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Post-Merger Culture Clashes Can Imperil Innovation

July 12, 2017

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The very nature of a successful startup is that it offers something different from the status quo. That difference can be in the products it makes, the technology it uses — even the way it advertises and sells a boring commodity item. The cheeky advertising campaigns used to promote Dollar Shave Club were a big factor in the company’s being taken over by CPG giant Unilever in a billion-dollar deal.

But that takeover/merger/acquisition can also be the beginning of the end for what made the startup unique in the first place. The very things that made the company attractive to bidders can be crushed by corporate conformity.

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