You are here:

International Business/Mergers and Acquisitions.

Advertisement


Question
Dear John

http://en.wikipedia.org/wiki/Mergers_and_acquisitions

Examples :

1. Company A has been acquired by Company B.
2. Company A has been merged with Company B.

From the Employees perspective who are working in Company A, which among the two i.e. Acquisition OR Merger could be more risk prone from Job security point of view ?.

Awaiting your reply,

Thanks & Regards,
Prashant S Akerkar

Answer
Dear Prashant

Normally mergers result in lower staff and downsizing processes. This is one of the main reasons companies merge, to save costs.
When a company takes over the control of another company this does not mean necessarily that there will be lay offs.

International Business

All Answers


Answers by Expert:


Ask Experts

Volunteer


John Laurino

Expertise

I have 15 years background on international businesses, started my own company in 1994 in Sao Paulo, Brazil. Presently my company has ongoing projects in North America, Europe and Australia. I may be assistant to people with questions related to international business projects, import-export, private equity ventures and start ups.

Experience

I have 15 years background in international businesses, started my own company in 1994 in Sao Paulo, Brazil. Presently my company has ongoing projects in North America, Europe and Australia, with more than $ 26 million sales.

Organizations
I am the CEO of UNIT BRAZIL (www.laurino-lopez.com.br)

Education/Credentials
Bacharelor in Economics by FEA-USP and MBA in Corporate Finance and Accounting by Fipecafi-USP.

©2016 About.com. All rights reserved.