The following thesis deals with Chinese outward foreign direct investments (OFDI) in Germany and the effects of post-merger integration on labor relations.
As a result of the economic reforms that have been taking place in China for the past four decades, the People’s Republic has become an economic giant, rapidly making cross-border investments across the globe. Backed by large amounts of currency reserves, China’s OFDI reached a record-breaking US$ 114 billion in 2014, making it one of the top three global investors. The impending acquisition of Swiss Syngenta by China’s state-owned enterprise China National Chemical (ChemChina), worth over US$ 43 billion dollars, illustrates the aggressive expansion into new markets. Germany has also received its share of FDI inflows from China. While investments have remained rather modest in comparison to other countries, the acquisition of KraussMaffei Gruppe or EEF Energy From Waste GmbH—worth billions of euros—have headlined Chinese M&A in Germany. Chinese have topped the M&A discussions in Germany due to the speed at which so-called "hidden champions" are being acquired. The process of M&A is particularly of interest to us, specifically the post-merger integration (PMI) and the effects it has on labor relations.
This thesis will begin with a literature review on the current and past state of knowledge regarding PMI. Definitions of mergers, acquisitions and integration are given at the start of chapter two, followed in the second half by the various streams of literature pertaining to the topic. Chapter three will introduce the concept of Chinese FDI and the developments of the past 40 years; in the second half of the chapter, we will present the methodology of research we have chosen for the study and the various methods used. Chapter four consists of two case studies of German companies in the automotive sector that have recently been acquired by Chinese multi-national corporations (MNCs). From these case studies, we will make our analysis in chapter five and provide our conclusions in chapter six.
Inhaltsverzeichnis (Table of Contents)
- 1 Introduction
- 2 Literature Review
- 2.1 Definitions
- 2.2 Literature
- 2.3 Literature Overview
- 3 Conceptual Framework and Methodology
- 3.1 Chinese Outward Foreign Direct Investments
- 3.2 Methodology
- 4 Case Studies
- 4.1 Case Study 1: Blau AG
- 4.2 Case Study 2: Grün GmbH
- 5 Analysis and Discussion
- 6 Conclusions
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This thesis examines the effects of post-merger integration on labor relations in German companies acquired by Chinese multinational corporations. It aims to provide insights into the challenges and opportunities of integrating acquired companies into Chinese ownership structures, with a particular focus on the impact on employee relations.
- Cross-border mergers and acquisitions involving Chinese companies
- Post-merger integration strategies and their impact on labor relations
- Cultural differences and their influence on integration processes
- Challenges and opportunities for employees in the context of Chinese acquisitions
- The role of human resource management in facilitating successful integration
Zusammenfassung der Kapitel (Chapter Summaries)
Chapter 1 provides a general introduction to the topic of Chinese outward foreign direct investments (OFDI) in Germany, highlighting the increasing prevalence of cross-border mergers and acquisitions. The chapter sets the stage for the thesis by outlining the research question and methodology.
Chapter 2 delves into the existing literature on mergers and acquisitions, post-merger integration, and their impact on labor relations. This chapter examines key concepts, frameworks, and previous research findings relevant to the thesis.
Chapter 3 presents the theoretical framework and methodology used in the study. It discusses the motivations behind Chinese OFDI and the methodological approach employed to analyze the two case studies.
Chapter 4 presents detailed case studies of two German companies that have been acquired by Chinese multinational corporations. The chapter analyzes the integration processes and their impact on labor relations in each case.
Chapter 5 analyzes the findings from the case studies and discusses the implications of the results for understanding the integration process and its effects on labor relations. It examines the challenges and opportunities faced by both Chinese acquirers and German acquired companies.
Schlüsselwörter (Keywords)
The key terms and concepts in this thesis include mergers and acquisitions (M&A), post-merger integration, foreign direct investments (FDI), labor relations, human resources, China, Germany, cultural differences, and integration challenges.
- Quote paper
- Schahram Ghalebegi (Author), 2016, Chinese Outward Foreign Direct Investments in Germany. Post-Merger Integration and Its Effects on Labor Relations, Munich, GRIN Verlag, https://www.grin.com/document/984211
