Success in international mergers : case studies of the Swedish-Finnish mergers Cloetta Fazer and Stora Enso

Mergers are increasing due to the competitive and financial pressure of globalization. Previous research shows that there is a high failure rate in mergers. Mergers of equals often causes power struggle, as members of both companies seek control over the new organization. There is much written on ways and means that should be adopted by companies to ensure success, however there are few empirical studies discussing why specific merger have succeeded. The purpose of this thesis is to gain a deeper understanding of the factors contributing to success in international mergers. Factors that motivate the merger, the impact of culture as well as measures adopted in the pre- and post merger phases in order to reach success are being studied in depth. The authors have chosen to investigate Swedish and Finnish mergers since these, according to Svenska Studieförbundet Näringsliv (SNS) have been seemingly successful. Research is made on the mergers of Cloetta Fazer and Stora Enso and conclusions to be drawn are that both have been successful in measures adopted especially at the post merger phase and that both companies to a great extent have reached success.Validerat; 20101217 (root