When one company merges with another, what control issues might manage

QUESTION

When one company merges with another, what control issues might managers have to consider?

A) choosing new company logos, mottos, taglines
B) closing company cafeterias and fitness centers
C) merging product lines, customer bases, and company cultures
D) moving personnel between two or more locations
E) revising the new company’s mission statement and vision

ANSWER

Answer: C
Explanation: C) A merger between two similar (even competing) companies requires that management look at such things as the complexities of overlapping product lines and customer bases, and what distinguishes them. Employees, especially those who have been with one company for a long time, might have a difficult time accepting a culture change. While the other answer choices point out decisions and actions that must happen, they are not specifically control issues.