--%>

Pitfalls when two companies merge

Other than pricing, some pitfalls that consumers might have to deal with when two major companies merge.

E

Expert

Verified

The way the companies treat customers sometimes have cause for consumers to feel the merger was not such a good idea. The customer satisfaction rating after a merger can go way down, with the merging of two companies software changes have to take place, employee’s going into new training and general knowledge of the new company can cause the consumers to take the brunt of the merge.

The customers often walk away from a merger of a company feeling very dissatisfied and when that happens it take years for the company to regain the trust again. Another area of mergers that customers have to take the brunt of the merge is when they take place the new company ends up closing some stores or offices. Which can mean the customers now has to go to another location or may not have the product available to them at all anymore. This is very discouraging for the consumer.

   Related Questions in Finance Basics

  • Q : Charted bank loan policy Normal 0 false

    Normal 0 false false

  • Q : Label equilibrium price P-equilibrium

    Normal 0 false false

  • Q : What is a fund Fund: A lawful budgeting

    Fund: A lawful budgeting and accounting entity which offers for the segregation of moneys or other resources in the State Treasury for obligations in accordance with particular restrictions or limitations. A separate set of accounts should be maintain

  • Q : Why banks make short-term or

    Banks desire to make short-term, self-liquidating loans to businesses. Why? Banks desire to be able to illustrate where the funds are likely to come from such that the borrower is capable to employ to make the req

  • Q : Financing costs in capital budgeting

    How are financing costs incorporated generally into the capital budgeting analysis procedure? Usually financing costs are captured in the discount or hurdle rate while doing NPV or IRR analysis. Usually the operating cash flows do not comprise

  • Q : Selection of board of directors of

    How are the members of the board of directors of corporation selected and to whom do these board members owe their prime allegiance? Members of corporation's board of directors are chosen by the common stockholders and owe their allegiance to th

  • Q : Decision rule using net present value

    Describe the decision rule for accepting or rejecting proposed projects while using net present value? While using the net present value decision rule any project along with a net present value greater than or equal to zero would be acceptable.

  • Q : Measuring net output GDP in a specific

    Why do national income accountants comprise only final goods in measuring net output GDP in a specific year? Why don't they comprise the value of stocks and bonds bought & sold? Why don't they comprise the value of utilized furniture bought and so

  • Q : What is the cost of equity Intermediate

    Intermediate Finance   Always leave 4 decimals in the ($) numbers in your calculations (e.g. PMT = $10.8924) and, particularly, 6 decimals for interest rates (e.g. r = 0.078643 or 7.8643%). QUESTION 1:?Conlins Manufactu

  • Q : Why accounting profits and cash flows

    Normal 0 false false