Deal-making

GM has become DM--Dismal Motors. But now GM is in talks to become part of the Renault-Nissan alliance. Renault would invest and take a 20% stake in GM. And it was initiated by Jerry York, who is generally credited with helping to turn around IBM and Chrysler and who now sits on the Board of GM. In the background, supporting York, is Kirk Kerkorian, a well known financier and often called a "corporate raider". Carlos Ghosn who heads both Renault and Nissan is leading the discussion. The way big money capitalism works is exemplified well here-- global media turning him into an icon, York flying to London to meet him, Ghosn follows up to meet the real money man, Kirk Kerkorian. Deal proposed, board considering, deal leaks and stock goes up by 8-9%, enough to make the Board think hard about it (and maybe increasing the leverage of Renault in the negotiations).

Carlos Ghosn is the man who turned around Nissan. His words and actions come right to the point--like a knife. And there can be no question that he is a serious man--perhaps the second coming of Jack Welch--but this comparison is not fair to the man. He has his own legacy to build which will be a great one--maybe bigger than Welch as he will cross continents and cultures to do it.