Mariappan point of time which is being violated

Mariappan V.
conducted a research on mergers and acquisitions and saw the impact on human
issues and strategies. In this paper I learned that most of the failures in
mergers and acquisitions are caused due to the difference in cultural
background, human resource in different organisations. Cultural differences
bring an attitude of change from ‘we to they’ as there is a feeling
of  distrust ,misunderstanding, poor
coordination and employees also have a risk of transfers , job loss , or
relocation. Four types of ambiguities are formed in case of merger that is environmental,
structural, cultural and roles. Mergers also create stress and negative
attitude in employees and challenge their commitment towards organisation. In
case of acquisitions the attitude of acquiring company towards acquired company
is not like a big brother rather more like a bossy attitude. This
reduces their corporation towards organisation. This can be solved by
understanding each other cultures prior to mergers and acquisitions

 

Werhane P.
H. conducted a research on mergers and acquisitions and saw two ethical issues
happening in it. In this paper I learned that in mergers and acquisitions
employees and shareholders are affected the most. Employees are the last one to
know about this and costs their job to them. In contrary it is argued
that mergers and acquisitions often protect jobs by combining two organisations
and increasing capital growth. Employees have right to information and
right to freedom which gives them entitlement to leave any organisation at any
point of time which is being violated in mergers and acquisitions. Talking about
shareholders they have a right to do whatever they want with their shares but not
at a cost of harming others. Shareholders are an important part of the
company as the own the company they have a right to maximize their gains at any
point of time. If shareholders have fiduciary rights and can exercise
freely and also know about the organisation then employees can also have rights
to freely decide about their jobs

 

Arnal W. E.
conducted a research on mergers and acquisitions and combined it with the Q theory.
In this paper I learned that increase or decrease in stock price can
also help in merger and acquisitions. In this Tobbin’s Q theory is used for
merger and acquisitions for new investment expenditure (companies). This
states that in decreasing of stock price it will be beneficial
for acquiring a company. There is no use creating a new company when u can
acquire one at cheaper cost. The Q theory states that when Q is less
than one then it is beneficial to acquire as Q goes inversely
with stock market

 

 Balog J. conducted a research on why markets
reacts the way it does to mergers and acquisitions. In this paper I learned
that impact of stock prices is greater in reaction to mergers and acquisitions.
Profit earning ratio have both quantitatives and qualitative factors . If also
by two elements rate of change of earning per share and profitability of a
given rate of change occurring. The wallstreet react directly as mergers and
acquisition go if they show positive result then increase otherwise decrease

Cartwright, S., & Cooper, C. L. conducted a
research on people working in mergers and acquisitions. In this research paper I have learned
that In spite of the consideration mergers and acquisitions have gotten from
monetary and advertising strategists, the merger disappointment rate stays as
high as ever. In light of the present flood of merger movement, it would appear
a proper time to think about elective clarifications of merger disappointment,
and evaluate the commitment which brain research can make to our comprehension
of mergers and acquisitions in tending to the embodiment of the action; the
constructive blend of individuals and the combination of hierarchical
societies. In short I want to say mergers and acquisitions affects employees
the most.

BACK TO TOP