Study On Optimizing Of Talent Retaining Strategies During M&A,based On Example Of S Company

In the past 20 years,multiple national companies had tremendous development in Chinese market,while Chinese local companies also changed greatly in global economics.To keep up with competition and realize rapid growth,international business organizations very often achieve that goal by merging and acquisition across countries.There are many ways to evaluate the result of merging and acquisition case,however the success rate is usually between 30%-50%.One of the reason behind that is sometimes companies focus too much on the integration of business,and overlooked the risk of losing key talents.The study is based on the theories on definition of key talents,Maslow's hierarchy of needs and Herzberg's Two-factor theory,by sorting through existing study,data and documentary,and analyze the issues of company S,the paper comes to the conclusion that losing talents is caused by lack of overall plan and communication,mis-match of compensation system and evaluation system.With the analysis,this paper proposed solutions that aims to improve the work of motivating and retaining key talents.Company S is merged by Company K in 2016,becoming one of the BUs of Company K.Through this merge,both sides gained competitive advantages.With the branding image and capital pool of Company K,Company S has more potential to grow further in the market.However,during the merging,Company S faced challenges of keeping key talents.Those challenges are quite typical and common during company merging,therefore,this paper offers solutions to optimize strategies for motivating and retaining talents.