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"Institutions and Organizational Socialization: Integrating Employees in Cross-Border Mergers and Acquisitions"
Ruth V. Aguilera, John C. Dencker, and Zeynep Y. Yalabik
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First Author :
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Second Author :
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Third Author :
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| Abstract : |
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There is a consensus within the Merger and Acquisition (M&A) literature that acquisitions fail during the integration phase, in large part due to neglect of social factors such as differences in rules, norms, and values across organizations. Thus, a crucial part of successful integration is whether firms can socialize employees effectively into the newly merged entity so that they learn accepted ways of behaving in that organization. This effect is exacerbated for cross-border M&As. Yet, there is little theory and practical advice on how to successfully manage post-M&A integration. We draw on institutional and socialization theories to develop a framework that identifies the most salient institutions involved in the socialization of employees during the post-acquisition integration process and apply this model to the international dimension. We conclude by presenting managerial implications of our model and suggestions for future research.
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| Footnotes & Acknowledgements : |
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| Forthcoming in David A. Griffith, S. Tamer Cavusgil, G. Tomas M. Hult and Arie Y. Lewin (Eds.) Emerging Research Frontiers in International Business Studies, Volume 2 * We thank the Center of Human Resource Management and Center for International Business and Research at the University of Illinois for financial support for our project. Comments from Silvia Dorado, Matthew Kraatz, Michael Pratt, and participants at the 2004 Academy of Management Annual Meetings and the 2004 M&A conference at IESE conference are greatly appreciated. |
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| Manuscript Received :
2006
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| Manuscript Published :
May 2006
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