Offers the challenge of integrating two large business groups after № 6 conditioner manufacturer, Kelon Group, acquired № 5 conditioner manufacturer, Huabao. While private enterprise Kelon Group, Huabao was spun off from state-owned enterprise group. This was a landmark case of acquisition, in which non-entrepreneurial firm has at the state enterprise that has been a strong brand and a national reputation. The two companies have different resource base, history, traditions, corporate culture, management style, product features and reward system. They have been traditionally close rivals is in the same village. The total capacity will make the new Kelon-Huabao leading air conditioner manufacturers in terms of market share, assuming the successful merger and integration. "Hide
by Justin Tang, Paul Beamish Source: Richard Ivey School of Business Foundation 16 pages. Publication Date: February 24, 2003. Prod. #: 903M05-PDF-ENG
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