Table of contents
I. Â Â Â Â Â Â Â Â Background ................................................................... summon3 Ã 4
1) Â Â Â Â Â Â Â Â Issues ........................................................................ Page 4
2) Â Â Â Â Â Â Â Â Objectives ................................................................... Page 4
II. Â Â Â Â Â Â Â Â Matra Diagnostic ............................................................ Page 5 Ã 7
1) Â Â Â Â Â Â Â Â Espace Project ........................................................... Page 5
2) Â Â Â Â Â Â Â Â Matra- Renault Alliance .................................................. Page 5
3) Â Â Â Â Â Â Â Â Weaknesses of the company .......................................... Page 6
III. Â Â Â Â Â Â Â Â Recommendations of Renault-Matra alliance perspectives .... Page 7 Ã 8
1) Â Â Â Â Â Â Â Â Key success factors of rising market .......................... Page 7
2) Â Â Â Â Â Â Â Â Illustration of Matra Perspectives ................................ Page 8
I. Â Â Â Â Â Â Â Â Background
        Matra Automobile is owned by Hachette- Matra, a large diversified company with craft in aerospace, defence, automation, telecom, publishing and automobile
        Automobile is not the main activity of the company and so not the only concern. In parallels it is whizz of the most profitable activity of the firm since 1994
        Moreover since middle 1995s, it is one of the most profitable automobile manufacturers with net win amounting to approximately 10% of sales (Mainly Due to the success of the Espace, interchange by Renault and manufactured by Matra)
        Dependence of a portfolio intensify of one product for Matra Automobile
        One inventor, P.
Guedon
        Espace is a myth, a vicissitude in the car industry by its design and practical(a) using
But,
        Strong direct competitors are entering the market in 1995
        Growing market period
        Lead to saturation within the future
        Jointly- produced place trend, sold under own brand with strong publicizing campaign
        Ford and Wolkswagen
        Fiat and Peugeot- Citroen
        Renault-Matra agreement until 2001
1) Â Â Â Â Â Â Â Â Issues
- Â Â Â Â Â Â Â Â Competition
- Â Â Â Â Â Â Â Â Market saturation
- Â Â Â Â Â Â Â Â Average schooling time and commercial life span of a untried model is 4 to 5 years
- Â Â Â Â Â Â Â Â Environmental issues (Recycling, fuel consumption,...)
2) Â Â Â Â Â Â Â Â Objectives
- Â Â Â Â Â Â Â Â localise product policy for the years beyond 2000 and reconsider its schema for the next decade
- Â Â Â Â Â Â Â Â Evolution of Matras alliance with Renault
- Â Â Â Â Â Â Â Â Overall evolution of...
Not equal mention of favourable bell structure in the pro of Matra Renault alliance: a technology with low fix cost and higher variable cost is particularly suitable for a market in initial stage
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