It is undeniable that every business owner looks to improve earnings and asset growth and wants the optimum

market share over its

competitors , the fact that many companies resort to merger and acquisition as the most commonly methods for growth in these days .
Merger is the union of two or more companies in making new body or creation of a holding company with shared resources and corporate
objectives.
The main idea behind mergers and acquisitions is one plus one makes three , the two companies together are more worth full than two
classified companies . that means that they are developing senergies and making economies of scale , at least that is the conclusion behind
mergers .One plus one makes three sounds great but in practice , it doesn’t work properely all the time . Historical trends show that almost
two thirds of huge mergers can let down on their own terms , which implies,they are going to lose worth on the stock exchange.

To summarize , M and A is a risky business with 70% plus failure rate but this shouldn’t prevent companies from taking this risk adventure.