Daimler Benz And Chrysler Case Study

Our case study deals with Mass Merger. Since the 90s, together with the globalization of business, Mergers and Acquisitions have developed at an incredible pace. Thus, companies from all over the world can be lead to work together as one single corporation. Moreover, the world has become interdependent not only economically, but also culturally, that is to say one culture may influence another one or different cultures can be mixed. It is then obvious that intercultural issues have to be solved.

The modern business culture must, by necessity, be fluid if it is to succeed globally. There is interaction between employees, between stakeholders, and between global environments. In fact, this environment is formed through multiple interactions between the strengths, weaknesses and opportunities presented through the organization's unique culture. Since truly the one constant in business is change, it is how we adapt to such changes; as individuals and part of groups, that helps manifest behaviors as he culture evolves. Indeed, many believe that one of the templates that make up this fluidity is the concept, even more popular in the late 20th and early 21st centuries, of mergers and acquisitions (Horibe, 2001).

The second major barrier to a successful merger between the two companies is a lack of corporate cohesion. The corporate cultures of both companies are very distinct. Royal biscuit is a new corporation that grew rapidly under the entrepreneurial expertise of one man, while Edeling is a mature family-owned business. The companies differ historically, politically and foundationally. Members of both corporations are expressing resistance towards the merger. Royal biscuit employees feel threatened by the merger and are engaging in anti-German antics; some workers don’t want to be loose their job to an Edeling worker or, in other words, to “some sausage-eater” (Reimus, B., 2004, p. 3). Edeling employees, instead, feel that Royal Biscuit employees don’t respect their corporate history. Therefore, it is imperative that Brighton and Wallach come to a cultural compromise in order to collaborate on a leadership plan and create competencies between employees within both of the

When an organization does not use a holistic approach towards their culture, structure and systems, the organization could create a poor working environment for its employees and poor results for their customers. An example of culture, structure and systems not working well together can be seen in General Motors (GM). GM prior to its bankruptcy was seen to be a “highly bureaucratic company in which brands, departments and regions operated like self-governing and competing states with a federation” (Smerd, J. 2009).

Some businesses in America transfer into bi-cultured after starting out as monoculture. This typically happens when one company buys out the other or they join each other and sub-merge. Every now and then this happens globally. Companies face changes when a merger takes place such as how the business will operate, wages, and or if there will be interference from the government. Once the merger has begun the rules are changed to better serve the company whether people are with it or against it. Company success stories are sent over to a list which is created called the Globe Project list. This list gives pointers and advice for globalized managers to practice based on several key items and characteristics required during a successful merger. Daft states, “Some of the characteristics are assertiveness, performance, and human orientation” (Daft, 2013 ).

Over time, it’s how we will build GM into the world’s most valued automotive company.”

In this era of Globalisation, cross cultural management is the biggest challenge that is faced by the organisations. Within the business context, cross culture refers to interaction between different cultures. Cross cultural management refers to managing the employees from different cultural background in one environment (Adler, 2008). Cross culture management is a significant issue within the organisations as the success of an organisation depends upon the smooth interaction of the employees. This paper is aimed at providing insight on the cross cultural management and the main issues and challenges relating to cross cultural management. For the purpose of this paper, two articles, “Cross-cultural Differences in Management”, by Amman & Jordan

Managers were concerned about knowing and understanding each and every perspective of their employee’s cultures. As they know that without studying or knowing the culture, coordination cannot be built between the employees. It is the existing perspective of managers dealing with cross-cultural management (Sultana, 2013).

Ferry Porsche designed the firm’s first car, the Porsche 356. Although its body was an original design many Volkswagen parts were used to save costs. The original car was fast and very light weight, gaining attention by taking first place in the Innsbruck city race. Production was transferred from Austria to Stuttgart in 1950. The firm focused on performance and continued to reengineer and refine the car. By the late 1950’s the Porsche 356 utilized far fewer parts from Volkswagen. Figure 3 shows a 1951 split windshield 356 Cabriolet.

Effective cross-cultural management has to be grounded in a detailed knowledge of individual cultures. Discuss using examples from two multinational companies.

1) The buyer decision process of traditional Porsche customers relies on the motivations that determine these people to select this brand. Their purchasing decision process is based on the exclusivity of the brand that is connected with the car owner. In their opinion, by purchasing a Porsche, traditional customers purchase the exclusivity and luxury associated with the brand. These customers want to purchase a car that reflects their social status and their financial power. In addition to this, they are not interested in the utility of the car, but in the characteristics that differentiate it from utility cars. These traditional buyers are rather interested in their feeling while driving a Porsche in comparison with the size, price, or fuel economy of the car.

In reviewing this article it was observed that some employees were skeptical of the merger between Chrysler and Daimler-Benz. Daimler-Benz employees were proud of the elite image and were concerned about having that tarnished by another company. Chrysler employees voiced concerns about the addition of a foreign partner to one of America's auto manufacturers. Employees needed reassurance that this merger was going to be a success! In light of all the adversity both companies faced since announcing their plans to merge, how did they remain so steadfast in their commitment to pursuing this merger? What kept them believing this merger was a good deal that deserved a second look? To answer these questions I want to step back and discuss what I

BMW (U.S) Holding Corporation is a franchise of the high-end performance based global automotive company BMW. For the first time in its history, BMW is to launch its first American made car, the BMW Z3 Roadster. Having only made cars in Germany, this time the car is to be assembled in Spartanburg, South Carolina. BMW’s objective is to expand its market share in the U.S., make the brand name more global and improve its dealer network. With this in mind, the company developed a two phases launch plan for the BMW Z3 Roadster.

Q: 1 Why are Ford and GM entering the Russian car market now? Why did they not invest earlier, and why do they do not postpone investment until the market is bigger?

Series, 3 Series, 5 Series, 6 Series, 7 Series, X3 SUV, X5 SUV, X6 SUV, Z4 (Roadster), and M. The