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DaimlerChrysler Merger: The Quest to Create “One Company”

Babson Case Number: BAB041 | Length: 27 Pages

Abstract

This case may be used as a stand alone or as a follow on to Chrysler: Rebirth of an Automaker. This case is best suited for studies in Strategic Management, Corporate Entrepreneurship, Global Management, Leadership, and Change Management or Organizational Behavior. The case centers on the historic merger of Daimler-Benz AG and Chrysler Corporation and the subsequent quest for integration. There are several subtexts to this central issue: the comparison and contrasting of the operating cultures and business processes of the two companies, their histories, their position within the auto manufacturing industry, their corporate values and image. These provide a context for students to explore as they attempt to envision and develop a strategy for integration. The case introduces the dynamics of integrating the leadership of two companies. The roles of the senior managers in the merger, its execution and the subsequent integration attempts can be explored in “what if” scenarios.

A four page follow up case, “DaimlerChrysler (B), number BAB 042, is available that chronicles the immediately subsequent events to the primary case.

Author(s)

Dianne C. St. Jean, Allan R. Cohen

Teaching Note Number: BAB-541

Keyword(s)

Strategic Management
Corporate Entrepreneurship
Global Management
Leadership
Influence
Change Management
Organizational Behavior
Automotive Industry
Mergers and Acquisitions