This ethnographic case study has focused in depth on one type of acquisition, that of two small, young firms (each with less than 2,000 employees and less than ten years in operation) acquired by one company in the software development industry based in the United States. The underlying research extends understanding of postacquisition integration by (1) offering new insights into why actors become so intransigent about preserving their self-and group identity, especially in situations of major organizational change; (2) illustrating how seeking socio-emotional support from one’s in-group may actually lead to perverse, unintended consequences for both the individual and the organization-level goal of integration; and (3) through the “emic” perspective adopted in this ethnographic research, the findings extend thinking in a number of theoretical realms, illuminating the complexities of postmerger integration by demonstrating how social identity, emotions, the appraisal process, and coping strategies both motivate and constrain human behavior.
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