1. Internal Change

2. Overall objectives What causes internal change? Why do these issues come about? How do businesses grow?

3. Read the article about mergers and acquisitionarticle about mergers and acquisition Identify as many issues as you can that may influence the successful outcome or otherwise of mergers and acquisitions

4. Issues with mergers and acquisitions People Issues Clash of cultures Differing pay & conditions Operational Issues Integrating IT systems Co-ordinating production Strategic Issues Different goals/strategies All this can lead to ‘Diseconomies of scale’ Surveys often show the 60% of mergers and acquisitions can lead to a loss of shareholder value (the new company share price is worth less than before the merger)

5. Horizontal Integration AsdaTescoSainsburySafewayMorrisons

6. Vertical Integration Starbucks http://www.wired.com/gadgetlab/2011/02/i pad-price/http://www.wired.com/gadgetlab/2011/02/i pad-price/

7. Conglomerate Integration Difficult to provide an up to date example as increasingly rare A conglomerate is a business made up of a range of different and strategically unrelated businesses. You could argue Virgin is a conglomerate Imagine if they took over a business unrelated to current businesses e.g. a funeral care company This would be Conglomerate Integration