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Cross-Cultural Challenges in the Post-Merger Integration Process Management

Author

Listed:
  • Gębski Łukasz

    (Warsaw School of Economics, Institute of Banking, Poland)

  • Bień Andrzej

    (Warsaw School of Economics, Institute of Banking, Poland)

Abstract

Objective The objective of this article is to analyze post-merger integration (PMI) in cross-border mergers and acquisitions from an intercultural management perspective. The study seeks to explain why post-merger integration remains highly problematic despite globalization-driven convergence of management practices and increasing experience of firms in international expansion. Methodology The article employs a qualitative, integrative research design based on a critical review of literature from intercultural management, organizational psychology, and international business studies. The analysis is supported by selected empirical findings and well-documented case examples of cross-border mergers and acquisitions, enabling a synthesis of theoretical and practical insights into intercultural integration challenges. Findings The findings show that cultural differences continue to be central in shaping PMI outcomes. Persistent divergences in leadership models, communication norms, power distance, and organizational identity generate identity threats, mistrust, and resistance to integration. These intercultural dynamics frequently undermine integration processes even when strategic objectives and formal integration plans are well defined. Value Added The article contributes to intercultural management research by challenging convergence-based assumptions in globalization theory and by integrating cultural, psychological, and organizational perspectives into a coherent framework for analyzing PMI. It highlights the limits of standardized integration approaches and emphasizes the importance of culturally embedded meaning, identity, and social interaction in post-merger contexts. Recommendations The article recommends that managers involved in cross--border mergers and acquisitions adopt a culturally informed approach to post--merger integration. This includes systematic cultural due diligence, context--sensitive leadership practices, and the active management of identity and trust during integration. Future research should further explore intercultural leadership capabilities and integration mechanisms that enhance collaboration and mutual understanding in culturally diverse post-merger settings.

Suggested Citation

  • Gębski Łukasz & Bień Andrzej, 2025. "Cross-Cultural Challenges in the Post-Merger Integration Process Management," Journal of Intercultural Management, Paradigm, vol. 17(4), pages 5-31.
  • Handle: RePEc:vrs:joinma:v:17:y:2025:i:4:p:5-31:n:1001
    DOI: 10.2478/joim-2025-0013
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility

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