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Mergers

Mergers are now commonplace in the corporate world as organizations seek to enhance their competitiveness and effectiveness in an increasingly complex and globalized corporate environment. A merger takes place when two previously separate organizations combine to form a single organizational entity. Over the past two decades in particular, numerous mergers have occurred. In both media reports and scientific papers, negative employee reactions to mergers are frequently reported. Moreover, although they are typically justified in terms of sound business assumptions, it is not unusual for mergers to be less successful than anticipated in business terms. Indeed, they may ultimately be dissolved. Hence, it is now widely accepted that mergers may be less successful than expected and that they may in fact fail because of the “us-versus-them” ...

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