Concepedia

TLDR

The study examines post‑acquisition integration in three foreign acquisitions by Swedish multinationals. The study finds that effective integration occurs through a two‑phase process: an initial phase of limited task integration and smooth human integration that fosters cultural convergence, followed by a second phase of renewed task integration that builds on this foundation to create stronger interdependencies between units.

Abstract

The paper reports a study of the post‐acquisition integration process in three foreign acquisitions made by Swedish multinationals. Detailed interview data and questionnaire responses in both acquiring and acquired firms are presented. The sub‐processes of task integration and human integration are separated out and it is shown that effective integration in these cases was achieved through a two‐phase process. In phase one, task integration led to a satisficing solution that limited the interaction between acquired and acquiring units, while human integration proceeded smoothly and led to cultural convergence and mutual respect. In phase two, there was renewed task integration built on the success of the human integration that had been achieved, which led to much greater interdependencies between acquired and acquiring units.