BMW case study - Motives

Q2. Choose an acquisition/merger which has featured prominently in the business press. a) Critically assess the motives behind the making of the deal. You should consider the different levels of analysis and specifically address the question of how the deal contributed to the creating and/or sustaining of competitive advantage. Question A "To be the most successful premium manufacturer in the industry." BMW's mission statement states. BMW has two key objectives for its lifestyle …

…which proved to be difficult. BMW failed to integrate and take full executive control over Rover within the first four years. They failed to align their strategies with the cheaper cars and align each others cultural management style as a result of poor corporate communications. There have been outside unstoppable factors such as the strong pound and the over capacity of the automobile market, but this is something careful planning would of predicted and avoided.