This case describes a series of events related to the shareholders against the proposed merger of Volvo and Renault. The proposed merger was preceded by a strategic alliance, the industrial logic for a merger seemed reasonable. Challenge students to assess why shareholders opposed the merger, resulting in the release fee Volvo merger proposal. The most important factor was the presence of an unusual control option should be given the French government, which made the proposal for the soul of Swedish shareholders. Other factors, including cultural differences and hostility to the bright Chairman of Volvo Per Gyllenhammar. This case can be done individually or in the epilogue to the companion case, "AB Volvo / Regie Nationale de Usines Renault SA"
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by Robert F. Bruner Source: Darden School of Business 13 pages. Publication Date: March 2, 1995. Prod. #: UV0461-PDF-ENG
