Success and failure in managing foreign acquisitions in South Korea and Japan: Lessons from Renault, General Motors, and DaimlerChrysler

Abstract

In recent years, there has been a sharp increase in foreign merger‐and‐acquisition (M&A) activity in Japan and South Korea. Based on 23 interviews with Japanese, Korean, and foreign managers, this study investigates the reasons for success and failure in the management of the integration of foreign acquisitions in South Korea and Japan. Although the two implementations were independent of each other, Renault succeeded in both South Korea and Japan. On the other hand, General Motors struggled in Korea and DaimlerChrysler failed in Japan. Open communication, a participative leadership style, positive perspectives, and commitment were key factors for the success of Renault. While managers described plenty of similarities between integration processes in Korea and Japan, the reduced influence of conglomerates and the greater willingness of employees to accept changes may make Korea a more receptive environment. The article provides detailed background of the acquisitions and proposes recommendations as to how managers can successfully integrate Korean and Japanese target companies. © 2010 Wiley Periodicals, Inc.

Važnost komunikacije u procesu spajanja i preuzimanja poduzeća: empirijsko istraživanje u Belgiji, Češkoj, Francuskoj, Mađarskoj i Republici Hrvatskoj

“…Komunikacija je u ovoj fazi od presudne važnosti, a menadžeri trebaju dobro vladati komunikacijskim i interpersonalnim vještinama kako bi ona bila uspješna (Appelbaum i suradnici, 2000.). Davanje mogu nosti zaposlenicima za sudjelovanjem u procesu integracije važan je imbenik uspješnosti integracije u procesu spajanja i preuzimanja (Froese, 2010.). Sudjelovanje zaposlenika u aktivnostima vezanim za spajanja ili preuzimanja jamstvo je njihove suradnje i podrške u fazi koja slijedi neposredno po dovršetku samoga postupka.…”

The DaimlerChrysler takeover failure revisited from a varieties-of-capitalism perspective

“…, 2013; Badrtalei and Bates, 2007; Begley and Donnelly, 2011; Bruner, 1999; Buono et al. , 1985; Froese and Goeritz, 2007; Froese, 2010). Research is increasingly dissatisfied with this and suggests a broader range of perspectives (Sarala et al.…”

“…Cases of merger and acquisition failure are generally analyzed from a culturalist view (e.g. Appelbaum et al, 2013;Badrtalei and Bates, 2007;Begley and Donnelly, 2011;Bruner, 1999;Buono et al, 1985;Froese and Goeritz, 2007;Froese, 2010). Research is increasingly dissatisfied with this and suggests a broader range of perspectives (Sarala et al, 2019;Ferreira et al, 2014).…”