"The Crawl of Reform at Daewoo"

Business Week, September 4, 2000, p.64.

 

Synopsis:

The closing case in chapter 14 explains the dissolution of the strategic alliance between General Motors (GM) and Daewoo Motor Company in the early 1990s.

 

This article provides an update for the case, with its focus on a sale of Daewoo Motor Company probably to Ford. As a way of restructuring for survival, Daewoo Group may have to sell major assets including its automobile unit to foreign investors. Ford also needs the deal as a way to expand its presence in Asia and Eastern Europe where Daewoo is well entrenched. GM may be the next potential buyer if the talks between Daewoo and Ford break down. This article also explains the potential impacts of the sale on the future of Korean economic reform and on other chaebols including Hyundai.

 

Full-text Article::http://www.businessweek.com/2000/00_36/b3697150.htm

 

 

Case connection:

"Anatomy of a Failed Alliance-General Motors and Daewoo" in Chapter 14 (pp.450-451). .