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Two Firms Recently Had a Bolt-On Acquisition

Question 31

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Two firms recently had a bolt-on acquisition. Martha, the managing director of one of these firms, claims that an integration team is required to decide which tactical elements and operational functions of the two firms should be strategically integrated and implemented. She believes having this team will enable fair decisions to be made, thus inculcating a friendly atmosphere in the new firm. Which of the following statements strengthens Martha's claim?


A) Having the team may consume the company's time and effort, but in the long run, it may help the company grow.
B) The team members of the two firms may be biased toward their own firms, preventing fair implementation.
C) The team always makes sound decisions that are based on the integration templates that managers in the acquiring firm choose.
D) The team helps in deciding which culture will be incorporated in the new entity.

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