Daimler _benz
Problem Definition The merger between Daimler-Benz, a German automobile manufacturer and Chrysler, an American automobile manufacturer was intended to boost the growth and profitability of the two companies. ... Daimler Benz executives began to change the procedure and policy of Chrysler. ... It was obvious that Daimler-Benz executives forced to implement the German style of management on an American company without considering corporate cultures, national cultures, goals, and objectives of Chrysler. Problem Justification The problem in this case is focused on Daimler-Benz power of authority over DaimlerChrsyler. ... In this case, Daimler-Benz and Chrysler perform a comprehensive alliance in which the two companies are supposed to agree to perform the business functions together. Instead of cooperating for their mutual benefit, Daimler-Benz tried to turn DaimlerChrysler into a 100% German company by replacing Chrysler corporate culture with Daimler-Benz corporate culture. ... This design allows Daimler-Benz and Chrysler to focus on the products that they manufacture and sell together. ... Since Daimler-Benz and Chrysler s national cultures are lower-power distances, they tend to create global product design that support decentralized decision-making process. Daimler-Chryslers global product design is as follow: Source: Griffin and Pustay 2002, p. ... Daimler-Benz and Chrysler have their own corporate cultures, which may stimulate conflicts when the two companies merger. ... Daimler-Benz and Chrysler executives can discuss what the most important values from the two companies are and incorporate them into the companys new mission statement. ... Organizational control level monitors how well Daimler Chrysler responds to the changes in its business environment after the merger. ... By establishing standard of performance for each control level, measuring their actual performances, and responding to the deviation, DaimlerChrysler can assure that its business functions are implement toward its goals not Daimler-Benz or Chryslers goals. Evaluate alternatives Before deciding to apply one of those alternatives, Daimler-Chrysler executives have to consider the strengths and weaknesses of each alternative.