Major Issues of Demerger - Essay Example

On the other hand, the only significant disadvantage in the emerging procedures of Daimler-Chrysler was the internal adjustments that both companies had to endure particularly in budgeting their endeavors and initiatives. But all in all, the demerging of Daimler-Chrysler had a positive impact on the succeeding profits of both companies despite the fact the demerger mandated both companies to regain their company designations.

As the American automobile industry became aware of the effects of the demerger of Daimler-Chrysler to their present system, other American automobile companies had been able to utilize this knowledge to get and maintain a control mechanism to enable them to become top organizations in the world market. In this way, the utilization of demergers and modernization had supported the US automobile industry to become competitive in the world market.

The demerger of Daimler-Chrysler enabled the fundamental enhancement in the economic progress of the American economy and significantly improved financial gains in the aftermath of transferring income and taxes to the American authorities.

The demerger of Daimler-Chrysler will have long-lasting impacts on the American economy. The possession of international technologies for the American economy and its automobile industry will be particularly important when they are connected to adding fresh innovations for the American economy.

With the quick developments in the US automobile industry, the management of various US automobile companies must be able to understand and implement the new management procedures. The normal management processes that can be utilized by the US automobile companies to manage their competitive benefits in the US economy are total quality management and information control. Total Quality Management is an organized mechanism for meeting inner and outer consumers and suppliers by merging the business setting, consistent development, and innovations with change, enhancement, and control cycles while altering company culture. Also, TQM is a series of management procedures throughout the company, established to guarantee that US automobile companies regularly attains the needs of their consumers (Carey, 5).