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View Poll Results: Nissan's move to Tennessee, a good or bad move?
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The Ghosn Method strikes again! Nissan planning to leave SoCal for Tennessee.

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Old 11-11-05, 06:57 AM
  #16  
mmarshall
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Originally Posted by 1SICKLEX
Cali has proven to be the American car capital, its no longer Detroit. Some great products have come out of the Cali studios.

Nissan's move to Mississippi, another cost cutting move, may have gave them tons of profit at the expense of some of the worst quality vehicles to be sold today.

It lets you know a companies priorites, which for them, is bottom line only. They are not concened with being the best or building a world-class product. Only saving money and giving shareholders top return.

I hope these cost cutting clowns don't come to Toyota and think that is the way of that company.
Mike.......setting up shop in the American South does not necessarily mean poor auto quality...it depends onmany facrors. Yes, the Canton, MS plant has had its problems.....as has the Mercedes plant at Tuscaloosa, AL and the BMW plant at Spartanburg, SC, but other plants in the American South have turned out well-above average cars in quality....among them the Toyota plant at Georgetown, KY and the Nissan plant at Smyrna, TN. And...you mention Toyota......Toyota itself just set up another new truck plant in low-cost San Sntonio, TX....the heart of pickup country. You and I both know that many of the BMW and Mercedes problems are not so much the assembly-line workers as the poor-quality electronics used.
In your own Atlanta area, there are auto assembly plants, too, but I forget what is built there ...maybe you can fill us in on that.
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Old 11-11-05, 07:00 AM
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Originally Posted by mmarshall
Mike.......setting up shop in the American South does not necessarily mean poor auto quality. Yes, the Canton, MS plant has had its problems.....as has the Mercedes plant at Tuscaloosa, AL and the BMW plant at Spartanburg, SC, but other plants in the American South have turned out well-above average cars in quality....among them the Toyota plant at Georgetown, KY and the Nissan plant at Smyrna, TN. And...you mention Toyota......Toyota itself just set up another new truck plant in low-cost San Sntonio, TX....the heart of pickup country. You and I both know that many of the BMW and Mercedes problems are not so much the assembly-line workers as the poor-quality electronics used.
I didn't mean to imply southern plants= poor quality. They do not, as you show, the Honda and Saturrn and Toyota plants are fine.

Nissan is a whole different story though, all their new products built here are nowhere near top quality winners and some are just awful. And BMW and Benz plants are awful as well.

Hyundai has their new plant in AL and I haven't heard any glaring quality issues yet.
 
Old 11-11-05, 07:07 AM
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OK......since I've practically dominated this thread up to now, let me shut up now and just say I answer the poll by saying it was a good move, but not necessarily for financial reasons or the bottom line...industry headquarters just need to spread out a little from Detroit and L.A.
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Old 11-11-05, 07:10 AM
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What does moving HQ have to do with quality at plants. What matters is the quality of people in HQ. And I don't think Cali has any better administrative/management workers than the East Coast.

Sure, it'll be an adjustment for the first couple years, but after that, things should be status quo. And having HQ nearer to its 2 main NA plants makes it a bit easier from a management perspective.
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Old 11-11-05, 07:19 AM
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Originally Posted by jrock65
What does moving HQ have to do with quality at plants. What matters is the quality of people in HQ. And I don't think Cali has any better administrative/management workers than the East Coast.

Sure, it'll be an adjustment for the first couple years, but after that, things should be status quo. And having HQ nearer to its 2 main NA plants makes it a bit easier from a management perspective.
Yes...good point. That was one of the things I was trying to say.
NOW I'll shut up....promise

See you guys later......I'm off today to do some test-driving and reviews.
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Old 11-11-05, 08:12 AM
  #21  
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Nissan is only offering relocation for senior managers and above (per an insider) and they think that maybe, maybe 40% will take it...primarily because lots of those people have 15+ years with Nissan.

Also, I agree that talent can be found anywhere, but the simple fact is that Nissan has been trying to hire entery-level accountants, etc... in Tenn for quite some time without any success...now imagine trying to staff 1,100 professional and technical positions that pay below average for the industry. I see a long road to recovery in corporate operations...I don't imagine that the manufacturing plants will be impacted much.

Whether the move will be good for Nissan will be determined years down the road...
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Old 11-11-05, 08:27 AM
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its all about the bottom line,no one is going to stay some place where it costs more to do business especially when you have shareholders to answer to
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Old 11-11-05, 09:17 AM
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Well people in California have been predicting this sort of thing for years. For the longest time after the dot com bust it was widely speculated that Intel, Cisco, AMD, Ebay, etc...would move away from the Bay Area. It's not only the cost of living either (which drives higher wages), but the fact that the state government has made it more and more prohibitive for businesses to stay in California. Given the fact that many Southern States are now offering incentives to do business there I wouldn't be shocked if we see more major companies picking up and moving south and east.
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Old 11-11-05, 09:24 AM
  #24  
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Default Nissan Workers Lament Move

Many say they will not join the automaker in the relocation from Gardena to Tennessee.


By John O'Dell and Leslie Earnest, Times Staff Writers


Shortly after Nissan Motor Co. announced Thursday that it would relocate its North American headquarters from Gardena to Tennessee, the challenges facing the Japanese automaker became evident.

Several employees said that they had no intention of moving and that few of their co-workers would leave either.

"I'm not going to Tennessee," one woman said.

A few hours after the 9 a.m. announcement, a dozen workers from Nissan's marketing department gathered at the nearby Paradise Restaurant, some sipping Bloody Marys and nibbling from plates of fresh fruit.

"I really think what we're doing here is sort of mourning the brand," one said. "We hope that everything we've worked for here will not be lost."

Nissan Chief Executive Carlos Ghosn said the Japanese automaker, which set up shop in Southern California in 1958, would spend more than $70 million to build a corporate headquarters complex in Franklin, about 15 miles southwest of Nashville.

Ghosn said the widely anticipated decision was prompted chiefly by cheaper real estate and lower business taxes.

"The costs of doing business in Southern California are much higher than the costs of doing business in Tennessee," he said.

Ghosn announced the move in a Nashville news conference with Tennessee Gov. Phil Bredesen, a Democrat, who had been wooing the automaker for months. Tennessee officials offered Nissan an incentive package, probably including tax breaks and other credits, but did not reveal details.

"Automakers cheer if they can cut even $1 from the cost of building a car, so any savings from a move like this helps it make sense," said Kim Hill, an analyst at the Center for Automotive Research in Ann Arbor, Mich.

A California "strike team" attempted to persuade Nissan to stay put, offering income tax credits, an expanded enterprise zone, favorable utility rates and a state grant for training current employees.

"This is a big loss," said Los Angeles County Supervisor Yvonne Brathwaite Burke, a member of the team.

Nissan employees will start moving to Tennessee in May or June.

Workers at Nissan's 43-acre corporate headquarters in Gardena heard the announcement on a closed-circuit television broadcast.

"It was spooky silent for the first few minutes" as Ghosn spoke, said one mid-level manager who — like other employees who spoke about the move — asked to remain unidentified for fear of job repercussions. "We've been expecting this for a couple of months now, so it wasn't a shock, but it wasn't good news."

As employees filtered out of headquarters after the morning meetings, they carried manila folders that contained information about the relocation.

Jed Connelly, Nissan's senior vice president for sales and marketing, acknowledged that not all employees would relocate, a prospect he said troubled him.

In recent years, Nissan has been one of the big automotive sales success stories, rising from near bankruptcy in 1999 to become one of the most profitable companies last year. Nissan North America is a big part of the turnaround, thanks to a spate of new models such as the full-size Titan pickup and the Altima and Maxima sedans.

"Like the general manager of any championship team, I'd like to keep everyone together," Connelly said. He added that Nissan did not plan to ask workers to accept lower wages or reduced benefits if they agreed to relocate.

Nissan already has a major presence in Tennessee, with a 6,500-employee assembly plant in the Nashville suburb of Smyrna and an engine plant with 1,300 employees in Decherd, about 90 miles to the south.

Ghosn said Nissan would benefit from having its main marketing, finance, distribution and manufacturing operations in the same place.

A local real estate agent described the Cool Springs area of Franklin, where Nissan will move, as an upscale business and residential community with — by California standards — low housing costs.

A 3,500-square-foot brick residence in Cool Springs, with four bedrooms, three bathrooms, a three-car garage and a wooded 1-acre lot, costs about $500,000, said Grant Hammond of Realty Executives Fine Homes. The median home price in the Nashville area is $159,700, compared with $475,000 in Southern California.

Nissan will keep its North America design center and 100 employees in La Jolla, plus a regional sales and marketing office in Costa Mesa, a port facility in Long Beach and a parts depot in Compton that together employ another 100.

Not everyone accepted Ghosn's reasoning.

"They will lose a lot of talented people who won't want to go to Tennessee," said Joe Langley, a market analyst at CSM Worldwide in Farmington Hills, Mich.

Toyota Motor Corp. and Honda Motor Co. both have U.S. headquarters in Torrance and are likely to pick the cream of Nissan's stay-behinds, analysts said.

Eric Noble, president of CarLab automotive consulting in Orange, said the regional auto industry could absorb only about 10% of Nissan's employees. "Detroit is contracting and there's a glut of resumes out there," he said.

Nissan's ties to Southern California date to 1958 when the tiny automaker opened a distribution office in North Hollywood to sell its budget-priced Datsun 1000 four-door sedan. Sales were modest — in 1960 Datsun sold 1,640 cars and trucks in the U.S.

But in 1969 the Datsun 240Z sports car won rave reviews, and the company's fuel-sipping models sold well after the 1970s oil embargo. In 1981 the company changed its U.S. brand name to Nissan, and in 1989 it introduced its Infiniti luxury line.

One Nissan worker in Gardena said the move was tough to stomach for those who helped rebuild "an underdog company."

The woman, at Nissan for four years, said she and others "bought into the brand" and were proud of their accomplishments. "We were the ones who turned this company around."

source : latimes
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Old 11-11-05, 10:07 AM
  #25  
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it's definitely too big of a change for most people imho, especially those with families already in socal. imho, if it's something like from socal to oregon or washington, that's probably ok. but tn? umm...
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Old 11-11-05, 08:45 PM
  #26  
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Originally Posted by AmethySC
Many say they will not join the automaker in the relocation from Gardena to Tennessee.


By John O'Dell and Leslie Earnest, Times Staff Writers


Shortly after Nissan Motor Co. announced Thursday that it would relocate its North American headquarters from Gardena to Tennessee, the challenges facing the Japanese automaker became evident.

Several employees said that they had no intention of moving and that few of their co-workers would leave either.

"I'm not going to Tennessee," one woman said.

A few hours after the 9 a.m. announcement, a dozen workers from Nissan's marketing department gathered at the nearby Paradise Restaurant, some sipping Bloody Marys and nibbling from plates of fresh fruit.

"I really think what we're doing here is sort of mourning the brand," one said. "We hope that everything we've worked for here will not be lost."

Nissan Chief Executive Carlos Ghosn said the Japanese automaker, which set up shop in Southern California in 1958, would spend more than $70 million to build a corporate headquarters complex in Franklin, about 15 miles southwest of Nashville.

Ghosn said the widely anticipated decision was prompted chiefly by cheaper real estate and lower business taxes.

"The costs of doing business in Southern California are much higher than the costs of doing business in Tennessee," he said.

Ghosn announced the move in a Nashville news conference with Tennessee Gov. Phil Bredesen, a Democrat, who had been wooing the automaker for months. Tennessee officials offered Nissan an incentive package, probably including tax breaks and other credits, but did not reveal details.

"Automakers cheer if they can cut even $1 from the cost of building a car, so any savings from a move like this helps it make sense," said Kim Hill, an analyst at the Center for Automotive Research in Ann Arbor, Mich.

A California "strike team" attempted to persuade Nissan to stay put, offering income tax credits, an expanded enterprise zone, favorable utility rates and a state grant for training current employees.

"This is a big loss," said Los Angeles County Supervisor Yvonne Brathwaite Burke, a member of the team.

Nissan employees will start moving to Tennessee in May or June.

Workers at Nissan's 43-acre corporate headquarters in Gardena heard the announcement on a closed-circuit television broadcast.

"It was spooky silent for the first few minutes" as Ghosn spoke, said one mid-level manager who — like other employees who spoke about the move — asked to remain unidentified for fear of job repercussions. "We've been expecting this for a couple of months now, so it wasn't a shock, but it wasn't good news."

As employees filtered out of headquarters after the morning meetings, they carried manila folders that contained information about the relocation.

Jed Connelly, Nissan's senior vice president for sales and marketing, acknowledged that not all employees would relocate, a prospect he said troubled him.

In recent years, Nissan has been one of the big automotive sales success stories, rising from near bankruptcy in 1999 to become one of the most profitable companies last year. Nissan North America is a big part of the turnaround, thanks to a spate of new models such as the full-size Titan pickup and the Altima and Maxima sedans.

"Like the general manager of any championship team, I'd like to keep everyone together," Connelly said. He added that Nissan did not plan to ask workers to accept lower wages or reduced benefits if they agreed to relocate.

Nissan already has a major presence in Tennessee, with a 6,500-employee assembly plant in the Nashville suburb of Smyrna and an engine plant with 1,300 employees in Decherd, about 90 miles to the south.

Ghosn said Nissan would benefit from having its main marketing, finance, distribution and manufacturing operations in the same place.

A local real estate agent described the Cool Springs area of Franklin, where Nissan will move, as an upscale business and residential community with — by California standards — low housing costs.

A 3,500-square-foot brick residence in Cool Springs, with four bedrooms, three bathrooms, a three-car garage and a wooded 1-acre lot, costs about $500,000, said Grant Hammond of Realty Executives Fine Homes. The median home price in the Nashville area is $159,700, compared with $475,000 in Southern California.

Nissan will keep its North America design center and 100 employees in La Jolla, plus a regional sales and marketing office in Costa Mesa, a port facility in Long Beach and a parts depot in Compton that together employ another 100.

Not everyone accepted Ghosn's reasoning.

"They will lose a lot of talented people who won't want to go to Tennessee," said Joe Langley, a market analyst at CSM Worldwide in Farmington Hills, Mich.

Toyota Motor Corp. and Honda Motor Co. both have U.S. headquarters in Torrance and are likely to pick the cream of Nissan's stay-behinds, analysts said.

Eric Noble, president of CarLab automotive consulting in Orange, said the regional auto industry could absorb only about 10% of Nissan's employees. "Detroit is contracting and there's a glut of resumes out there," he said.

Nissan's ties to Southern California date to 1958 when the tiny automaker opened a distribution office in North Hollywood to sell its budget-priced Datsun 1000 four-door sedan. Sales were modest — in 1960 Datsun sold 1,640 cars and trucks in the U.S.

But in 1969 the Datsun 240Z sports car won rave reviews, and the company's fuel-sipping models sold well after the 1970s oil embargo. In 1981 the company changed its U.S. brand name to Nissan, and in 1989 it introduced its Infiniti luxury line.

One Nissan worker in Gardena said the move was tough to stomach for those who helped rebuild "an underdog company."

The woman, at Nissan for four years, said she and others "bought into the brand" and were proud of their accomplishments. "We were the ones who turned this company around."

source : latimes

Proves my post, again.. I am a genius
 
Old 11-17-05, 11:07 AM
  #27  
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At least they are still in the US.
When Nissan was importing like they used to, it made sense to have it in a costal region. Now...? It does make sense to move to be closer to their plant.

The thought of TN is quite a shock for Cali born-raised types. After some close friends of ours moved there...they love it. Took a bit to get used to yet they tell us it was a great decision to re-locate. They picked up a 1 acre spread and a brand new home in Calif 70's prices. If you do a even exchange... Now they can drive the "Tail of the Dragon", visit Dollywood and the Smokeys.
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