Research On Corporate Culture Integration In Cross-border Mergers And Acquisitions

With the continuous development of the trend of economic globalization,more and more enterprises have chosen cross-border mergers and acquisitions in order to enhance their competitiveness,achieve economies of scale,and establish themselves better in the international market.However,in the actual merger and acquisition process,due to the differences in national culture and corporate culture between enterprises in different countries,if we don't face this cultural difference and use appropriate methods to resolve cultural conflicts,it is easy to create cultural conflicts which lead to the failure of mergers and acquisitions.So cultural integration is crucial.Based on Hofstede's cultural dimension theory,Daimler's acquisition of Chrysler and Geely's acquisition of Volvo's case studies the cultural differences and cultural conflicts faced in the case,as well as measures for cultural integration,which are important for discussing cultural integration after cross-border mergers and acquisitions.This paper studies the relevant theoretical basis firstly,which is the three modes of cross-border mergers and acquisitions,cultural differences,cultural conflicts and cross-border M&A culture integration,namely annexation,fusion and separation.Then choose Daimler's acquisition of Chrysler and Geely to acquire Volvo's case,analyze the merger background,reasons,process and results of the two cases,then analyze the cultural differences between the two companies from the six dimensions of Hofstede cultural dimension,namely power Degree,individualism/collectivism,uncertainty avoidance,male/feminism,long/short-term orientation and indulgence index.It also analyzes the cultural conflicts caused by cultural differences and the countermeasures adopted for cultural integration.The comparative analysis was used to analyze the similarities and differences between the two cases.Through the analysis of this paper,the following suggestions are proposed for enterprises in cross-border M&A in China: 1.Selecting target enterprises with cultural compatibility;2.Formulating and implementing scientific cultural integration strategies;3.Regularly conducting cultural training to deepen cultural mutuality Fusion;4.Improve managers' cross-cultural awareness.