Mergers Essay Example | Topics and Well Written Essays - 500 words - 1

Mergers - Essay Example Specifically, an analysis of the market would be conducted. This entails understanding if the market is growing, or if the competitors are cannibalizing each others’ members. Additionally, reviewing ease of entry into the market is done. This is achieved through reviewing the growth of new competitors in the market. Assessment would be conducted to understand if the new competitors have taken significant market share or if the market is locked in among the current players. Reputation in the market: Conduct an assessment of the image, brand, and the member service reputation of the merging credit union. Reputation can be effectively assessed by using the Better Business Bureau, industry associations, and social media sites. Viability of membership groups: Viability of membership groups would be investigated. This is through review of the major SEG and garnering the stability of the industry. Review is also conducted on the membership opportunity and geography of the membership. Major contracts: Review all employment agreements, major supplier, equipment leases, and legal agreements. Determine what line of business or products have been outsourced. Due to the size of the merging credit union they may have third parties perform multiple activities including engaging directly with members. Review the contracts to determine termination timelines and that the contracts clearly define expectations and responsibilities of the third party to help ensure the contacts enforceability, limit the credit unions liability, and mitigate disputes about performance. Leased: If the branch is leased, then review the lease and any amendments. If the lease term is under 18 months, analyze the cost of a move. If the term is over 18 months; financial analysis would be done based on location, accessibility, easements, adequate space, and the cost of renovations. Assets: Cash, securities, and loans. Assess asset classes in real