Mergers and Acquisitions Basics - Essay Example

The acquisition represents the main source of change for Strawn Services because it shows the organization’s desire to change in order to survive and even prosper (DePamphilis, 2011). To carry out a successful acquisition, proper planning remains an essential aspect because it involves identifying the best features that both companies can contribute to generating a culture for the new company. Currently, worldwide competition and the desire to influence advantage propel organizations to combine resources through acquisition and mergers.

Nevertheless, although acquisition may be propelled by various requirements, the main objective entails increasing their size as well as the capacity to grow. Efficiency in function is essential in promoting survival and sustainability, which drives the search for ways of extracting optimal profitability making acquisitions and mergers viable options as indicated by Strawn Services. In overcoming challenges, Strawn Services in its merger tries to exploit synergies that exist between the two organizations resulting in sharing of management expertise and increasing the financial base thaw old allows the organization to access additional capital resources (DePamphilis, 2011).