Practicing Success
Assertion: Board room split is one of the reasons for failure of mergers and acquisitions. Reasoning: Managers or directors who are suddenly deprived of authority can be particularly bitter in case of merger which may prove to be a major problem, slowing down or preventing integration of the entities.. |
Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A.
Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A. Assertion (A) is true but Reasoning (R) is not correct.
Assertion (A) is not true but Reasoning (R) is correct. |
Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A. |
Boardroom split :When a merger is planned, it is crucial to evaluate the composition of the boardroom and compatibility of the directors. Managers or directors who are suddenly deprived of authority can be particularly bitter. Specific personality clashes between executives in the two companies are also very common. This may prove to be a major problem, slowing down or preventing integration of the entities. |