has spelled disaster to the JV.

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