Integrate Or Keep Separate? Chocotravel’s Dilemma Around Aviata M&A

Kristina Moreva, Yelena Krupina, Anjan Ghosh

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The case discusses the integration dilemma around ChocoTravel’s M&A of Aviata. Both are among the largest online travel agencies in Kazakhstan. The acquisition of Aviata was not the first M&A deal for ChocoFamily – the Holding Company of ChocoTravel; however, it was the largest one. By combining their operations, ChocoTravel and Aviata together could capture 70% of the market share and become the market leader. Although the M&A had high potential toward superior business performance, it had significant risks. Threats of integration failures often make M&As fail. The management of ChocoTravel, therefore, had to consider several factors that could act as potential threats to post-M&A integration. First, each company had its own operating model and corporate culture. Second, both brands, ChocoTravel and Aviata, were well established and recognized in the market; each of them had its own loyal clients. Taking into account low switching costs to customers, the CEO of the new joint company needed to decide whether to integrate ChocoTravel and Aviata or keep them separate or even discontinue one. So, the important thing was not to disrupt operations and lose customers while introducing the post-M&A integration strategy. This case focuses on the challenges of post M&A integration.

Subjek

TOURISM
 

Katalog

Integrate Or Keep Separate? Chocotravel’s Dilemma Around Aviata M&A
ISSN: 2045-0621
11p.: pdf file.; 1.6 MB
English

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Pengarang

Kristina Moreva, Yelena Krupina, Anjan Ghosh
Perorangan
 
 

Penerbit

Emerald
New York
2024

Koleksi

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