Disadvantages of mergers and takeovers

shainu
Mind Map by , created over 6 years ago

Mind Map on Disadvantages of mergers and takeovers, created by shainu on 05/10/2013.

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shainu
Created by shainu over 6 years ago
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Disadvantages of mergers and takeovers
1 less than half of all takeovers and mergers are successful
1.1 its hard to make 2 businesses work as one
1.2 Management styles differ between firms
1.2.1 one firm may be used one company's culture
1.2.2 may not be motivated by the style used in the other company
2 They create bad feeling
2.1 the firm may agree it be taken over
2.2 sometimes the takeover bid is hostile and unpopular
3 They often lead to cost-cutting.
3.1 May make a lot of people redundant
3.1.1 leads to tension
3.1.2 leads to uncertainty among workers

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