After the DaimlerChrysler merger,many senior managers left Chrysler because they disliked the dominance in decision making by Daimler's German managers.This illustrates how acquisitions may fail because:
A)of inadequate post-acquisition screening.
B)attempts to realize synergies by integrating the operations take much longer than forecast.
C)there is a clash between the cultures of the two firms.
D)the acquiring firms overpay for the assets of the acquired firm.

Question

Quizplus · Accepted Answer

Many acquisitions fail because there is a clash between the cultures of the acquiring and acquired firm.After an acquisition,many acquired companies experience high management turnover,possibly because their employees do not like the acquiring company's way of doing things.

After the DaimlerChrysler Merger,many Senior Managers Left Chrysler Because They