Case Study

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CASE STUDY: Merger of Zipcar and Avis Budget Group

On January 2, 2013, Zipcar announced that it would be acquired by the Avis Budget Group. This merger may let staff members of both companies to feel uncertain and uncomfortable, especially of Zipcar and they feared that company was swallowed. Motivational problems related with finance were of major importance to employees of both companies and here too. The senior management and executive members of Zipcar company sought to gather and discuss at large weaknesses and strengths of the organization on realizing that employees’ attitude and perception toward merger could have substantial impact on company’s performance.

Motivational state of employees
Many stuff at Zipcar maybe more inadequately motivated to this merger for the most part as capacity is intricately connected with the problem of motivation. With on doubt, employees concern about salaries, invisible reward, secondary benefits and recognition and so on. On one hand, they think the company did’t give them more time and chance to grow up. On other hand, they felt the company will neglect their benefits, so it must be reduce their work quality and work efficience. Nevertheless, they are some factors can be appreciated by the employees and which had a direct, progressive affect on employees motivation level. It includes sense of interaction, loyalty and trust and chemistry between employees and management which led each party to realise organisational problems occurring within the organisation. The sense of interaction and utmost respect of work were responsible to increase employees’ moral and a practice of trust and loyalty among them could be seen through observation. (Kelley, H.H., 1999)

Attitudes and Perception of the employees
In the situation like that, there are probable situations that attitudes and perceptions of the related employees change a lot. For one attitudes that was formed by employees, they have low self value. This maybe from...
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