Specifics of Human Resource Management Strategies Aimed at Overcoming the Barriers in Cross-border Acquisitions of MNCs: the Case of Multinational's Subsidiaries in Russia

This master thesis is providing the scientific and theoretical analysis regarding to which the dynamic of modern HRM practices` changes and transferring in M&A process is identified; cultural study of both the acquirer and the acquired companies as one of the valuable variables in integration effectiveness and the case study about multinational subsidiaries in Russia are presented. The aim of the work is to identify the successful strategies of HRM by which it is possible to overcome the barriers in cross-border acquisitions of MNCs. The analysis focuses on barriers of multinational`s subsidiaries in Russia that affect human resource management. Tasks: 1. analyze the motivation of cross-border transactions; 2. study the adaptation of foreign firms to activities in the host country, personnel policy and corporate ethics; 3. determine challenges in HRM during cross-border acquisition and strategy within and post-acquisition integration; 4. identify the successful determinants in managing personnel within the framework of foreign subsidiaries of MNCs created by acquisitions; 5. analyze the motivation of foreign MNCs in acquiring Russian companies; 6. identify attendant issues, level of employees’ satisfaction or disappointment and consequences for multinational subsidiaries in Russia at acquisition process. The case study includes analysis of two acquisitions: French company Renault and Russian Rostec within Alliance Rostec Auto B.V acquired 100% of Russian AvtoVAZ in 2018; Indian MNC, Sun Pharma, acquired 96.96 % of PJSC Biosintez in 2019. In conclusion of the paper the suggestions were made which determine the winning strategies of HRM in cross-border acquisitions in terms of subsidiaries. The proposals reflect the cases analyzed in the paper and can reduce sources of barriers to interaction between headquarters and its subsidiaries in cross-border acquisitions.