Lajolla inc,
Strategy to go into partnership with Actel
Overview
Lajolla Software Incorporation specialized enterprise software, customized application development in South Korea and then have grown from $8million to a $150 million for five years. Moreover, we decided to go into partnership with Actel Corporation of the United States.
So, Actel’s executives, bankers, and shareholders will bring proposals on the deal but most of them don’t have a idea about Korea, so we have to plan to reduce their fears from joint with us throughout programs. However, during talking about entering into partnership between two incorporations, it makes some problems related on cultural gap and intercultural communication.
Executive Summary * Purpose
This report provides factors why our company developed dramatically in Korea technology industry to raise mutual trust with Actel. It also tells about strengths throughout integration workforce with Lajolla. Additionally, Comparing two cultural differences in work, we will negotiate how to organize our process and basic elements of work place behaviors- attitude to deadlines, perception of reward schemes and so on. * Methods
According to methods of analysis, it is included what kinds of strengths Korea technology industry have, compared to the United States and other Asian countries such as Japan and China. Showing different aspects advantages compared to competitive by qualities. In addition, it showed rate of return forecasts from integration showed by analysis current value of both corporations and future value in NASDAQ and KOSDAQ and all ratios industry growth averages. All calculation formula will be founded in the appendices.
Analyzing Edward Hall and Edward Stewart’s theories explained about different aspects between ‘ Western and Asia culture.’ In particular, results of comparison indicates each culture have factors for a successful business.

* Results & Conclusion
In the Korea technology industry, the fact that the world technology trend reports that it said about our products’ qualities and strength. We got also the high ranking in the high technology evaluation. The result of high return ratio in our incorporation proves that going into partnership will be good to both of corporations.
The major problems included intercultural communication and cultural gap in work. we realized differences from researching Western and Asia culture by theories. Especially, Edward T, Hall explained high-context culture (including Korea) and low-context culture (including USA). It can make business confusion from miscommunication with different way of thinking and expression, and also these factors are closely related on business because it showed attitude to deadline, team work and so on.

* Recommendations
Our implementation part will be carried out in three parts: first is a creating a new ‘third culture’ for employee and executives of both corporations. The meaning of third culture involved good factors from each culture to be successful corporations. Hence, second is a internal communication programs (or workshop) to have awareness between different cultures. The last one is one-to-one peers (both from different corporations, but similar position) projects to gain teamwork through different perspectives and then if they succeed in their job, corporation give incentives to them. All of these plans will be coasted $1 million.

* Other supportive information
Mergers and acquisitions have accompanied many difficult problems; intercultural communication matters. Jeffrey Immelt, who has held global leadership position in enterprise General Electronic, said, “ if there is no acknowledge other cultures, M&A won’t be success.” Moreover, In the Korean Economic Newspaer, it said “failure to overcome cultural gap is the biggest part in failure of M&A.
In our case, we have to focus on finding solution to blend different cultures.

If you need more detail of this document, you can ask to me original report. I hope all of researches will be helpful to go into good partnership both of corporation. If something you want to need explanation, Please don’t hesitate to contact to me.