A qualitative case study: Cultural adaptation of Germans and Americans in the DaimlerChrysler merger

Up to 83% of international mergers and acquisitions fail to produce profits. Recent research indicates national and organizational cultural differences between the partners in a merger are among the primary reasons for poor financial performance. The success of cross-cultural adaptation is dependant upon how corporations address national and corporate diversity. The DaimlerChrysler merger serves as a case study to examine the issues of cultural adjustment and diversity in mergers and acquisitions. This thesis explores the cross-cultural adaptation between Germans and Americans through qualitative methodology. Data were collected through eleven in-person and telephone interviews using semi-structured interview format. The findings indicate various issues involved with cross-cultural adaptation at DaimlerChrysler and explain the issues that contributed to complications associated with the adaptation between Germans and Americans. Practical recommendations are offered to management of future international mergers in order to help develop coping strategies to address cultural diversity.