Titman, Sheridan; Almazan, Andres; Motta, Adolfo de; … - National Bureau of Economic Research (NBER) - 2007
model where being located within an industry cluster increases opportunities to make acquisitions, and to facilitate those … acquisitions, firms within clusters maintain more financial slack. Consistent with our model we find that firms that are located … within industry clusters tend to make more acquisitions, and have lower debt ratios and larger cash balances than their …