business

Problem statement

Most companies that aim at succeeding at globalizing their business and brand tend to either acquire or merge with other companies sharing same visions and objectives. It is, however critical not to overlook that when acquiring a company, that it already has an established sales and marketing strategy, customer base and customer relationship management standards as Genaflek Marketing.In this regard it is imperative that the top management in RPZ Marketing develop a strong and proactive team to develop a strong strategic plan that entails strong vision, mission and objectives.

Keywords: Merge, Genaflek marketing, RPZ marketing.

References Located to Support Project Research and Writing.

Business merger has been used by many companies to achieve business globalization and stimulate business growth. According to Chamarty (2012), merging is an indispensable strategic tool for expanding product portfolio’s, entering into new markets, acquiring new technologies and building new generation organization with power and resources to compete on global basis. The companies involved reorganize in order to acquire surplus funds, additional resources, lower financial cost, acquire critical size to face global competition and in order to search for economies of scale and synergies. It is through merging that both marketing and production globalization are achieved.

When well-planned business merger can be a success. Most mergers that happen for a right reason with a well etched strategy, astute management team and with a good cultural compatibility happen to be successful and profitable. Business world has seen quite a lot of successful business merger which include; Vodafone and Mannesmann (2000), America Online and Time Warner (2000) and AT&T and BellSouth in 2006 among others. These companies have thrived over time due to the strategic plan they laid down on day one of the merger. According to Gallagher (2018), a talent strategy based on skills, attributes and future potential aligned with the criteria for success in the key value-driver roles, will impact combination success.

However, not always are mergers beneficial to related parties due to complex traits involving such operations. According to Hodgson (2018), the complex transition in the mergers focus on aligning equity in a business, shifting perception and migrating customers from one segment to another, a process that requires surgical precision, exceptional attention to detail and the full support of an entire business community. Some companies merge only to fail after a short period of operation due to lack of proper planning before merging. According to Gelfand, Gordon, Li, Choi, Prokopowicz (2018) about 70 to 90 percent merger fail to achieve its goals. They fail mainly due to over-reliance in inorganic growth, poorly executed integration, poorly executed due intelligence cultural issues and deficient value capture strategy. Putney, Sinkin (2018) states that many times, mergers that fall short of expectations do so because of cultural conflicts and poor post-closing integration.

Visons and objectives alone cannot lead to a successful merger. Proper post-merger integration plan should be laid down and the effects of cultural conflicts between all involved parties accessed. the plan should influence decision such as with whom you are merging and the deal structure. Operational and financial goals for the combined firm should also be included.

Revised problem statement

Most companies that aim and succeed at globalizing their business and brand tend to either acquire or merge with other companies sharing same visions and objectives. The success of the merger however will depend on the strategies laid down before merging and the ability to cope with cultural conflicts. It is, however, critical not to overlook that when acquiring a company, it has an established sales and marketing strategy, customer base, customer relationship management, disclosure schedules and merger type. In this regard, it is imperative that the top management in RPZ develop a strong and proactive team to develop a strong strategic plain that entails strong vision, mission and objectives.

References

Chamarty, Mahesh(2012). Globalisation And Its Impact On Mergers And Acquisition In India-A Legal Study. Retrieved from http://maheshchamarty.blogspot.com/

Hodgson, Stewart. (2018). Together We Brand : Behind Every Great Meger,There's Great Merger Branding Strategy.Fabrik.Retrieved from http://fabrikbrands.com/company-merger-branding-strategy/

Michele Gelfand, Sarah Gordon, Chengguang Li, Virginia Choi, Piotr Prokopowicz. (2018). One Reason Mergers Fail: The Two Cultures Aren’t Compatible. Harvard Business Review. Retrieved from https://hbr.org/2018/10/one-reason-mergers-fail-the-two-cultures-arent-compatible?autocomplete=true