Ethical Issues in Mergers and Acquisitions-A Case Study of Arcelor Mittal

In recent years cross- border mergers and acquisitions (henceforth, M&A) have increased in importance due to globalization, liberalization, technological development and intensely competitive business environment. They are the means to enter foreign markets, secure resources and increase global outreach. This process in extensively used for restructuring the business organization. The consequences of M & A can be an important ethical issue as the employees in such organization feel ethics-related pressures at nearly double the rate of other workers. Considering the ethical call and the size of people influenced by the waves of M & A, examining M & A from an ethical perspective has become a pressing issue. As a case study, this research paper has chosen the merger of Arcelor & Mittal Steel. Mittal Steel was the biggest producer of steel in the world and had bought Arcelor which was the leading producer in Europe. This merger happened in 2005 making Arcelor Mittal as the leading company that controls the steel sector in the world.