Thomas Is the Top Manager of a Firm Which Is

question 13

Multiple Choice

Thomas is the top manager of a firm which is going to acquire another firm in the similar industry.Which of the following should Thomas do after acquiring the company in terms of culture?

• A) Thomas should preserve those elements of each culture that are essential to the company's well-being.
• B) Thomas should completely sacrifice his organizational culture and adopt the culture of the acquired company.
• C) Thomas should encourage employees to follow both cultures in an attempt to avoid any conflict situations.
• D) Thomas should stick to his own organization's culture regardless of whether the acquired company's culture is efficient or not.

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Definitions:

Reallocation Of Resources

The process of redistributing inputs and assets to different activities or areas to improve efficiency, productivity, or to meet strategic goals.

Production Costs

Expenses directly related to the creation of a product or service, including materials, labor, and overhead costs.

Money Flow

The movement of funds among various sectors within the economy or financial markets, reflecting the activity of buying and selling.

Desired Exchanges

The concept referring to transactions that both buyers and sellers agree upon, finding mutual benefit in the exchange of goods, services, or resources.