Research Paper on:
Salim Group Case Study

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not relating the economies of scope and scale that may be available and has little synergy. This may be seen as wasting both finical resources as well as transferable resources,  such as knowledge. The main problem is a need to restructure as a result of these problems. 2. Secondary Problems The secondary problems are diverse. In an organisation such as  this there are many different corporate cultures forming a diverse organisation where there are barriers to creating synergy. These may be as basic as language and national cultures, the different  structures of different industries leading to variant attitudes and different management styles and even corporate gatekeepers. This has lead to fragmentation and a group of companies where it is likely  many are not as profitable Aspects such as decision making is also impeded, with the way that there are mixed needs and the increased centralisation may also be seen  as decreasing the ability of local businesses to respond increasing the level of bureaucracy. 2.1 Short term In the short term there needs to be an increase ability to  communicate between the companies so that decision making is less centralised and companies may have the authority to act autonomously. There are also a range of companies. In the  short term these may be evaluated and the companys divestment of the lower performing companies may be seen as advisable in order to minimise opportunity costs so that the resources  may be concentrated on more profitable ventures. 2.2 Long Term In the long term we may look at the issues of culture, structure of the company and the way in  which communication takes place. The most important of these issues is also the primary problem of structure, however, we may also look at this at a local level as