Companies Essay Example | Topics and Well Written Essays - 500 words

Companies - Essay Example Thus non-price competition prevails in the market and it is up to a particular firm to convince consumers that its product is superior. Only then can it charge a higher price vis-Ã  -vis rivals. Given a large number of sellers, collusion is practically impossible In the event of an increase in demand, leading to an increase in price, the firms in the industry may earn higher profits in the short run. However, over time, the existing firms in the market will increase their production capacity or new firms will enter the industry to take advantage of the higher price. Either way, the supply demand mismatch would vanish and the firms will earn normal profit only. The assumption of symmetry in monopolistic competition, which states that when a new firm enters the industry it draws customers equally from all firms, will lead to negligible change in the CR of the industry. The aforesaid discussion suggests that if J’s Assistant Living is to start operations, the company will have to offer a differentiated product. The company will not be able to compete on the price plank and will earn normal profits in the long run. In case J’s Assistant Living does not succeed, it will be able to exit the industry easily. The Concentration Ratio (CR) of 80 percent in industry B with 20 firms signifies that there is ‘high concentration’ in the industry. The industry is oligopoly as the few largest firms account for 80 percent of the market share. In an oligopoly, the market dominated by a relatively small number of large firms. These firms have considerable market power and may either sell standardized products or differentiated products. Each firm realizes that any move that it makes would be taken note of by competitors. As such, the decisions that a firm takes is strategic in nature as it invariably elicits a response from the rivals. The main characteristics of this industry type include barriers to entry and

Climate Changes Essay Example | Topics and Well Written Essays - 2000 words

Climate Changes - Essay Example Deforestation in turn leads to melting of polar ice, more floods, increase in global temperature, scarce rains etc. Green forests help in soaking the suspended particles in air and thus clean the air for all of us to breath. Disappearing green cover also means presence of more pollutants in air. National Geographic reports that, "According to the World Resources Institute, more than 80 percent of the Earth's natural forests already have been destroyed. Up to 90 percent of West Africa's coastal rain forests have disappeared since 1900. Brazil and Indonesia, which contain the world's two largest surviving regions of rain forest, are being stripped at an alarming rate by logging, fires, and land-clearing for agriculture and cattle-grazing." According to the studies conducted by many Science Academies, the surface temperature of Earth has risen by about 1 degree Fahrenheit in the past century, with accelerated warming during the past two decades. New and stronger evidence is found which suggests that most of the warming over the last 50 years is attributable to human activities. Human activities have altered the chemical composition of the atmosphere through the buildup of greenhouse gases - primarily carbon dioxide, methane, and nitrous oxide. Energy from the sun drives the earth's weather and climate, and heats the earth's surface; in turn, the earth radiates energy back into space. Atmospheric greenhouse gases (water vapor, carbon dioxide, and other gases) trap some of the outgoing energy, retaining heat somewhat like the glass panels of a greenhouse. According to recent studies, since the beginning of the industrial revolution, atmospheric concentrations of carbon dioxide have increased nearly 30%, methane concentra tions have more than doubled, and nitrous oxide concentrations have risen by about 15%. In fact the greenhouse effect is also leading to some geomorphologic changes as well, which is resulting in changes of landscape. There are views which state that the climatic change is neither unusual nor necessarily harmful or bad (Jones, 1993). The benefits are being counted in the fields of economy basically. But the moot point is, to what extent can we ignore the nature for reaping economic benefits. Even during carrying out a profitable business opportunity, a sensitive management will allow the public to know what the company is doing. Such inputs not only help the company in knowing about the thought process going on in the public domain, but it also helps in strengthening the ties between company and its customers. At times the business also works hard to build public opinion in favour or against some strategic

Quantitative Decision Making Research Paper Example | Topics and Well Written Essays - 1000 words

Quantitative Decision Making - Research Paper Example - the independent and dependent variables can be determined incorrectly (in this case it is hard to determine whether change in export production of passenger cars influences export production of commercial vehicles or vice versa); - the perceived relationship may be a result of simultaneous influence of the third (moderator) variable on both of the variables separately (for example, correlation between export production numbers of passenger cars and commercial vehicles can be explained by the influence of the increase/decrease of the exchange rate on exports of the automotive industry in general). It may be true in this case, as the suggested regression model explains only 22.2% of variance (R-Squared value is indicated in the table below). Thus, if the export production number of passenger cars increases by 10,000 the export production number of commercial vehicles will go up by 572 (0.0572 coefficient). The constant 13,002 can be considered rather an anchor point for the regression line and should not be taken as the value of JCYF when JCYL is equal to 0 due to the fact that the data set available contains no observation with JCYF equals to or is close to 0. To project the export production number of passenger cars (... - the perceived relationship may be a result of simultaneous influence of the third (moderator) variable on both of the variables separately (for example, correlation between export production numbers of passenger cars and commercial vehicles can be explained by the influence of the increase/decrease of the exchange rate on exports of the automotive industry in general). It may be true in this case, as the suggested regression model explains only 22.2% of variance (R-Squared value is indicated in the table below). Linear regression equation JCYF = 13002 + 0.0572 x JCYL (coefficients indicated in the table): Multiple R-Square Adjusted StErr of Summary R R-Square Estimate 0.4708 0.2217 0.1730 4184.251262 Degrees of Sum of Mean of F-Ratio p-Value ANOVA Table Freedom Squares Squares Explained 1 79773016.56 79773016.56 4.5564 0.0486 Unexplained 16 280127337.9 17507958.62 Coefficient Standard t-Value p-Value Lower Upper Regression Table Error Limit Limit Constant 13002.19876 7187.903864 1.8089 0.0893 -2235.476735 28239.87425 JCYL 0.05720163 0.026797739 2.1346 0.0486 0.000392961 0.1140103 Thus, if the export production number of passenger cars increases by 10,000 the export production number of commercial vehicles will go up by 572 (0.0572 coefficient). The constant 13,002 can be considered rather an anchor point for the regression line and should not be taken as the value of JCYF when JCYL is equal to 0 due to the fact that the data set available contains no observation with JCYF equals to or is close to 0. To project the export production number of passenger cars (JCYL), given export of commercial vehicles (JCYF), the JCYF value should simply be plugged into the regression line equation. The point of estimate number would be

Role of Women in Math, Science and Engineering Essay

Role of Women in Math, Science and Engineering - Essay Example However, in spite of these challenges, few women have made an impression in these disciplines, discrediting the myth about the gender’s weakness in the subjects. This paper discusses the role of women in the academic disciplines, related to math, science and engineering. In particular, the paper focuses on the contribution of women in United States in the 19th century and compares the conditions that existed then with the current years. In the recent times, the number of prominent women scientists, mathematicians and engineers pales in comparison to liberal artists, authors, dramatists and dancers in the American society (Clough, 2004). In the 19th century, Berger(1987, p73) noted that the number of women in math, science and engineering disciplines was far much less in a society that was making transition from the agrarian to an industrial driven economy. According to Berger(1987, p89), the role of women in the now developed United States was restricted to home chores, a fact or that greatly undermined their early involvement not only in pursuit of their studies, but also in the choice of their careers. In the highly multicultural American society, the academic progress of women especially from the minority groups was an enormous challenge. However, regardless of the racial and economic background of women, their involvement in science, math and engineering was very low. The 19 century was characterized by many groundbreaking and scientific innovations from which most of the current technologies are founded and a number of women played an active role in the United States. Their role was not only limited to studying sciences, math and engineering disciplines to higher levels but were also involved in innovation of new technologies from those disciplines. At the time, United States was undergoing economic and social changes that demanded invention to solve the problems afflicting the society including diseases, more efficient machines to cope with the mass production demands in addition to enhancing the agricultural production in order to meet the food demands of the increasing population Berger, (Berger, 1987, p 102) Some of the most prominent American women scientists in the 19th century included physicians such Elizabeth Blackwell, Annie Elizabeth, a dentist, Maria Mitchell, an American astronomer, Richard Ellen Swallow, a renowned chemist and ecologist in addition to Amelia Earhart, a popular aviatrix. Other women included Rebecca Cole, the first African American woman to earn a doctorate in Physics, Marie Curie a renowned chemists and among the pioneers of radioactivity. In medical and nursing profession, some of the most prominent women included the Beatrice Hinkle, a psychiatrist, Helena Deustch, a psychoanalyst, and Lillian Carter, who was a prominent nurse. Though these women made remarkable contribution in their scientific and engineering disciplines, Clough (2004) notes that their numbers was very small compared to America n men in the respective areas. Although their marginal involvement in math, engineering and science has been attributed to the then a hugely male dominated society, the current role of women in these disciplines is still very low compared to men. This is in spite of the highly liberalized and more equitable society that provides equal opportunities to both sexes. According to Clough (2004), women are under

Dictatorship Definition Essay Example for Free

Dictatorship Definition Essay Dictatorship as a form of government is not new. It was a recognised institution in the republican Rome where normally the authority of government was vested in two presidents called Consuls. In times of emergency the Romans used to appoint a Director to supersede the Consuls, granting him supreme powers to meet the crisis. But Roman dictatorship was a temporary expedient to meet a crisis and was discarded when the crisis was past. Moreover, the dictator was selected by a legal process with the obligation to submit his use of power to the scrutiny of the permanent authority. The Roman dictatorship was, therefore, â€Å"a constitutional device under which the constitution was suspended during a grave crisis of the State. This description of dictatorship does not apply to the modem dictators of former Soviet Russia, Italy, Germany and some other countries. Modem dictators are not selected by a legal process for a limited period of time in order to steer the State through a national emergency. They come into power as a result of a coup d’etat. Force is the criterion of their political authority and they remain in power as long as force can retain them. They are responsible to no authority except to themselves. The whole authority of the State is vested in one individual person and he personifies the State. Some writers are of the opinion that the Russian dictatorship was the dictatorship of a party while in Germany and Italy it was the dictatorship of individuals. But Nazism in Germany and Fascism in Italy were also the rule of a party, though they remained all through overshadowed by a single personality just as Bolshevism was in the days of Lenin and Stalin. Till yesterday, Khrushchev’s personality loomed large on the political horizon. In fact, no government, as Maclver has shown, is ever actually in the hands of a single individual. If there is a single seemingly supreme ruler, he inevitably rests his power on the active support of an associated class. He rules in its interests no less than with its cooperation. He nearly always has a council of advisers who represent that class. Hitler and Mussolini were leaders of the Nazi and Fascist parties. They selected their ministers from the ranks of their own parties in order to pursue the ends of their respective parties. There is, accordingly, no difference between the Russian type of dictatorship and that of Central European countries. If there was any, it was only one of degree rather than of kind. In USSR it was really a triple dictatorship—that of the Communist Party as regards the mass of citizens, that of the inner group as regards the rest of the Party, and that of the leader as regards inner group, party and the nation.

The Externalizing Machine Essay Example for Free

The Externalizing Machine Essay In todays mostly capitalistic world people who are consumers think that they have power to decide what products to purchase; people who are stockholders are only interested in the profit; people who run corporations make that profit regardless of the price others have to pay; and people who live in developing countries work for 3c per hour making brand name cloths which then are sold for $20, $60, $100, $200, $500, making at the same time the corporations profit skyrocketing. It is widely known that there are sweatshops in developing countries, where people are treated like slaves but practically they are not slaves because they always can walk off the job. It is known that in such countries there is exploitation of child labor, but practically what can a citizen of other country do to help if they have enough their own problems. It is also known that work conditions in such factories are horrible, but what one can do if those companies offer lower prices. Is it fair towards society as a whole that some people are exploited so others can make skyrocketing profits? Is it fair that your TV was partially made by a 6-year-old child? Is it fair that the product you bought harms or even kills you or one of your family member? Is it fair if this does not happen to you but to some other people in some other countries? Is it fair that infants are given harmful baby-formula prohibited in developed countries? There are many questions that can be asked whether it is fair or not, but what happens if we interchanged the word fair with legal and instead we ask whether all those actions are legal or not, and who makes them legal or not. The author Joel Bakan of The Corporation tries to find an answer to those questions and tries to show what impact corporations actions may have on human beings and environment. Joel Bakan in his book brings up issues of sweatshops, environment pollution, externalities, government regulations, advertisement, and many others. He uses concepts of corporation as a psychopath and doom machine. By this Bakan means that corporations, in its pursuit of maximizing the profit at any cost, they destroy people, environment, and themselves at the same time. Even thought there are many important issues throughout the book my focus will be on chapter three Externalities. As the title of the chapter says the most important issue in it is externalities, the effect that corporations have on third parties. The author explains the concept of externalities and gives some examples; this chapter also focuses on the process of how corporations make decisions regarding the products safety, how they make decisions whether to improve products safety or not, or how they make decisions regarding the possible corporate options in the light of profit. The author used some concept and theories in this chapter so lets start with identifying and explaining them. First the concept of externalities. An externality is the effect of a transaction on a third party who has not consented to or played any role in carrying out of that transaction. ; the effect can be either good (creation of new jobs, lowering unemployment) or bad (pollution, diseases, deaths, etc). They literally mean other peoples problems. Whether or not exernalitie have good or bad impact they are only the result of pursuit to make higher profits, and are only the result of self-interest; furtheremore it does not matter for corporation whether the results of corporations decisions are good or bad externalities, as long as the profit raises. (pg60,61) Bakan uses the concept of doom machine (example of paper mill) to explain why corporations are successful in destroying world they operate in. The concept means that corporations dynamic does not take into account the concerns of flesh-and-blood human and that in our search for wealth and for prosperity, we create a thing thats going to destroy us (Monk pg71) The author also uses the concept of corporation as a pschopath which means that corporations are ego-centric, irresponsible or refuse to accept responsibility, have asocial tendencies, and they will do anything to satifsy their goal which is to maximize profit at all costs regardless what harm it may cause. The author assums that many, if not all, corporations make harmfull decisions that will eventually destroy the world, and at the same time will destroy the corporatins themselves. I think that Joel Bakans assmumptions are that all corporations do not care about the environment they operate in, that they would pollute everything to maximize profit, that the only guideline corporations use in making a decision is a cost-benefit analysis, and that eventhough corporations are made of individuals who would not want to harm other people together they would kill other people if it maximizes the profit. The author takes for granted that all corporations do not care, and that if they pretend they care, it is because they want to maximize the profit, and that if they comply with the law it is beause it would cost more not to obey the law, the author takes for granted that all decisions made by corporations are based solely on cost-benefit analysis not on ethical or moral codes or guidelines. The author assumes that corporations eventhought they are made up of individuals with ethical codes they do not use them in making decisions regarding profit. Therefore the author is asking why they make such decisions, why they only consider profits that can be made in near future but do not consider their future existance. The author asks how corporations make such decisions that in long run will destroy human beings, environment and corporations themselves. Joel Bakan is asking why people as a corporation harm other people and themselves. As an example, the author gives Monks story. (Monk is one of Americas most important and influential businessmen, he worries about what is going on in modern corporations. ) Monk was staying in a motel in a small town. He was shocked when he discovered that paper mill is polluting the river in that town. Monks says that he knew everyone there, the mayor, the mill employees and owners, and he also knew that no one wanted the river to be polluted and yet it was being polluted every night. (pg71) Therefore, why if no one wanted it to be polluted they were still polluting it? The question is why corporations make such decisions that harm other human beings. If there is no person in a given corporation who would want to harm others, why as a corporation they not only harm people but even kill them. What is the difference between murdering someone by using a firearm or a knife and murdering someone by letting him drive unsafe vehicle or drink polluted water or eat poisoned food. Who assigns the difference and who lets those murders happen everyday around the world. The question is why corporations are not prevented from doing harm, and why they decide to harm others in the first place. To back up the issues raised in The corporation Joel Bakan uses a lot of data, information, and facts regarding corporations and the legal breaches that they did. Two most important informations include data used by GM in calculation of cost-benefit analysis of improving products safety; and General Electrics major legal breaches including many contaminations of the environment and the amount that they had to pay between 1990 and 2001 for those legal breaches. GM in deciding whether to improve cars safety calculated how much it would cost them. Therefore they calculated how many accidents would happen on US highways, how many fatalities it would cause, and how much it would cost the company in lawsuits and other expenditures, mainly meaning the cost of a fatality. The calculation was as follows: 500fatalities x 200,000 per fatality / 41,000,000 = $2. 4 per automobile. To make the car safer, it would cost company $8. 59 per car. Therefore, it was cheaper not to improve vehicles because GM would save $6. 19 per car in production. Armstrong and her children, that had second- and third degree burns resulting from a rear-end accident in 1993 due to the fire caused by unsafe positioning of the gas tank in GM Malibu, were awarded $1. 2 billion. (pg63) Two significant orders for GE to pay was i 2 billion for asbestos cleanup and related pollution, and $95 million in damages for contamination from dumping of industrial chemicals. (pg75-78) The total GE had to pay for contamination of the environment alone, between 1990 and 2001 was approximatelly $3 000 106 million (over $3 billion); total for violations of safety rules at nuclear fuel plant, for design flow in nuclear plants, for illegal sal of fighter jets, and for overcharging on defense contracts was $300 million. GE was also ordered 14 times to clean up contamination of drinking water (ground water, river, water supply) and soil. The assumptin is that General Electric makes huge amounts of profit, because GE is able to exist on the market even though it was ordered to pay over $3 billion puls the cost of cleaning up contamination. The broader assumption, based on GE example, is that corporations make huge amounts of profit at the cost of environment and human lives and they continue to do so even though they are ordered to pay millions or billions of dollars in fines. Given the information regarding corporations actions and the impact they have on developing countries, on societies, on environment we all live in, and on individuals, who should care the most and why should we care at all. Joel Bakan is trying to make the reader think about the reality we live in, about what is really going on in the world, about bigger picture than only ones family, job, or friends. I think that in Joel Bakans opinion everyone should care about what he says, everyone should care aout future generations, and future of this planet, therefore everyone should take an action in order to make this world a better place. If we take his line of reasoning and accept his arguments it would mean that we should stand against the big corporations and their exploitation of people and environment. We should not agree with their actions and should do something to stop those big corporations destroying the world. We as people and customers have lots of power, however we are lazy to use our collective power to stop those corporations in their harming actions, instead we prefer to pay less for products eventhough we know that those products were made by child labouer. If we agree with Bakans arguments it means that we say no to corporations and to their exloitation of people and environment not to business in itslef, we do not stand against the business but against those corporations that are overtaking the world.

Analysis Of Corporate Culture Management Essay

Analysis Of Corporate Culture Management Essay Daimler-Chrysler was a merger formed by joining German industrial giant Daimler-Benz AG and American auto mobile manufacturer Chrysler Corporation, in 1998. Brands they produce include Dodge, Jeep, Chrysler, Mercedes, and Plymouth. DaimlerChrysler upholds headquarters in Stuttgart, Germany, the original home of Daimler-Benz, and in Auburn Hills, Michigan, the original headquarters of Chrysler. According to (Mopardaddy, 2013), Daimler-Benz acquired Chrysler Corporation for $38 billion, and it became one of the largest industrial mergers in history. The merger also placed DaimlerChrysler for contractions into Asian and Latin American markets, where analysts foresee significant future growth in the automobile industry. (Miliou, 2011) mentioned the reason for this merger in her study. By this merger Daimler will be able to enter U.S market and produce more low-end cars in their production. On the other hand Chrysler will be able to access Europe market. Daimler-Chrysler also has benefit of lowering the cost, increasing the productivity and exchanges the technology. The main goal of this merger is to form a larger global enterprise to compete in the larger markets of the world. The result of this merger was unexpected. DCs sales and share price started falling, started making huge losses and synergies were not working as expected. This failure resulted to selling Chrysler to Cerberus Capital Management. After all the main reasons behind the failure of merger of Daimler-Chrysler can be answer by several factors, which is cultural clash, mismanagement, lack of due diligence and Asian challenge. Analysis of Corporate Culture Edgar Schein of MITs Sloan School of Management define organizational culture as follows: a pattern of shared basic assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems. The main reason for the failure of Daimler-Chrysler is cultural mismatch. The two companies failed in managing and reducing the difference between both companies. The diversity of culture from each region will take effect in work manner, quality, system of authority, and create the business culture itself. In this merger Daimler-Benz and Chrysler come from two different cultures. Daimler-Benz is from east culture of Germany and Chrysler Corp is from America. Two cultures is different in terms of organization, working style and compensation. The cultural incompatibility is the single largest cause of lack of projected performance, departure of key executives, and time consuming conflicts in the consolidation of business (Bijilsma-Frankema, 2001) The Culture of Human Resource Management of Daimler: According to Daimler, the companys sustainable human resources policy focuses on safeguarding the future, ensuring effective health management and occupational safety, and promoting diversity throughout the Group. We seek to achieve top performance in these areas and thus present Daimler as an attractive employer (Daimler.com) With this, it shows that the company mainly focus on its HR in order to achieve and maintain competitive advantage. According to the report of the company, for December 31, 2008, the Group had already a 273,216 employees in the world. All of them are considered as very important to the overall operations and performance of the organization. Thus, the company mainly focus on the altered strategies and efforts that will aid them to retain their talented people, which will help them in order to save cost of hiring and training new employees, at the same time, maintain efficiency and effectiveness of the entire HR. According to (Habsjah, 2011), Daimler-Benz perceived itself as a leading innovator of the automotive industry with a rich engineering and quality heritage building the upscale cars. According to Daimler, the companys sustainable human resources policy focuses on safeguarding the future, ensuring effective health management and occupational safety, and promoting diversity throughout the Group. We seek to achieve top performance in these areas and thus present Daimler as an attractive employer (Daimler.com). Daimlers main focus is on quality rather than providing low priced products. Looking at the strengths and weakness of the Daimler-Benz, Daimler-Benz offers luxurious products to the market and they are the leader in the quality. However, high production cost is the main weakness of Daimler-Benz and they also have face lacking of global models offer to the market. Corporate Structure and Corporate Culture: Daimler-Benz has a hierarchical structure in their organization where Chryslers is team-oriented. Daimler-Benzs corporate cultures depend on management processes of planning, organizing and controlling. By this they are more conservative, efficient and safe. In Chrysler corporate culture depends on setting goals, directing and monitoring implementation. (Lu Sampsel). From this we can conclude that Daimler-Benz have based their work more on individualism with higher power distance with less uncertainty avoidance and Chrysler possess the quality of low power distance with more team oriented works. Daimler-Benz considers the quality regardless of the cost occurred. According to (THE HOFSTEDE CENTRE), American scores low on power distance whereas German is highly decentralized and are among low power distant countries. Chrysler used the strategy of being innovative to develop business ideas and venture into new markets. Daimler was a complete opposite of this and encouraged formality and hierarchy. At Daimler, decision making is formalized and the employees wear formal clothes at work (Luo, Jackson Schuler, 2003). Corporate Proposition and value chain: Daimler-Benzs main focus is image and experience connected with the highest quality obtainable in the market. Where Chrysler aim at satisfying customers by providing eye-catching, attractive design at comparatively low prices. Daimler-Benz alleged itself as a leading innovator of the automotive industry with a rich engineering and quality inheritance building the upscale cars( (Habsjah, 2011)). Chrysler, in the other hand, was a trendsetter for new design, short development time referring to its organizational flexibility and a sense of market opportunities ( (Habsjah, 2011)). Daimler has quality engineering service with superb designs and provides after sales services, whereas Chrysler produces in high volume and sells in low cost. In other words they emphasis on cost strategies. The summary of Daimler-Benz is they culture is formal, traditional, mannerly and bureaucratic. Daimler-Benz has structure of high authority, strong hierarchy and little payment disparity. They offer products of high quality, high price, luxurious and small sized cars. Chrysler can be summarized as they have culture of relaxed, informal, flexible, risk taking and free form. Their structure designed from top to down management, have lean staffs, highly centralized and encourages team work. Their products are attractive, offer a competitive price, comfortable and moderate speed. Issues faced in the context of organizational culture analysis. Cultural familiarity theory argues that firms are less likely to invest in organizations in culturally distant countries, and subsequently have poorer performance post integration (Lee, Shenkar, Li, 2008; Li Guisinger, 1991; Shenkar, 2001) The research on this issue, however, has been inconclusive. Datta and Puia (1995) found that cultural distance had a negative effect on subsequent shareholder wealth of the acquiring firm, whereas Chakrabarti and colleagues (2009) found a positive effect of cultural distance on firm performance 36 months after integration. Germans and Americans have often ignored cultural differences during initial merger negotiations; however, those differences typically resurface when the actual integration efforts begin and, in essence, signal a major crisis situation (Nees, 1998, p. M6). Misunderstandings between Germans and Americans have often occurred because of differences in communication styles, planning and decision-making processes, negotiation strategies, and leadership practices (Shelton, Hall and Darling, 2003, p. 315). Language and communication barriers: A potential matter that should not have been ignored was the strong cultures and language barriers between the U.S. and Germany. There are lot of language barriers between Daimler-Benz and Chrysler. These barriers should be solved through communication between both the parties. Fitzgibbon and Seeger (2002) found that cultural differences were one of the primary factors in the failed merger of the Chrysler Corporation and Daimler-Benz. Among other things, pre-merger communication and public relations created unrealistic expectations that simply could not be met. Cultural difference is a factor that affects individual communication style and the communication process. Leaderships Role: Academic scholars and most business analysts tend to view these business ventures only from financial and operational perspectives, says Ghosn. They are often surprised when mergers struggle or even fail, when on paper they seemed sure to succeed. The leaders of both companies are from two different culture. The leader of Daimler, Jà ¼rgen Schrempp, is with independent personality and south African overlay and leader of Chrysler Robert Eaton, broke the Chrysler tradition of commanders. Leadership team alignment is also vital to guarantee that common messages and significances are communicated, and that relationship building activities and role lucidity efforts are applied. This case is a strong reminder of the complexity of cross-border integration and the importance of having a leadership team capable of dealing with cultural complexity. James Holden, Chrysler president from 1999 to 2000, share his vew about marrying up and marrying phenomenon. Mercedes was universally perceived as the fancy, special brand, while Chrysler, dodge, Plymouth and jeep were the poorer, blue collar relations(Grasslin, 2000, p.162). Although Daimler-Benz and Chrysler are from same industry both are using different techniques in production. Their target customers are also different. As a result they face difficulties in bringing both the product lines into same order under the newly formed merger. The only product Daimler-Benz relied on was Mercedes Benz. They require extending their product range. This was the main aim of Daimler-Chrysler merger. (Turnock Cobbs, 2003). Management style: Style of management of the Germans encouraged for long meetings with long negotiations and reports. The Americans think that creativity is the central idea in management and they acknowledged short meetings with few reports. Chrysler Group was initiated on the trust that invention and innovation was the best approach to success. This was the opposite of Daimler which accepted formal set up of activities with all the strategies being directed in a formal manner to retain a good image about the company (Luo, Jackson Schuler, 2003). Chrysler had a reputation for having a more freewheeling, open culture, in contrast to the more traditional, top-down management style practiced at Daimler-Benz (Akre, 1998, p. C3). Daimler-Benz was synonymous with words like conservative, ef ¬Ã‚ cient and safe; whereas, Chrysler was known as daring, diverse and creative. In fact, these cultural differences in many ways were the foundation for the mutual attraction between the two companies, but belied the crisis situation that was imminent. Employees interest: American workers tend to have more informal way of working while Germans like to be very formal in the working style. More of the German workers are following instructions from their top managers where American managers welcome feedbacks from lower level employees. German managers frequently prefer a more autocratic style than their American counterparts, and their employees typically expect to be treated accordingly. Research also indicates that a higher percentage of Germans are obedient to their managers than are Americans (Luthans, 1998, p. 591). For example, American employees often feel comfortable challenging their managers, perhaps even giving them advice. German employees, on the other hand, expect their managers to give them speci ¬Ã‚ c instructions and they typically follow them unquestioningly. In addition, many Germans view American hiring and  ¬Ã‚ ring practices as unnaturally brutal (Daft and Noe, 2001, p. 62). The companies were not well-matched with each other in terms of corporate culture. For example, Daimler AG had a corporate culture of permitting the employees to have beer breaks. This culture was not tolerable by Chrysler since them apparent that it could cause fortunes and other unlawful impacts. Later the DaimlerChrysler merger was proven, this matter carried struggles leading to poor support between the managers of the two companies. This resulted to the failure of the merger (OSullivan, 2001). Recommendation on how merger can be managed to achieve strategic objectives. Quickly eradicating inconsistent and non-common functions  causes  cultural integration conflict to side track post-merger activities. The post-merger issues with DaimlerChrysler were a result of not clearly identifying non-common or unneeded functions from a company culture standpoint.  Ã‚  If the employee base is not clear on strategies of the new company, this causes a separation into two companies vs. a new merged environment. (Jaybrownonline, 2013). The Chrysler worker base could have n realize that Daimler wasnt going to throw the baby out with the bath water. Likewise, Daimler through this team effort described above would have realize American culture and processes enough to decide upon the most effective approach globally for the new company ensuring that cultural integration was not forgotten. This would have made a smoother transaction and to provide spot check of how it will be handled and communicated early in post-merger negotiations. Culture clash could have been reduced with the approach described above. (Jaybrownonline, 2013) The severity of communication style differences should have been identified very early on in the pre-merger planning. A plan should have been developed and implemented to ensure cross communication training and awareness were promoted throughout the merger (Jaybrownonline, 2013). Factually the communications style of the Chrysler Corporation was non-hierarchical and far less organized than the bequest Daimler Corporation. Contracts were generally by consensus and employees were given more authorization and self-determination. When this was known to be different from Daimler, they should have taken the necessary steps to transfer and train people on the new communication styles that were to be used going forward. Top management should have better communicated the reasons for the intensely different return packages between the two legacies companies (i.e. cost of living, etc.) and set the expectations of both companies. Chryslers leadership should have not taken the back seat in the newly merged company. The combined leadership should have lessened the impact of bowing out to let the German counter-part lead. A concerted approach could be to have the leaders spouse to ensure adequate span of management control between the two companies to avoid the incorrect message sent out to the employee base. Jà ¼rgen Schrempp, CEO of DaimlerChrysler, July, 2000 stated Implementation is a harder act than the doing of a deal. This was portrayed in the post timeline after the merger. A clear leadership implementation plan was attempted but not effective to fire up the company as a whole. Pre-merger activities should have identified a discovery period between companies and post-merger should have created a clear plan of action, identified key management and communicated quickly throughout the new organization (Jaybrownonline, 2013). Changing of the German employees compensation to be more bonus driven should have been better evaluated, as this went against the European culture and was bound to have negative consequences. Daimler could have also alleviated the preservation issues by taking better steps to ratify a retention plan which could have included elements such as stay pay and a new bonus strategy, based on indicators of the merger. Reward systems of each legacy company should be examined pre-merger to determine areas where significant gaps or potential areas of conflict may occur. The HR organization should create reward systems for each of the disparate cultures but are consistent to the company as a whole. They also need to keep the people that are currently there happy and renew the new companys commitment to them (Jaybrownonline, 2013). DaimlerChrysler should have built their platforms around taking advantage of the synergies that could be achieved instead of the cannibalizing markets for their own brands. (An instance of this would be not letting the K-car to be exported/built in emerging markets for fear that it would eat into the non-existent profits of the Mercedes in the same region.) DaimlerChrysler should have followed ABB merger to the letter or choose a more suitable merger to model their addition (Jaybrownonline, 2013). Conclusion Culture plays an important role when it comes to merge two companies across the border. If the two companies fails in taking cultural differences into account, there would be disasters happening inside the newly formed company. The case of merger of two auto mobile company, Daimler-Benz and Chrysler has shown this clearly. The main cultural differences of Daimler-Benz and Chrysler is started from regional difference, communication and language difference, management style difference and difference of leadership style. Most of the difference is found among the working employees. They are differentiated by the organization before merger. The merger named of equal merger was led by the Daimler-Benz. This was the root of cultural problems. Issues faced by the two organizations include communication barriers, leadership and management barriers and conflict of interest among the employees of the new corporation. To overcome these barriers some actions should be taken by which I have included as recommendations. The culture of the organization should be considered as an iceberg, most of it is water under awareness.