Research On Cultural Synergy In Strategic Alliance Of Multinational Corporations

Strategic Alliance of Multinational Corporations (SAMC) is the best way tosustain competitive advantage under the background of economic globalization andthe rapid development of science and technology. After China's Accession to theWorld Trade Organization, SAMC is the preferred strategy of China's multinationalcorporations. SAMC facing many differences, the most important one is culturaldifference. Many studies have shown that achieving enterprise culture synergy ofalliance members is the key to the success of SAMC. However, theoretically, fewresearch works have addressed on the study about how to achieve enterprise-dynamiccultural synergy of alliance members. Therefore, the study on cultural synergy ofSAMC is the great theoretical and practical significance. This paper contains nineparts as follows:The first Chapter is introduction. Based on the background and significance ofthis research, Chapter one summarizes the current-research situation of the relativetheory at home and abroad, and described the research system, methods and purposes.The second chapter analyzes theoretically SAMC. Firstly, it starts with thedefinition of SAMC, deeply exploring the basic characteristics and types of SAMC.Secondly, it analyzes the theoretical basis of culture synergy of SAMC from the threeaspects that are transaction cost theory, value chain theory, and resource-based theory.Lastly, it analyzes comprehensively the motivation of SAMC. In comparison with thetraditional expansion theory of enterprises, it predicts the development trend ofSAMC.The third chapter mainly analyzes the basic theories of cultural synergy ofSAMC. After analyzing the relative concepts of cultural synergy, it explores theprinciples about how to realizing cultural synergy. These principles include culturaldifferences, cultural conflict and cultural integration. It puts forward the managementmodel of dealing cultural differences and cultural conflict. And the concept of culturalsynergy are systematically analyzed, it puts forward the implementation procedures ofcultural synergy.The forth chapter focus on how SAMC understand cultural differences. Aftertheoretical analysis of culture differences, it puts forward the source of culture differences of SAMC, the problems and difficulties brought to operating managementof multinational corporations; it evaluates popular model of culture analysis. Itestablishes analytical framework of competitive advantages based on the culturaldifferences between SAMC. High-performance of human resources management(HRM) is the premise of high-performance alliance, but cultural differences of SAMCwill inevitably impact on HRM. Through monitoring the performance of humanresources management and cultural differences, cultural differences will bring varyingdegrees of positive influence on performance of HRM.The fifth chapter studies how SAMC effectively manage cultural risks.According to cultural analysis of action mechanism, this chapter establishes themeasurement model of cultural risks of SAMC, combining with factors andqualitative analysis that have studied by scholars at home and abroad. And itconcludes that in order to take appropriate strategy of risk management and choosethe appropriate tool of risk control, SAMC must correctly identify the different typesof cross-cultural risks, must build prevention mechanism of cross-cultural risks byadjusting measures to local conditions.Chapter 6 studies how SAMC build trust mechanism on a basis of culturalsynergy. Starting with analysis of the basic meaning of trust, this chapter explains thetrust and its features of SAMC, which distinguishes three types of trust, low trust,moderate trust and high trust. In order to measure the trust degree of mutualconfidence of strategic alliance members, measurable indicators are especially putforward: trust. By analyzing the key variables to the trust degree of Strategic Alliancemembers, this chapter points Out that both the causes of subjective-internalmechanisms and the causes of objective-external environment jointly impact on thestrategic alliance trust T, and simply describes the use of fuzzy comprehensiveevaluation method for the T determination.Chapter 7 focuses on the collaborative process of strategic alliances Cultural ofSAMC. To begin with the effect of cultural synergy, this chapter conducts the in-depthcomparative culture study on both sides, with the purpose for the chosen alliance tomaximize the synergy cultural effect. After the alliance's foundation and form theangle of internal culture synergy of SAMC, this chapter, against the three options tosolve the culture conflicts, puts forward the specific culture mold for selectingsynergy scheme and the implementation courses. For the construction of a common culture management (CMC), this chapter suggests that common cultural pattern willcome into effect, along with the process of cultural synergy, which is a part of culturesynergy of SAMC. CMC is a planned, aimed management process.Chapter 8 employs a case analysis of cultural synergy of SAMC. This chapteranalyzes the current situation and development trend of both the internationalautomobile industry and the strategic alliances in the domestic auto industry. TakingChangan Ford Motor Company, a Sino-U.S. joint venture as an example, this chapter,on the base of the cross-cultural management theory, discusses the company'smanagement from the aspect of management thinking, management rule andmanagement behavior difference, and then find out the problem root—culturaldifferences. Moreover, it analyzes the main causes of conflict, propose and implementmeasures and cultural cooperation for Changan Ford Motor Company.The last chapter, chapter 9 is the summary and outlook of the full text. It putsforward main innovations of this paper, and forecasts the follow-up study.