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In 2005, telecommunications company Sprint acquired its rival Nextel. Just 3 years later, Sprint wrote off 80% of Nextel’s value, and in 2012, Sprint announced it would divest Nextel. Right after the merger was announced, the head of Nextel gave a pep rally–style speech to his managers, shouting, ‘Let’s stick it to Verizon!’ He was followed on stage by the head of Sprint, who wore a suit and gave a staid PowerPoint presentation. What lesson should we take away from this? Check all that apply.(A) The speeches at the meeting were artifacts indicating that the two companies' cultures were very different.(B) A key reason this merger and other mergers do not work is that the cultures of the companies are too different.(C) The leaders of these companies accurately gauged how challenging merging the two organizations' cultures would be.(D) Imposing Sprint's formal, bureaucratic culture on the Informal, entrepreneurial Nextel subtracted value from the acquisition.

Respuesta :

TomShelby

Answer:

(A) The speeches at the meeting were artifacts indicating that the two companies' cultures were very different.

(B) A key reason this merger and other mergers do not work is that the cultures of the companies are too different

(D) Imposing Sprint's formal, bureaucratic culture on the Informal, entrepreneurial Nextel subtracted value from the acquisition.

Explanation:

(A) While the first ,went into motion and appel to his pride and confidence the latter,  went for numbers and prepare a lecture. This certainly confuse the managers about the way to go.

(B) Doing a merge with another company is more than adding assets together. A if not handle propertly, the company's unique "modus operandi" will collide

(D) as state on (A) and (B) different cultures ends with the company having none. To much deviation among division.

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(C) The leaders of these companies accurately gauged how challenging merging the two organizations' cultures would be

They didin't and probably realized soon after the different approach in how to handle the presentation.

azikennamdi

Based on the information provided, the key takeaways are:

  • The two companies had two different cultures
  • Many mergers and acquisitions fail because of cultural incompatibility. The correct answers thus are: A and B.

What is Organizational Culture?

This simply refers to the way an organization is used to achieving its results. While some companies favor a bureaucratic style, others prefer laisse fair methods.

Organizational culture usually flows from the leadership of the organization and may change over time with their decisions.


More importantly, mergers and acquisitions must take organizational culture compatibility seriously before anything else.

See the link below for more about Organizational Culture:
https://brainly.com/question/16049983

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