Cultural Conflict Analysis-When Private Enterprise Merger With State-owned Enterprise

This paper, entitled as <Research on the cultural integration in private enterprise merger state-owned enterprise>, studied the research question what kind of cultural integration modes should be chosen during the M&A (merger&acquisition) of "private enterprise merger state-owned enterprise".M&A has been identified as one sought-after strategy for enterprise expansion, especially the number of international M&As increased rapidly amid the hypercompetitive global environment. In the context of China’s economic development, private enterprises play an important role in the transformation of state-owned enterprises as a member of the active ones on the market. M&A of state-owned enterprises on one hand can expand private enterprise operations. On the other hand such an M&A practice may assist lifting state-owned enterprises out of the financial and operational difficulties. In addition, the consequences of private enterprise merger SOE made generate huge contribution to the economic development of China. Most of M&A ended in failure, however, cannot reach the original strategic target, even paralyzed. The main cause of failure in M&A is inappropriate integration, especially cultural integration. Especially the process of cultural conflict affects the M&A.This thesis will focus on the cultural conflicts in private enterprise merger state-owned enterprise and measures of dealing with the cultural conflicts, respectively explain the advantages and disadvantages of culture in state-owned enterprises and private enterprises, and Cultural differences lead to cultural conflict, focus on the cultural conflicts and the way of resolving the conflict, summarize the steps of cultural conflict and the model of integration. Then Cases analysis confirmed the model and measure.