Mergers & Acquisitions |
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Mergers and Acquisitions Mergers and Acquisitions (M&A) are undeniably an integral part of the 21st century economy. In the trend toward globalisation and homogenisation, M&A plays a major role. Among several, there are two predominant reasons that companies engage in M&A:
Unfortunately, many M&A deals fail to produce either of these two outcomes. Some estimates show that as many as two-thirds fail to produce the hoped for result. The reasons for this are probably many, but one thing we’ve seen is that merging companies tend to focus their energies internally and seem to forget altogether about their customers. This is especially true, we’ve noticed, in merging sales forces. Cost cutting measures send chills through salespeople, who begin to worry more about remaining employed than about creating value for customers. Cultures clash, morale suffers and productivity declines. How Huthwaite Can Help Through thirty years of working with customers engaged in M&A, we have discovered a few basic rules for developing synergy among merging sales forces, including:
There is no reason that M&A can’t be successful as a business strategy, but it requires that you remember why you’re in business in the first place: the customer. |

