Here is the synopsis of our sample research paper on DaimlerChrysler; From Start to Finish. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 10 page paper examines the acquisition of Chrysler by Daimler-Benz in 1998, looking at why and how this acquisition took place, the perceived benefits to the companies in the context of their own resources and capabilities as well as the wider environmental factors in the automotive industry and eventual the outcome that led to Daimler's decision to sell the majority stake in Chrysler to a private equity firm in 2007. The bibliography cites 18 sources.
Page Count:
10 pages (~225 words per page)
File: TS14_TEdamchryfinish.rtf
Buy This Term Paper »
Unformatted sample text from the term paper:
synergy, there was a great deal of optimism for the outcome of the combined company. However, the optimism proved to be unfounded and the post merger company failed to provide
the desired benefits, with Daimler selling Chrysler in August 2007. Looking at DaimlerChrysler there did appear to be a great potential to create value looking at the companies and the
industry as a whole. However, there were a number of mistakes and problems faced which lead to the subsequent spin off of Chrysler (Engle, 2007). Looking at the history of
DaimlerChrysler the drivers for the initial acquisition and the way problems emerged can be appreciated. The automotive industry is one which has reached maturity, a condition which tends to
lead to an increased number of mergers and acquisitions (Hooley wt al, 2003). Porters Five Forces model demonstrates the pressures which explain the reasoning behind the decision of Daimler Benz
to purchase Chrysler. The automotive industry is one that is facing problems. There has been growth in the demand in recent years, but this is declining as new car
sales fell in 2006 in most markets (Economagic, 2007). Overall, the global market has an access capacity in terms of supply. There is an increase in demand globally, Hyundai Motor
Co., project that the global market will increase by 4% in 2008, but this is not evenly spread with increased demand in areas such as China, where the demand is
primarily for smaller, low cost cars (YON, 2007). The threat from existing competitors to companies such as Daimler Benz is significant, especially as many appeared to be better placed in
terms of the emerging demand and trends in the automotive industry. Many companies had undergone merger in order to achieve economies of
...