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We consider a setting in which two potential merger partners each possess private information pertaining both to the profitability of the merged entity and to stand-alone profits, and we investigate the extent to which this private information makes ex-post regret an unavoidable phenomenon in...
Persistent link: https://www.econbiz.de/10010315578
We study the effect of information technology (IT) investment and merger integration on the value derived from 118 mergers in the U.S. banking industry. We quantify integration depth based on expenditures in merger-related integration, and examine how pre-merger IT intensity of the acquiring...
Persistent link: https://www.econbiz.de/10013064622
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...
Persistent link: https://www.econbiz.de/10013019650
this analysis, we use patent citations as a proxy for the innovation effort by the acquirer. Our main result is to show … that acquisition increases the innovation effort of the acquirer but only temporarily. After 1.5 year, there is no longer a … significant impact of the acquisition on the acquirer’s innovation effort. This decline is relatively larger when the acquired …
Persistent link: https://www.econbiz.de/10014505345
developers reallocate innovation efforts to unaffected apps and that affected markets experience less entry post-acquisition. …
Persistent link: https://www.econbiz.de/10012793220
Both M&A and innovation are instruments for growth and competitive advantage. Therefore they are fundamental to each … unfortunate as both processes - the process of innovation and the process of mergers and acquisitions - are intimately connected …. The impact of mergers on innovation can only be rigorously assessed, if the converse direction of influence - mergers …
Persistent link: https://www.econbiz.de/10010297951
examines the innovation determinants of M&A activity and the consequences of M&A transactions on the technological potential … and the innovation performance. We examine the telecommunications equipment industry over the period 1988-2002 using a … newly constructed data set with firm-level data describing M&A and innovation activity as well as financial characteristics …
Persistent link: https://www.econbiz.de/10010264970
M&A and Innovation a major means of today's competitive strategy development, this paper examines the innovation … determinants of M&A activity and the consequences of M&A transactions on the technological potential and the innovation performance … firm-level data on M&A and innovation activity as well as financial characteristics. By implementing a counterfactual …
Persistent link: https://www.econbiz.de/10003634700
This is an ex-post evaluation of how innovation changed following mergers and subsequent policy interventions, using an …, in 2011/12. Unlike most previous empirical papers in the merger-innovation literature, it drills down to the firm level … to explore heterogeneity in the innovation response to the merger. It adopts a holistic view of innovation, employing …
Persistent link: https://www.econbiz.de/10012852157