Shanghai Automotive and Ssangyong Motor: A Tale of Two Dragons (A)

Steven White (First Author), Leiping Xu (Participant Author)

Research output: Other contributionCase Studies


Shanghai Automotive (SAIC), one of China's "Big Three" automakers, paid USD 571 million in 2004 to acquire a controlling majority share in Ssangyong Motors of South Korea to help SAIC achieve its strategic objectives of developing its own passenger car brand and expanding operations internationally. This first case in a three-case series covers the decision making leading up to the deal signed in October 2004 and implemented in January 2005. It provides a basis for comparing modes of growth options (make, buy, or ally) and the specific challenges facing Chinese firms and other newly-internationalizing firms as they go abroad. The case also generates discussion of fundamental acquisition issues: target selection, assessment, and integration planning.
Original languageEnglish
Number of pages20
Publication statusPublished - 1 Jan 2005

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Published by

China Europe International Business School


  • Automobile Industry
  • Integration
  • Merger and Acquisition (M&A)
  • SAIC Motor
  • Ssangyong
  • Strategy

Case studies discipline

  • General Management
  • Strategy

Case studies industry

  • Manufacturing


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