I: Introduction
I. A: Rationale/Motivation
Over the past two decades, cross-border or international mergers and acquisitions (IM&As) have become the favored method of foreign direct investment (FDI). The form shows that IM&As go both ways: toward developing countries and from them, reshaping the world’s economic boundaries. Trends notwithstanding, researchers suggest that, overall, the expected financial benefits of M&As are often not recognized. The highest rate of failures has been linked mainly to the fact that “M&As are still designed with business organization and financial fit as primary conditions, leaving psychological and cultural issues as secondary concerns”. While as new countries start out into the free-market economic system, paying attention to cultural factors in IM&As is becoming essential. The wider cultural gap and the current trend of IM&Asbetween developed and developing countries increases the urgency of understanding the effects of civilization on the dynamics of IM&As and on issues such as corporate organization and local adaptation strategy. The present research is designed in response to this shortcoming. It examines the effects of culture on the outcome of IM&As and the variability of these effects during the different phases of an IM&A. The research focuses on the international aspect of cultural conflicts—the differentiating factor between domestic mergers and acquisitions (M&As) and IM&As. It measures success from an organization’s internal perspective, comparing what the IM&A, at inception, was expected to achieve and what it achieved several years later. This approach is different from the standard one of evaluating success based on market reaction to the IM&A—an external measure.

I.B: Justification
The main contention of this research is that there is no single means of managing across broders. People’s perceptions