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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › contextual factors
scenario : Company A is planning to acquire company X. Once the takeover is complete, Company A intends to implement significant strategic change at Company X.
Hi sir, for contextual factors do we consider it in terms of company A, who is implementing the change or company X, the other company who is being bought over ?
For example, for readiness, we have to consider whether the staff are ready for the change right ?
Which staff do we have to consider ? The staff in company A or company X?
Now that they are in one group, I thinkmyou have to consider the contextual features of the group, but probably primarily Co. X.
For example, Co X staff might resist change, but it is possible that Co A staff might be unwillimg to work to implememt the changes. Co X might not have the capabilities but A might be able to lend staff to X during the change process.
okay sir. Thank you.