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Intergroup dynamics between the acquirer and the acquired are determinants of post-merger integration success. Mergers and acquisitions scholars call for the adoption of new reading prisms to gain deeper insights on post-merger integration dynamics as the failure rate of mergers remains high. In mobilizing works from social psychology to examine intergroup dynamics, this study aims to respond to this call by shedding light on the post-merger integration process. Typologies of integration processes do not take into account intergroup dynamics that operate within the new entity, which are influencing the decision-making process. To better understand how firms achieve a successful integration (symbiosis), the authors propose a processual analysis of intergroup dynamics in post-merger integration.

The research approach is a qualitative, longitudinal enquiry, which allows us to examine intergroup dynamics in two real-time merger case studies. The integration processes selected for this research include symbiotic integrations. Both integration processes were analyzed over two years, starting with the merger agreement.

This study sheds additional light on the triggers for achieving symbiosis integration by demonstrating the specific role and contribution of each of the parties (majority and minority) during the process. This study shows that post-merger is a process that follows different steps to reach symbiosis, involving majority/minority dynamics. The symbiosis implies minority innovation by adopting new business and organizational practices, mainly inspired by the standards and values of the minority. The study highlights innovation by the minority as a key element in achieving a symbiotic integration. This element can be understood by managers involved in managing the integration as a turning point in the integration process.

The authors investigated symbiotic integration in specific industries; questions can arise about the extent to which findings are transferable to other mergers and acquisitions contexts.

This study advances the understanding of the dynamics between the majority and minority in adopting a processual and longitudinal analysis. On that point, this study gains insights on the “black box” that represents post-merger integration process.

The effective management of inter-organizational integration is central to complex projects. Such projects pose significant challenges for integration, as organizations struggle with constantly changing inter-organizational interdependencies and must develop and adapt integration mechanisms to meet new demands. The purpose of this paper is to understand what kinds of integration mechanisms are used and how they are developed and adjusted during the infrastructure alliance projects.

This study provides empirical evidence of integration dynamics in project alliancing by analyzing two infrastructure alliance projects – a complex tunnel construction project and a railway renovation project. The research approach is an inductive case study.

This paper identifies integration mechanisms adopted in two case projects and three central triggers that led to changes in the integration mechanisms: project lifecycle phase, unexpected events and project team’s learning during the project.

Integration capability should be a precondition for alliance project organizations and requires the adoption of a wide range of integration mechanisms, as well as an ability to adjust those mechanisms in response to everyday dynamics and emergent situations.

Although unplanned contingencies and the responses to them represent important influences in organizations, there is limited amount of research on the dynamics of integration. The findings will be of value in supporting the management of inter-organizational integration in complex, uncertain and time-critical construction projects.

While there is an increasing understanding of the challenges that can emerge in integration processes of cross-border mergers and acquisitions, there is a scarcity of research on how the different integrative activities should be temporally sequenced. Based on an in-depth analysis of three acquisitions, we find that structural and cultural integration are intertwined. We find that cultural integration will begin only once structural integration is in progress. Cultural differences can, however, impede structural integration if structural integration is done in conflict with the existing culture of the acquired company. Thus, structural integration should come first, but it should be done in appreciation with the acquired company’s existing culture. Cultural change is then facilitated in an iterative manner over time by the new structure. Our chapter contributes to an improved understanding of the temporal dynamics of integration by demonstrating the mutually reinforcing effects of structural and cultural integration in cross-border acquisitions.

Post-merger integration (PMI) is driven by coevolving processes. By integrating the literature on acquisitions with that of knowledge networks, this paper highlights different reconstruction mechanisms for dual knowledge networks during PMI – namely, internal knowledge network coupling and external knowledge network embeddedness. This paper aims to examine their coevolutionary relationships with PMI.

A coevolutionary framework is tested using a latent growth model and cross-lagged models. The analysis is based on longitudinal data collected from 116 Chinese technology-sourcing overseas merger and acquisition firms.

This paper unearths a novel idea that variations in post-merger reconstruction of dual knowledge networks can explain why some acquirers increase the degree of integration faster than the others. The results show that the internal knowledge network coupling leads to more knowledge similarity and, in turn, causes a higher degree of integration. The external knowledge network embeddedness also causes higher relative network status of the acquirer, which consequently leads to a higher degree of integration. Furthermore, results from cross-lagged models confirm that an increase in the degree of integration positively influences subsequent changes in the internal knowledge network coupling and external knowledge network embeddedness, thus forming a coevolutionary relationship over time.

This paper responds to recent calls for more insights into the dynamics of PMI. By highlighting different reconstruction mechanisms for internal and external knowledge networks during PMI, this paper explains why it is important to understand PMI dynamics from a dual knowledge network perspective. This paper is the first to adopt a coevolutionary perspective and provide a more comprehensive dynamic framework between PMI and reconstruction of dual knowledge networks. Besides, this paper contributes to the research on emerging market multinational corporations’ cross-border merger and acquisition integration from a dynamic perspective, revealing the time effects of traditionally favored light-touch integration.

Mergers and acquisitions (M&As) have drawn the attention of researchers for several decades. Many studies have investigated the factors apparently influencing the success of an M&A deal, leading to an extensive, yet extremely fragmented body of knowledge. Although the logical quest for integration has been expressed by several authors, in most cases investigations focus only on details of M&As. The aim of this paper is to offer a different way of synthesis that allows testing well‐established theories of post‐merger integration processes.

With the help of a literature‐based system dynamics (SD) model, the paper opens up a new perspective on the organizational processes occurring during post‐merger integration. Particular emphasis is put on the investigation of capability transfer, the change of corporate culture, and the employees' perception of the integration process.

The model‐based analysis delivers explanations for the contradicting results of many empirical studies, based on the structural integration of a broad body of knowledge and the analysis of simulation runs. The paper suggests that SD models may be used as a means to achieve a more consistent conceptual integration than usual “theoretical frameworks” can provide.

Since the model is primarily based on theoretical ideas, an empirical validation of results seems most critical. Additionally, the linkage to organizational performance measures may need additional modelling effort.

The paper demonstrates the various interrelationships between organizational capabilities, culture, and employee commitment of two merging companies.

The paper is one of the few that strives for an integrated perspective on post‐merger phenomena.

The integration of System Dynamics with LP‐ and Input‐Output models is realized by means of simple examples. Aspects of programming techniques as well as the conceptual meaning of this model‐method integration are discussed. By the combination of the stated methods with System Dynamics models an improved flexibility of the System Dynamics method is obtained. The optimization of a Simulation model is represented by the integration of a System Dynamics model into a higher level feedback loop structure. The optimization algorithm, the Razor Search procedure, modifies the parameters of the control vector in order to generate the optimal behaviour of the state vector of the model in relation to an objective function.

We investigate the competitive consequence of vertical integration on organizational performance using a comprehensive dataset of U.S. motion picture production companies, which includes information on their vertical scope and competitive overlaps. Vertical integration appears to change the dynamics of competition in two ways: (i) it buffers the vertically integrated firms from environmental dependence and (ii) it intensifies competition among non-integrated organizations. In contrast to the existing literature, our results suggest that vertical integration has implications well beyond both the level of the individual transaction and even the internal efficiency of the integrated firm.

Drawing on the trust literature and research on sociocultural integration in mergers and acquisitions (M&As), we develop a model of the antecedents and consequences of trust dynamics in acquisitions. The model proposes that target firm members’ perceptions of the acquiring firm management's trustworthiness are affected by the relationship history of the firms, the interfirm distance, and the integration approach taken by the acquirer. Ability, benevolence, integrity, and value congruence perceptions are proposed to converge into a generalized trust judgment or result in a state of ambivalence, depending on whether the trustworthiness attributions are consistent or conflicting. The model explains the mechanisms by which trust and ambivalence may affect a variety of attitudinal and behavioral outcomes. A number of testable propositions are derived from this model, and the implications for M&A research and practice are discussed.

The theoretical basis for this case is a focus on vertical integration, first-mover advantage and competitive dynamics. Vertical integration is based on Williamson’s (1979) theory of transaction-cost economics as it relates to vertical integration; the discussion on first-mover advantage is built off of Suarez and Lanzolla’s (2005) dynamics of first-mover advantage; and the analyzes on competitive dynamics derives from the MacMillan et al. (1985) early empirical tests of interfirm rivalry dynamics.

The authors conducted extensive research using the following sources: IBISWorld, MergentOnline and academic journals, trade magazines and websites. Additionally, the authors successfully piloted the case on more than 350 undergraduate students enrolled in a business and corporate strategy course.

Peloton used vertical integration to control the creation of its own software, bikes, exercise classes and retail outlets. In doing so, Peloton was one of the first companies in the industry to have near full control of the production process (Gross and Caisman, 2019). Due to this integration, Peloton was one of the fitness equipment industry leaders. However, Peloton’s high level of vertical integration coupled with rapid growth led to lackluster profitability. Given the rise in popularity of in-home exercise equipment, Peloton had room to continue its growth, but the question remained whether it was strategically positioned to do so.

This case is best taught in undergraduate and graduate strategy courses. For undergraduate courses, it could be incorporated into lessons on competitive dynamics, internal analysis and first-mover advantage and strategic positioning. For graduate courses, it could be incorporated into lessons on vertical integration and delving more in-depth into the long-term sustainability of having a first-mover advantage.

This paper aims to explore the antecedents and performance outcomes of supply chain integration in the agri-food industry in Latin America, a context that the literature on supply chain management has not extensively addressed. The quinoa supply chain, an industry that has encountered a boost in market demand in the past year, is selected as the unit of analysis. Supply chain integration dynamics are analyzed to provide recommendations about integration strategies and benefits in the agricultural sector.

A conceptual model was designed in this study, which includes the drivers (i.e. trust and commitment) and outcomes (i.e. operational and economic performance) of supply chain integration. The relationships were verified through a unique survey, the data of which were collected from 79 respondents operating at different levels of the Peruvian quinoa supply chain (i.e. suppliers, producers and customers). The proposed hypotheses were tested through the partial least squares (PLS) regression.

The results underscore the relevance of trust and commitment as enablers of supply chain integration initiatives in the agri-food industry. These factors are particularly essential for involving the farmers who are the most upstream actors in the supply chain and characterized by unstructured organizations. A high level of integration in these types of supply chain enhances the capacity to improve operational performance, which in turns positively affects the main economic indicators.

This study contributes to the discussion of supply chain integration in the agri-food industry, which remains unexplored thus far. It relies on a multitier collection of responses, which is extended to all the levels of the quinoa supply chain, thereby providing the study with a unique depth of analysis. Furthermore, this work contributes to the ongoing discourse on the performance impact of supply chain integration, which several SCM scholars have recently questioned.