作者：Julia Ivanova 5 年以前
222
Cross-border merger
When companies engage in mergers and acquisitions, they must navigate a complex landscape of potential benefits and pitfalls. Key advantages include the ability to weaken competition, rapidly gain market share, and achieve optimal results quickly.
開啟
Cross-border merger negative impacts of organizational change change of employees' requirements for the level of remuneration the increase in the number of conflict situations between workers and management, within the workforce; reduction of innovation activity of employees, unwillingness to “take” even reasonable risks reducing the loyalty of employees towards the organization tense psychological atmosphere Advantages and disadvantages of mergers Disadvantages of mergers After the end of the transaction there may be problems with the staff of the company that you bought The integration process becomes complicated if companies operate in different areas Big risk with an incorrect assessment of the company advantages of merger Instant purchase of market share Such a strategy weakens competition The ability to quickly achieve the best results The main motives The difference in the market price of the company and the cost of its replacement Diversification of production. Tax reasons. Improved management quality. Getting a synergistic effect. increased market power due to reduced competition (motive of monopoly); financial savings by reducing transaction costs; combining complementary resources; economies of scale Depending on the attitude of the company's management personnel to a merger or acquisition transaction of a company corporations corporate alliances hostile mergers friendly mergers problems in the process of conducting merger transactions reduced manageability and transparency loss of customers associated with the departure of employees the massive dismissal of employees on their own underestimation of the costs of the integration process incorrect assessment of market potential for development; relationships with customers, competitors and suppliers Problems of merger refusal of employees to cooperate in an integrated company lack of strategy underestimation of costs consciously biased assessment lack of proper control cultural barriers inexperience of managers Implications of mergers and acquisitions mistakes made in the process of a merger transaction underestimation of the size of the investment required to complete a merger or acquisition transaction an incorrect assessment by a takeover company of the attractiveness of the market or the competitive position of the absorbed (target) company Motives of transactions the desire to build a monopoly improving the quality of management desire for growth How does an Cross-Border Merger Work? Registration and Strike-Off Court Approval Pre-Merger Acts types of cross-border merger Merger by Formation of a New Company Merger by Absorption of a Wholly-Owned Subsidiary Merger by absorption
