Professional Documents
Culture Documents
POSTMERGER INTEGRATION
Legal &
Accounting
Integration
of
Procedures
Product Line
Integration
Integration of
Production
Technologies
Integration
of Physical
Assets
Sociocultura
l Integration
Functional
SBU Integration
Personnel
Transfer &
Organizational
Structure
Gaining
Commitment
Establishing
New Strategic
Leadership
Acquisit Small
singleion
Motives unit firm
Increase
market share
Reduce
competition
Rapid growth
Physical
Integratio
n
Integrate
only the
relevant
division
Integrate Emphasize
Procedura procedural
l Aspects &
sociocultur
al
integration
Integrate
physical
assets &
Postmerger Activities
Restrict
integration
to monitor
Do not
integrate
beyond
RESOURCES
SYNERGIES
If
Consider this
Strategy.
If
Consider this
Strategy.
If
You want
sequential
synergies(one
company
completes tasks
and passes the
results to a
partner to do its
part)
Acquisition
Non Equity
alliance
The new
Non equity or
entity will face equity alliance
high market
uncertainty
( e.g. youre
unsure
whether
consumers or
regulators wil
embrace or
support it)
Acquisition
You want
reciprocal
synergies( both
firms execute
tasks through
Acquisition
You ll have
rivals for
potential
partners
Consider this
Strategy.
Acquisition