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The Relationship Between International Merger & Acquisition And Competitive Advantage In Cross-Cultural Perspective

Posted on:2007-10-12Degree:MasterType:Thesis
Country:ChinaCandidate:H T QinFull Text:PDF
GTID:2189360212473326Subject:English Language and Literature
Abstract/Summary:PDF Full Text Request
Since the late 1990s, one of the consequences of globalization has been the tremendous increase in the number of mergers and acquisitions across the world, now reaching an unprecedentedly high wave. With the development of the Chinese market economy, some statistics show that international mergers and acquisitions (IMAs) are increasing at a high speed of 70%, becoming a highlight in the cross-border mergers all over the world.Alcatel (France) acquired Shanghai Bell (China) in 2002. As an employee of Alcatel, I witnessed the whole process of the acquisition. After an extensive reading of books on international communication and multicultural management, I made a study of the company's operation before and after the acquisition. After analyzing this successful acquisition case, I would like to describe the cultural differences and potential difficulties in the IMA, hoping to offer suggestions on how to manage cultural shock and communicate effectively, and aiming at understanding how we can benefit from cultural differences which are often seen as obstacles but can be a source of competitive advantage. This thesis is a survey of cross-cultural integration and management and tries to help people improve the sensitivity and competencies of cross-cultural communication. All these topics are discussed from the perspective of cross-culture.The writer believes that competition, acquisitions and mergers are the consequences of globalization. The acquisitions and mergers have their advantages. However, Chinese companies are facing unprecedented challenges because of frustrations and high risks in IMAs. For instance, Chinese companies are not familiar with overseas markets. Instead, they lack of experience in cross-cultural management. It is recognized that the culture issue is the most difficult problem to handle in cross-border mergers. As the business...
Keywords/Search Tags:International Merger and Acquisition (IMA), Globalization, Culture, Cultural differences
PDF Full Text Request
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