The Research Of Geely's Acquisition Of Volvo Based On The Relationship Among Multi-level Of Cultural Integration And Technical Innovation Capability Improvement

In China,a considerable number of enterprises would like to acquire core technology via the method of merger and acquisition which could improve their ability of technology Innovation.However,for this moment,only a few enterprises can successfully acquire the technology experience and innovation ability of acquirers,since varieties of factors would impact the ability of technology Innovation after M&A.Cultural integration is one of the important factors affecting the technology innovation ability of M & A enterprises.Cultural integration could create a positive atmosphere between the M & A and the acquirers to guarantee innovation and strengthen group cohesiveness which could effectively improve the ability of technology Innovation.In light of this,the relationship between integration of culture and improvement of technology innovation is inextricable after M&A.Cultural integration can create a positive atmosphere between the M & A and the acquirers,bringing the institutional guarantee for the enterprises,enhancing the team cohesion and improving the technological innovation ability.The effective cultural integration is closely related to the promotion of the technological innovation ability of the enterprises after the merger and acquisition.Based on cultural dimension theory,corporate culture level theory,cultural constructivism theory and technological innovation ability theory,the author combs relevant literature and makes corresponding literature review.And in the theoretical analysis part,from the relationship between cultural integration and the technological innovation capability of M & A enterprises,we use cultural integration to support,guarantee and motivate the technological innovation capability of M & A enterprises,proving that cultural integration is important for M & a technological innovation.Then,it elaborates the specific path of cultural integration affecting technological innovation,and puts forward four different levels of cultural integration of mergers and acquisitions to different mechanisms of technological innovation capability,so as to provide theoretical basis for this case study.The author attempts to single case study method to Geely's acquisition of Volvo as an example.The premise of cultural integration relies on the existence of culture differences and the hierarchies of cultural differences also results in the necessity of integrating culture from different hierarchies gradually.This article mainly focuses on the perspective of national and corporate culture differences to analyse the four hierarchies of cultural integration of Geely's acquisition of Volvo,which are Material,Behavior,Institution and Spirit.Then it summarizes that how enterprises could improve their ability of technology innovation via integrating each culture hierarchy.It is hoped that this study can enlighten Chinese hi-tech enterprises in cross-border M & A activities.