Archive for April 12th, 2011

Intercultural communication in intl. Joint Ventures and M&As

12 Apr

It’s official: after some days of decision-making I finally chose the topic for my bachelor thesis:

“Challenges of intercultural communication in cases of international Joint Ventures or M&As ”

Take just the field of intercultural communication – an issue the pioneer Geert Hofstede started realizing just in the early 70s. So still a pretty young issue. Soon, others got an idea of new research in this field with Hofstede’s student Fons Trompenaars taking the lead.

According to my opinion, this topic is about something that many international businesses are dealing with – or have been dealing within the last decade. In a world of temporarily isolated applications, where acquisition of possible competitors is becoming more and more an attractive solution to dominate the market, many international operating corporations face The Cold Hard Truth: it’s time for internal globalization. And it is simply ridiculous that there are managers outthere who think that it is enough to repaint the buildings, sending over an IT associate who installs the new software and has the latest issue of the CI-catalogue in his briefcase . An acquisition always requires a subsequent integration of business processes, applications, strategy and other procedures. This is where many corporations fail.

Sometimes they say: Let them run their business as it used to be. Let us not change their core procedures. It might affect their profit – negatively. That might be a short-term solution. But in the long run – especially if products or services are similar – the real merger has to be done – not only to avoid competing with each other.