Destination Models of Localization of International Original Equipment Manufacturers Exemplified by Renault-Nissan Alliance in Russia

Student: Fokina Ekaterina

Faculty: Faculty of World Economy and International Affairs

Educational Programme: International Business (Master)

Year of Graduation: 2018

This paper indicates the main obstacles and challenges the Original Equipment Manufacturers face while choosing the model of localization broadening its presence around the world. Among the factors affecting OEMs’ choice of the model of localization in another country are external factors like legislation peculiarities of each country, living standards of the population, market size and other economic factors like income per capita, currency exchange, and internal factors like the type of the cars OEM produces. The main objective of the paper is to identify the main factors which determine the choice of localization model: are they mostly internal or external, depending on the country of localization. The paper contains analysis is based on major cases of OEMs localization in different countries.

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