As per reports in Indian media, the merger between Air Sahara and Jet Airways is called off. The exact reasons for this may not be known, but it triggered me to think about this from a business perspective.
When a merger is planned, so many changes happen in bought out company. They need to align their operations and executives in to parent company and in an service industry like air lines, where customers measure your business, the impact would be too much.
It reminds me one tihng, I read this piece some where, mostly in eWeek. One needs to understand two cultures before even talking about mergers. Integration is a real big challenge and aligning both the companies and continue providing value to customers should be seen as a backdrop of any mergers. I really don't think just merging the companies keeping revenu in mind will simply not work.
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