Internal Market Orientation : A Remedy for Employees not Being Prioritized During a Merger and Acquisition?

University essay from Uppsala universitet/Företagsekonomiska institutionen

Abstract: This case study has researched the internal market orientation (IMO) in relation to a merger and acquisition (M&A) situation. Research within these two areas has been done to a great extent on their own. However, the combination of the two has not been made previously. By combining the areas, it was made possible to evaluate employee satisfaction, and how it was actively attended to, in an organization experiencing an M&A situation. Variables for evaluating the IMO were selected from an existing model, which then was combined with M&A research to create a conceptual framework. This framework was used for analysis and as the basis for the questions for the interviews.  The empirical data showed signs that even though the organization was not actively working according to an IMO mindset, there were signs of IMO in their operations. However, the M&A situation heavily influenced day-to-day tasks and infringed on managers’ ability to prioritize the employees. The research is concluded by the clear signs that actively working with an IMO can have a substantial effect on employee satisfaction and could decrease some of the negative effects that the M&A situation brings. 

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