This study shows that when there is multinational competition for foreign acquisition, the strategic use of a consumer … welfare argument in regulating foreign market entry leads to a preemptive foreign acquisition. Even under fierce competition …, foreign acquisition will emerge as part of a non-cooperative equilibrium (although multinationals would have gained more had …

also indirectly since it determines the outside option of potential acquisition targets and joint venture partners. In … profitability of greenfield investment both reduces the acquisition price in the case of M&A, and gives local firms an incentive to …