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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.

EU social policy is perhaps the most controversial aspect of European integration yet, despite all the political clashes on the matter, concepts like “social Europe” or “social dimension” remain ill‐defined and imprecise terms. Intends to outline and clarify in detail the debate about whether or not the European Union should have competence with regard to labour market affairs. A key message is that social policy has been controversial because it has become embroiled in the debate about the future political direction of the EU. In particular, three contrasting political models –symbiotic integration, integrative federalism and neo‐liberalism – have been put forward as organizing principles for the EU and each has a coherent view of what form social policy should take at the European level. It is the clash between these three models that has caused EU social policy to be so contestable and intractable.

This paper aims to examine post-merger integration (PMI) through the lens of paradox to determine how paradoxes contribute to successful integration. Although PMI has been identified as crucial to understand merger success or failure, the literature on PMI drivers remains inconclusive.

Drawing on the theory of paradox and two key elements of PMI, strategic interdependency (SI) and organizational autonomy (OA), the authors describe the merger of two listed French companies using longitudinal data.

The authors identify how the paradox between OA and SI was triggered and fostered PMI success by leading to symbiotic integration. They also show that two capabilities were central in helping the paradox to evolve: preserving the specificities of the organizations and pooling their respective capabilities. These capabilities result from basic decisions and actions during the integration implementation, such as highlighting the expertise of the target firm, refocusing the core activity while valorizing each company’s expertise, clarifying the identity of the new organization on the market and enhancing joint piloting and transferring both general management capacity and functional abilities during the reorganization period.

The authors offer several useful insights for managers trying to manage paradoxical tension throughout the merger process. This study encourages managers to embrace inconsistencies as they make decisions and to shift to dynamic decision-making as a way to adapt to complex contexts.

This study adopts a global and inclusive approach to focus on OA and SI and flesh out a picture of the integration process. It proposes a dynamic process model to conceptualize the stage-wise nature of the PMI process by highlighting the interrelations between OA and SI dynamics.

In this paper, we analyze the heterogeneity of acquisition integration processes. Starting with the integration types laid down by Haspeslagh and Jemison (1991), we describe integration processes in terms of their integration level and their integration style. We analyze the postacquisition consequences of integration choice in terms of organizational management analysis, employee turnover, and communication and socialization problems. In a sample of 74 Spanish acquisitions, we demonstrate that management choices about integration level and integration style explain the more relevant consequences of the integration process. They have different consequences in terms of organizational management analysis, employee retention, and communication and socialization.

Despite the recent slow down in overall activity, acquisitions continue to be a popular growth strategy used by firms competing in a globally competitive marketplace (Duck, Sirower & Dumas, 2002). At the same time, acquisitions are more of a complex phenomenon than ever in that the conditions under which they enhance or destroy firm value still remain unclear despite the wealth of acquisition studies in finance and management. In fact, recent studies by several major consulting and advisory services firms provide evidence that at a minimum one-third to one-half of these deals fail to achieve anticipated benefits, cost savings and other outcomes (KPMG, 1999; Mergerstat, 2000; PricewaterhouseCoopers, 2000). Even more alarming, the latest reports released by Booz Allen and Hamilton (2001) and BusinessWeek (Henry, 2002) indicate that this “failure” to deliver announced benefits and improvements in shareholder wealth increases to over 60% when examining large M&As which typically bring together two firms that not only compete in similar product or market domains but also have comparable size positions. Thus, the question lingers…What distinguishes those acquisitions that are successful in meeting intended goals and performance improvements from those that are not successful?

When talking about mergers and acquisitions (M&As), few announcements clearly define if the operation will deal with a merger (where firms have an equal-to-equal relation) or acquisition (when one firm is in control of the operation and decides the integration process). Operations are commonly labeled M&A. Nevertheless, mergers remain rare, and the authors see that most of the time, operations designed and integrated with firms as equals end in the control of one of the entities over the other.

The authors investigate how two CEOs and their managers communicate during the due diligence period of a merger. The author describes the project merger of two French companies using longitudinal data.

This in-depth case study provides new insights into the due diligence period and the differences between M&As. The findings highlight how the decision to add an associate from a rival firm to the board ended the merger project as the situation evolved toward an acquisition in CEOs’ minds.

The limitations are those concerning a single case study.

The paper highlights the complexity of merger negotiations and the unexpected events faced by stakeholders. The analysis, thus, contributes to an inclusive and integrative view of the challenges in the due diligence process, whereas first defining the operation as a merger or an acquisition is a first step in identifying the degree to which autonomy and interdependence will be given across firms, and how some strategic decisions will be implemented. This case study highlights two specific items that can be understood by managers as key elements in deal success: defining operations as a merger or an acquisition help internal and external stakeholders in planning the operation; leaving space for adjustment among partners engaged in negotiations during the due diligence period is also useful.

Despite their frequency, merger and acquisition failures remain surprisingly high. This paper explores how stakeholders deal with merger negotiations.

The case provides insights into the due diligence period and the way minor events can impact the planned integration. Theoretical concepts and empirical findings from the literature are combined to present a single consistent picture. To the best of the authors’ knowledge, few studies address insights on strategic decisions made as the negotiation period remains a secret and sensitive stage, especially for a failed deal, but we were able to delve beneath the surface.

This study investigates the synergetic impact of joint marketing collaboration between a bank and an affinity organisation on their affinity credit card holders' behaviours. Seeks to identify the sources of the influence of the alliance partners which induce changes in the attitude and behaviour of cardholders.

A theoretical model was developed to reveal the impact of perceived card benefits, affective customer loyalty toward the bank, affective customer loyalty toward the affinity organisation, and perceived prestige of affinity organisation, on the card usage behaviours of customers. Survey data were obtained from 162 students who were holders of a university affinity credit card in Hong Kong.

Findings indicated two routes of influence that affect the intention and behaviours of affinity credit cardholders. The two routes were complementary rather than competitive in a symbiotic collaboration. The first is a cognitive route. It shows that a cardholder's attitude formation is strongly influenced by the cognitive evaluation of card benefits instead of by affective loyalty toward the bank or toward the affinity organisation. The second route is an emotional route of influence. It originates from the perceived prestige of the affinity organisation to cardholders' intention and usage behaviours.

The impact of the symbiotic collaboration on customer behaviours is an important question which has yet to be answered in the literature of strategic alliances. To the best of one's knowledge, this is a pioneering empirical study addressing this research issue.

When organizations with disparate cultures are merged, the culture of the acquired organization often represents a counterculture for the acquiring firm. Scholars and consultants frequently recommend avoiding integration of an acquired company if it has a sharply different culture. This paper presents a case study of a recent hostile takeover that disproves the conventional wisdom and shows that careful implementation processes enable the company, not only to overcome post‐merger integration barriers due to culture clash, but also to maximize strategic benefits from those cultural differences. It shows that integration can be achieved through a process in which only some specific cultural dimensions are integrated while others are preserved.

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.

In today's digitalized world, platform leadership is a novel leadership style that facilitates employee innovation. However, the impact mechanism of platform leadership on employee innovation passion has not been explored.

In this study, based on the theory of a self-organizing objective system, 591 new-generation employees were surveyed to explore the impact of platform leadership on the harmonious innovation passion of new-generation employees.

The results showed that platform leadership stimulates the harmonious innovation passion of employees by promoting the integration of organizational and employee objectives. This mechanism was found to be weakened by the internal integrated organizational culture and strengthened by the external adaptive organizational culture.

This study explores the mechanism by which platform leadership style influences the harmonious innovation passion of new-generation employees and provides theoretical guidance and practical insight into ways to improve the innovation capability of new-generation employees.