what are advantages and disadvantages of mergers in banking?
610171
['Acquiring banks have to handle the burden of weaker banks.', 'It is difficult to manage the people and culture of different banks.', 'Merger destroys the idea of decentralization as many banks have a regional audience to cater to and customers often respond very emotionally to a bank acquisition.']
826266
The major advantages are flexible budgets, focused operations, lower costs, and more disciplined execution. The disadvantages include the possibilities of resource intensiveness, being manipulated by savvy managers, and bias toward short-term planning.
58155
['It is a specialised financial institution. ... ', 'It provides medium and long term finance to business units.', 'Unlike commercial banks, it does not accept deposits from the public.', 'It is not just a term-lending institution. ... ', 'It is essentially a development-oriented bank.']
408423
Three advantages of savings accounts are the potential to earn interest, it's easy to open and access, and FDIC insurance and security. Three disadvantages of savings accounts are minimum balance requirements, lower interest rates than other accounts/investments, and federal limits on saving withdrawal.
124885
['Differences in Culture. Many have observed culture clashes and they are the most common reason for the failure of mergers and acquisitions. ... ', 'Inefficient communication and lack of transparency. ... ', 'Miscalculations in the evaluation of assets. ... ', 'Employee layoff. ... ', 'Legal Risks: ... ', 'Conclusion.']
866616
['Broader market is available. ... ', 'Involves at least two set of uncontrollable variables. ... ', 'Requires broader competence. ... ', 'Competition is intense. ... ', 'Involves high risk and challenges. ... ', 'Large-scale operation. ... ', 'Domination of multinationals and developed countries. ... ', 'International restrictions.']
614099
['Financial Needs of the Firm: ... ', 'Stability of Dividends: ... ', 'Legal Restrictions: ... ', 'Restrictions in Loan Agreements: ... ', 'Liquidity: ... ', 'Access to Capital Market: ... ', 'Stability of Earnings: ... ', 'Objective of Maintaining Control:']
1101332
['Shifts in consumer demand and preferences.', 'Legal and regulatory change.', 'Competitive pressure.', 'Merger integration.', 'Technological changes.', 'Senior management turnover.', 'Stakeholder pressure.']
1035963
Mergers and Acquisitions is one of the topmost favored careers in any company/investment bank. M&A models are one of the most complex financial models built in the industry since it analyses 2 companies at a time and tries to build synergies among the two.
691209
['Growing Your Business. ... ', 'Diversifying Risk. ... ', 'Receiving Earlier Payments. ... ', 'Less Competition. ... ', 'Not Fully Defining and Understanding the Risks. ... ', 'Assuming Laws Are Similar. ... ', 'Not Communicating with Local Business Partners. ... ', 'Unstable Profits.']
903350
['Higher Returns on Investment. ... ', 'Improved Efficiency. ... ', 'Increased Speed of Delivery. ... ', 'More Management Time. ... ', 'Ease of Employment Handling. ... ', 'Loss of Control Over Business Processes. ... ', 'Concerns on Privacy and Intellectual Property (IP) ... ', 'Quality and Turnaround Time Issues.']
1247457
Advantages for the company investing in a foreign market include access to the market, access to resources, and reduction in the cost of production. Disadvantages for the company include an unstable and unpredictable foreign economy, unstable political systems, and underdeveloped legal systems.
1455457
['Ease of formation: ADVERTISEMENTS: ... ', 'Larger financial resources: It is possible to collect a large amount of capital due to a number of partners. ... ', 'Combined abilities and judgement: ADVERTISEMENTS: ... ', 'Direct motivation: ... ', 'Close supervision: ... ', 'Flexibility of operations: ... ', 'Secrecy: ... ', 'Protection of minority interest:']
651077
1. Diversification. A conglomerate merger provides the merging companies with the advantage of diversification of business operations and target markets. As the merging companies operate in distinct industries and/or markets, the merged company is less vulnerable to declines in sales.
28823
['two heads (or more) are better than one.', 'your business is easy to establish and start-up costs are low.', 'more capital is available for the business.', "you'll have greater borrowing capacity.", 'high-calibre employees can be made partners.']
890388
['Ease of Formation and Closure: ... ', 'Simplicity of Operation and Flexible Management: ... ', 'Sole Beneficiary of Profits: ... ', 'Benefits of Small-Scale Operations: ... ', 'Prompt Decisions: ... ', 'Retaining Secrecy: ... ', 'Social Desirability: ... ', 'Tax Advantage:']
920375
['Advantage #1: Savings on some expenses. ... ', 'Disadvantage #1: Unstable income. ... ', 'Advantage #2: A more flexible schedule. ... ', 'Disdvantage #2: Difficulty picking up work. ... ', 'Advantage #3: The end of the rush hour. ... ', 'Disadvantage #3: Isolation. ... ', 'Advantage #4: The freedom to choose your assignments. ... ', 'Disadvantage #4: The loss of a client.']