Carlos Ghosn, Brazilian-Lebanese-French business executive

Few figures in the global automotive industry have commanded as much attention, admiration, and ultimately, controversy, as Carlos Ghosn. Born on March 9, 1954, Ghosn’s journey began in Brazil, but his heritage is distinctly Lebanese, a fact that would play a significant role in his later life. He also holds French nationality, reflecting a truly international background that perhaps predestined him for a career spanning continents and leading multinational corporations. From his early days, Ghosn was destined for leadership, rising through the ranks to become one of the most powerful and recognized executives in the world before a dramatic fall from grace.

The Ascendance: From Michelin to Renault's Turnaround

Ghosn’s reputation as a formidable business leader began to solidify during his tenure at Michelin North America, where he served as CEO. However, it was his move to the struggling French automaker, Renault, in 1996 that truly catapulted him into the global spotlight. Hired by Renault's then-CEO Louis Schweitzer as his deputy, Ghosn was handed a daunting task: rescue the company from the brink of near-bankruptcy. He didn't just meet the challenge; he redefined it. Ghosn meticulously crafted a stringent cost-cutting plan for 1998–2000, which involved significant workforce reductions, a complete overhaul of production processes, the standardization of vehicle parts, and an aggressive push for new model launches. He also spearheaded major organizational shifts, implementing a lean production system inspired by Japanese methodologies – the "Renault Production Way" – which delegated responsibilities and streamlined work methods. Furthermore, he centralized research and development at Renault’s Technocentre, aiming to slash vehicle conception costs while dramatically accelerating design timelines. His relentless, yet effective, strategies quickly earned him the moniker "Le Cost Killer", a testament to his uncompromising approach to corporate efficiency.

From "Le Cost Killer" to "Mr. Fix It": Revitalizing Nissan

Ghosn's extraordinary ability to orchestrate turnarounds wasn't limited to Renault. In 1999, he was sent to Nissan, another major automotive player teetering on the edge of financial collapse. His mission: to replicate his success. He spearheaded one of the auto industry's most aggressive downsizing campaigns, navigating the complex cultural and corporate landscape of Japan with remarkable acumen. His success in pulling Nissan back from near-bankruptcy cemented his legendary status, earning him a new, equally fitting nickname: "Mr. Fix It". This period marked a crucial point in his career, as he demonstrated not only his financial shrewdness but also his capacity to lead significant cross-cultural corporate integrations.

Forging an Automotive Empire: The Renault-Nissan-Mitsubishi Alliance

Building on the success of the Nissan turnaround, Ghosn engineered one of the most ambitious strategic partnerships in automotive industry history: the Renault-Nissan Alliance. This intricate cross-shareholding agreement, later expanded to include Mitsubishi Motors, created the Renault-Nissan-Mitsubishi Alliance. Ghosn served as chairman and CEO of this sprawling entity, which also saw him hold top leadership roles as chairman and CEO of both Renault and Nissan individually, and chairman of AvtoVAZ and Mitsubishi Motors. From 2010, this formidable venture consistently held approximately 10% of the total global market share. By 2017, it had ascended to become the largest automobile group worldwide, a testament to Ghosn's visionary leadership and his ability to unite diverse corporate cultures under a singular strategic umbrella. He achieved celebrity status, particularly in Japan, where his life story was even chronicled in popular Japanese comics, illustrating his unique impact beyond the boardroom.

His achievements garnered him immense international recognition. In 2002, following the Nissan financial turnaround, Fortune magazine awarded him Asia Businessman of the Year. The accolades continued in 2003, when Fortune identified him as one of the 10 most powerful people in business outside the U.S., with its Asian edition naming him Man of the Year. Further reinforcing his stature, joint surveys by the Financial Times and PricewaterhouseCoopers consistently ranked him among the most respected business leaders globally, placing him fourth in 2003, and third in both 2004 and 2005.

A Stunning Reversal: Arrest, Dismissal, and Daring Escape

The pinnacle of Ghosn’s corporate career began to unravel dramatically. He stepped down as CEO of Nissan on April 1, 2017, though he remained its Chairman. However, his world fundamentally shifted on November 19, 2018, when he was arrested at Tokyo International Airport. The allegations were severe: under-reporting his salary and gross misuse of company assets. The corporate response was swift; just three days later, on November 22, 2018, Nissan’s board unanimously voted to dismiss Ghosn as its Chairman, effective immediately. Mitsubishi Motors' executive board followed suit on November 26, 2018, taking similar decisive action. Initially, Renault and the French government maintained their support, upholding the principle of presumed innocence. Yet, the escalating scandal proved untenable, leading to Ghosn's retirement as chairman and CEO of Renault on January 24, 2019.

His legal troubles continued to mount. While out on bail granted in early March, Ghosn was re-arrested in Tokyo on April 4, 2019, this time facing new charges of misappropriation of Nissan funds. On April 8, 2019, Nissan shareholders formally voted to oust him from the company's board. He secured bail again on April 25. The scrutiny intensified in June when Renault uncovered 11 million euros in questionable expenses linked to him, triggering a French investigation and subsequent raids.

Then came the audacious move that captivated headlines worldwide. Breaking his bail conditions and evading rigorous surveillance, Carlos Ghosn orchestrated a dramatic escape from Japan on December 30, 2019. Hidden in a musical instrument box, with the assistance of an American private-security contractor, he fled by private jet, traveling via Turkey to Lebanon. The sheer audacity of his escape shocked authorities and the international community. On January 2, 2020, Interpol issued a red notice to Lebanon, seeking his arrest. Ghosn has since become an internationally wanted fugitive.

Life as a Fugitive and His Ongoing Narrative

Since his extraordinary flight, Ghosn has frequently engaged with various media outlets, passionately proclaiming his innocence and alleging a conspiracy against him. He has published books detailing his perspective, and his dramatic story has become the subject of a European TV series and a BBC Storyville documentary, ensuring his narrative continues to resonate globally. His case remains a complex legal and geopolitical entanglement, with Ghosn residing in Lebanon, a country that typically does not extradite its citizens.

Frequently Asked Questions About Carlos Ghosn

Who is Carlos Ghosn?
Carlos Ghosn is a Brazilian-born Lebanese businessman who also holds French nationality. He is a former top executive in the automotive industry, notably serving as CEO of Michelin North America, chairman and CEO of Renault and Nissan, and chairman and CEO of the Renault-Nissan-Mitsubishi Alliance. He is currently an internationally wanted fugitive.
What companies did Carlos Ghosn lead?
Ghosn held leadership positions at numerous major automotive companies. He was the CEO of Michelin North America, chairman and CEO of Renault, chairman of AvtoVAZ, chairman and CEO of Nissan, and chairman of Mitsubishi Motors. Most notably, he was the chairman and CEO of the powerful Renault-Nissan-Mitsubishi Alliance.
Why was Carlos Ghosn arrested in Japan?
Ghosn was arrested in Japan on allegations of under-reporting his salary and gross misuse of company assets. He later faced additional charges, including misappropriation of Nissan funds.
When did Carlos Ghosn escape from Japan?
Carlos Ghosn made his dramatic escape from Japan on December 30, 2019, while out on bail, fleeing to Lebanon.
What were his famous nicknames in the automotive industry?
He was widely known as "Le Cost Killer" for his aggressive cost-cutting measures at Renault and later as "Mr. Fix It" for his role in turning around Nissan from near-bankruptcy.