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Managing Resilience to Change in Merger and Acquisitions

Author

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  • Cristian Dîrvă
  • Anda Simona Rădulescu

Abstract

According to numerous studies in the field, the main cause of failure of international mergers and acquisitions is the difficulty of implementing changes requiring the realization of the expected synergies by integrating the acquired company in the case of acquisitions or the two companies merging into the new entity created. Most often, the impediment to successfully completing a merger or an acquisition is employee reluctance to change. Through this study, I propose to analyse the underlying causes of this reaction and potential ways to avoid and/or to overcome it.

Suggested Citation

  • Cristian Dîrvă & Anda Simona Rădulescu, 2018. "Managing Resilience to Change in Merger and Acquisitions," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 21(68), pages 145-160, June.
    • Handle: RePEc:rej:journl:v:21:y:2018:i:68:p:145-160
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    References listed on IDEAS

    as
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    3. Mary Yoko Brannen & Mark F Peterson, 2009. "Merging without alienating: interventions promoting cross-cultural organizational integration and their limitations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(3), pages 468-489, April.
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    More about this item

    Keywords

    Mergers and acquisitions; resilience to change; behaviour; emotions; conflict;
    All these keywords.

    JEL classification:

    • F39 - International Economics - - International Finance - - - Other
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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