We use laboratory experiments to explore merger failure due to conflicting organizational cultures. We introduce a laboratory paradigm for studying organizational culture that captures several key elements of the phenomenon. In our experiments, we allow subjects in "firms" to develop a culture...

With the unchanging high failure rate of M&As, recent research is putting an increasing emphasis on Cultural Due Diligence (CDD) and socio-cultural Post-Merger Integration (PMI) Management. Nevertheless, the state of the art on CDD is still rare, leading to the fact that its actual value for a...

Fusionen kennzeichnen derzeit den genossenschaftlichen Finanzverbund. Die Zahl der Genossenschaftsbanken hat sich in den letzten zehn Jahren fast halbiert und weitere Zusammenschlüsse sind in Vorbereitung. Die Entscheidung für eine Fusion, die Konzipierung des Fusionsprozesses, die...

The establishment of new powerful trend in investments produces strategic shifts in strategic management. Shareholder wealth maximization way of thinking is changing to stakeholder wealth maximization, where company value management system is based not only on economic profit maximization, but...

Despite fleeing from risky activities and scrambling for cash, banks have maintained high level of M&A activity throughout the latest financial crisis. Low prices may explain in part the appetite for acquisitions, but the outcome of these deals remains highly uncertain and success relies on an...

This paper provides an overview of the academic literature on the market for corporate control, and focuses specifically on firms' performance around and after a takeover. Despite the aggregate M&A market amounting to several trillions USD on an annual basis, acquiring firms often underperform...

Mergers and acquisitions represent prominent phenomenon of the developed capitalist world. Growth of the company through mergers and acquisitions provides access to new markets and resources, and the success or failure is of great importance not only for the companies involved in these...