A Framework to Predict the Degree of Cultural Integration in the Automotive Mergers

In the context of mergers, degree of cultural integration has been regarded as a crucial factor that mediates the culture-performance relationship. As studies show, the higher the degree of integration is associated with ongoing realisation of integration synergies and achievement towards the higher level of performance.However, empirical evidence asserts that not all mergers are capable to achieve the desirable degree of integration mainly due to the appearance of cultural incompatibility between partners and underestimation of these incompatibilities by managers. This is a matter of major concern as the issue contributes to the high rate of failures in achievement towards the pre-defined objectives.Regarding the significance of the problem (Cartwright and Schoenberg, 2006) and lack of a cultural integration risk assessment technique , this research is to step towards the identification of the feasible extent to which two nominated firms are capable to be culturally integrated.