Title: Effects of culture on outcome of mergers and acquisitions - Sun and Oracle case study

Authors: Virender Singh; G.C. Maheshwari; Rajan Yadav

Addresses: Delhi School of Management, Delhi Technological University, New Delhi-110042, India ' Delhi School of Management, Delhi Technological University, New Delhi-110042, India ' Delhi School of Management, Delhi Technological University, New Delhi-110042, India

Abstract: This study investigates the obstacles faced by companies in their post-acquisition integration processes by examining the case of Sun Microsystems' acquisition by Oracle. We study the hindrances created by organisational cultural differences, diversity of strategic and management decisions, and structural competencies of both the firms and how all these factors decide the fate of an M&A. This study lays particular emphasis on the cultural and human aspects of M&As, reviews how companies like Oracle can resolve the complexities associated with M&A post-acquisition acculturation processes to maximise desired synergies from acquisitions. The results suggest that transparent two-way communication and effective management in the aftermath of the merger, among other factors, are instrumental to the success of an M&A.

Keywords: merger and acquisition; takeover; culture; PMI and turnover.

DOI: 10.1504/IJCULTM.2022.126914

International Journal of Cultural Management, 2022 Vol.1 No.2, pp.114 - 145

Received: 28 Sep 2020
Accepted: 12 Jun 2021
Published online: 12 Nov 2022 *

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