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You are part of a company who has made the strategic decision to acquire another company. There are two possible implementation strategies for this decision:
A. Merge the acquired company into your company. The result of this strategy will be one company containing the elements of both companies. What are the pros and cons of this implementation strategy? How will you know if the strategy is working?
B. Operate the acquired company as a separate business entity. The result of this strategy will be two separate companies under one senior management "umbrella" (the senior management team that is responsible for running both companies). What are the pros and cons of this implementation strategy? How will you know if the strategy is working?
Additional REquirement
This kinds of question is a part of Corporate Strategy and it is about a company which has made strategic decision to acquire another company. Here two parts of the question have been discussed.
The first part is to merge the two companies with the pros and cons of both companies now in just one company and
the second part is to operate the newly acquired company as a separate entity and its pros and cons are discussed in the solution in detail.
Word limit 610
Read information provided and answer questions followed.
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