Operating performance of acquirers after acquisition: evidence from India

2019 ◽  
Vol 12 (3) ◽  
pp. 327-341
Author(s):  
Bipin Kumar Dixit
Keyword(s):  
Design Methodology ◽  
Operating Performance ◽  
Difference In Difference ◽  
Return On Assets ◽  
Content Type ◽  
Acquisition Period ◽  
Acquiring Firms ◽  
Book To Market Ratio ◽  
Matching Criteria ◽  
And Control

Purpose The purpose of this paper is to examine the operating performance of Indian using difference-in-difference (DD) methodology. It, further, examines whether there is a difference in the operating performance of acquirers doing partial and full acquisitions. Design/methodology/approach Four different benchmark criteria are used to select control firms, namely, size, size and industry, size and leverage, and size and book-to-market ratio. To measure the operating performance, return on assets (ROA) is calculated as the ratio between earnings before depreciation, interest, tax and amortization (EBDITA) and total assets (TA), expressed in percentage. This paper examines the ROA of event and control firms for three years in each pre- and post-acquisition period and finally compares them using the DD method. Findings Using a sample of Indian acquirers, the results show that the operating performance of Indian acquirers neither improves nor deteriorates after accounting for an appropriate benchmark. Operating performance of event firms significantly reduces in the post-acquisition period. However, non-acquiring firms of similar size and pre-operating performance also exhibit similar results. Finally results show that, the operating performance of acquirers making full acquisitions deteriorates. Originality/value It provides insights into the operating performance of Indian acquirers with an improved methodology, which accounts for the performance of control firms. The author also uses multiple matching criteria to find control firms to overcome the possible bias of the results dependent on the matching criteria. To the best of the author’s knowledge, the author could not find other studies comparing the operating performance of acquirers making partial and full acquisitions.

Do frequent acquirers outperform in cross-border acquisitions? A study of Indian companies

2020 ◽  
Vol 30 (4) ◽  
pp. 491-514
Author(s):  
Samta Jain ◽  
Smita Kashiramka ◽  
P.K. Jain
Keyword(s):  
Operating Performance ◽  
Financial Statements ◽  
Acquisition Performance ◽  
Content Type ◽  
Acquisition Period ◽  
Cross Border ◽  
Acquiring Firms ◽  
The Impact ◽  
First Time

Purpose The purpose of this paper is to examine the impact of cross-border acquisitions (CBAs) on the financial and operating performance of acquiring firms from emerging economies in the long-term; the acquiring firms have been segregated into frequent (multiple) and first-time (single) acquirers based on their prior cross-border experience. The intent is to identify if overseas activities bring over and above advantage to multiple acquirers in terms of enhanced financial synergies and reduced costs, motivating them to engage in sequential international transactions. Design/methodology/approach The paper analyses the impact of CBAs announced and completed during 2004–2013 by Indian companies listed on the NIFTY 500 index. The post-acquisition financial and operating performance of Indian cross-border acquirers has been compared with their pre-acquisition performance. The average performance over three-years immediately preceding the acquisition year constitutes the benchmark for the post-acquisition performance. The post-acquisition period includes a year of integration followed by three successive post-integration years. Therefore, in operational terms, the research period extends from 2001–2017. The long-term performance of frequent (multiple) and first-time (single) Indian acquirers has been investigated comprehensively using a set of 16 financial ratios. The performance has been assessed using the secondary data collected from financial statements of acquiring companies; the financial statements and the list of CBAs by Indian companies have been obtained from Thomson Reuter’s EIKON database. Findings The financial and operating performance of frequent as well as first-time acquirers have depicted a similarly deteriorating trend during the post-acquisition period. These findings indicate that the international expansion of Indian companies is not guided by synergy creation potential and may be pushed by the overconfidence or over-optimism and agency conflicts of managers. This, perhaps, indicates that firms are being imprudent in investing free cash flows available with them. Originality/value The study is the first of its kind. No study, to the best of the authors’ knowledge, has analysed the performance of acquiring firms by segregating them into frequent and first-time acquirers using accounting measures of performance. More so, an extensive analysis of the long-term financial and operating performance of acquiring companies is rare to come across in the extant literature.

G-GERT network model of online public opinion reversal based on kernel and grey degree

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shuli Yan ◽  
Xiangyan Zeng ◽  
Pingping Xiong ◽  
Na Zhang
Keyword(s):  
Public Opinion ◽  
Network Model ◽  
Design Methodology ◽  
Average Frequency ◽  
Decision Makers ◽  
Content Type ◽  
Gert Network ◽  
Frequency Probability ◽  
And Control ◽  
Difficult Issue

PurposeIn recent years, online public opinion reversal incidents have been occurring frequently, which has increased the complexity of the evolution of online public opinion, and they have become a difficult issue for public opinion management and control. It is of great significance to explore the regularity of online public opinion reversal.Design/methodology/approachCombined with the grey characteristics of online public opinion information, a grey graphical evaluation review technique (G-GERT) network model is constructed based on kernel and grey degree, and the frequency, probability and time of online public opinion reversal nodes are calculated using C-marking method and Z-marking method.FindingsThroughout the online public opinion reversal events, there are all repeated outbreak nodes occurring, so the authors regard the repeated occurrence of outbreak nodes as reversal. According to the average frequency, probability and time of repeated outbreak nodes in the G-GERT network model, the authors predict the corresponding key information of reversal. It can simulate the evolution process of public opinion events accurately.Originality/valueThe G-GERT network model based on kernel and grey degree reveals the regulation of public opinion reversal, predicts the frequency, probability and time of reversal nodes, which are the most concerned and difficult issues for decision-makers. The model provides the decision basis and reference for government decision-making departments.

Hong Kong’s response to COVID-19: a glance to the control measures and their enforcement

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ka Ki Lawrence Ho ◽  
Ying-Tung Chan
Keyword(s):  
Hong Kong ◽  
Infection Rate ◽  
Government Policy ◽  
Design Methodology ◽  
Control Measures ◽  
Content Type ◽  
The Government ◽  
And Control ◽  
Viral Outbreak

Purpose This study aims to examine Hong Kong’s responses to COVID-19, arguing that Hong Kong’s relatively low infection rate is due to self-discipline of citizens together with the enforcement measures introduced by the government. Design/methodology/approach This study reviewed the government policy announcements and the prevailing scholarly analyses on Hong Kong society during COVID-19. Findings It starts by examining the partial lockdown and control measures since mid-January, and the roles of different government units in enforcement were examined and assessed. Suppression of viral outbreak in Hong Kong should primarily be attributed to the appropriate lockdown and quarantine actions of the government. Originality/value However, outperformance of the frontline professionals and the highly aware, self-disciplined and mutually aided citizens in the community are also the key to the “interim success” by June 2020 in the highly accessible and densely populated city.

scholarly journals Evaluation and control of opinion polarization and disagreement: a review

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yuejiang Li ◽  
Hong Zhao
Keyword(s):  
Design Methodology ◽  
Crucial Importance ◽  
Content Type ◽  
Recent Advances ◽  
And Control

Purpose The purpose of this paper is to review the recent studies on opinion polarization and disagreement. Design/methodology/approach In this work, recent advances in opinion polarization and disagreement and pay attention to how they are evaluated and controlled are reviewed. Findings In literature, three metrics: polarization, disagreement and polarization-disagreement index are usually adopted and there is a tradeoff between polarization and disagreement. Different strategies have been proposed in literature which can significantly control opinion polarization and disagreement based on these metrics. Originality/value This review is of crucial importance to summarize works on opinion polarization and disagreement and to the better understanding and control of them.

Spaces of performance: a storytelling approach to learning in higher education

2018 ◽  
Vol 25 (6) ◽  
pp. 410-421 ◽  
Author(s):  
Kenneth Mølbjerg Jørgensen
Keyword(s):  
Higher Education ◽  
Learning Organization ◽  
Design Methodology ◽  
Theoretical Discussion ◽  
Content Type ◽  
Approach To Learning ◽  
Conditions For Learning ◽  
Research And Teaching ◽  
And Control ◽  
Practical Implications

Purpose The purpose of the paper is to provide a framework for reflecting on how different ways of configuring spaces in higher education (HE) condition the possibilities of learning. Second, the purpose is to construct a storytelling approach for the configuration of such spaces. Design/methodology/approach The paper’s conceptual purpose is achieved through a theoretical discussion of three concepts: performance, politics and storytelling. Findings Learning in HE needs reconsideration in terms of what kinds of learning are made possible through the discursive and material configuration of the spaces of research and teaching. In particular, the focus to some extent should move away from the management and control of learning toward what enables learning. Practical implications The literature on organizational learning and the learning organization comprise concepts, methods and tools that play different roles with regard to controlling, shaping and enabling learning. When the focus is on learning in HE, it is important to be aware of the tracks of learning these technologies enable. Social implications The interest in managing and controlling learning is often problematic in relation to the potential of HE to produce new and innovative forms of learning. Originality/value This paper introduces the term “spaces of performance,” which directs attention toward the material, discursive and relational conditions for learning. It also introduces a space of storytelling as a new principle for learning in HE.

Conflict resolution under the COVID-19 pandemic

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jose Roberto Balmori de la Miyar ◽  
Lauren Hoehn-Velasco ◽  
Adan Silverio-Murillo
Keyword(s):  
Conflict Resolution ◽  
Empirical Study ◽  
Design Methodology ◽  
Difference In Difference ◽  
Middle Income ◽  
Content Type ◽  
Twitter Data ◽  
Conflict Resolution Strategies ◽  
Resolution Strategies

Purpose This paper aims to analyze conflict resolution strategies among individuals who encountered disputes with family, neighbors, workmates, businesses, strangers, government authorities or other members in their communities during the COVID-19 pandemic. Design/methodology/approach Applying a difference-in-difference approach by sex, the authors use a representative panel of adults living in 82 cities from across Mexico to measure changes in antisocial strategies (violence) and prosocial strategies (non-confrontational methods and dialogue) to resolve disputes. Findings During the COVID-19 pandemic, men reduced their use of violence by 19.6% while women did so by 17.4%. There was a parallel rise in non-confrontational strategies used to solve conflicts equal to 73.6% for men and 62% for women. The use of dialogue as a tool for resolving disputes increased by more in cities that banned the sale of alcohol. Alternative Twitter data corroborates the main findings, suggesting that individuals are becoming more prosocial during the pandemic. Originality/value To the knowledge, this is the first empirical study to analyze changes in strategies for conflict resolution as a consequence of the COVID-19 pandemic. This paper contributes to the literature by demonstrating how individuals adapt their dispute strategies under extraordinary circumstances such as a pandemic, with a focus on a middle-income setting.

Impact of AI regulation on intention to use robots

2019 ◽  
Vol 8 (2) ◽  
pp. 97-114
Author(s):  
Sheshadri Chatterjee
Keyword(s):  
Quality Of Life ◽  
Artificial Intelligence ◽  
Design Methodology ◽  
Regulatory Control ◽  
Control Beliefs ◽  
Intention To Use ◽  
Content Type ◽  
And Control ◽  
The Impact

Purpose The purpose of this paper is to identify the factors influencing the citizens to use robots that would improve the quality of life of the citizens. Design/methodology/approach With the help of different adoption theories and models and with the support of background studies, some hypotheses have been formulated and a conceptual model has been developed with the consideration of the impact of artificial intelligence regulation (IAR) that controls the use of robots as a moderator. The model has been validated and the hypotheses have been tested by statistical analysis with the help of survey works involving consideration of feedbacks from 503 usable respondents. Findings The study reveals that the use of robots by the citizens would appreciably increase if government imposes strict artificial intelligence (AI) regulatory control concerning the use of robots, and in that case, it appears that the use of robots would improve the quality of life of the citizens. Research limitations/implications The duly validated model would help the authority to appropriately nurse and nurture the factors such as ethical dilemma, perceived risks and control beliefs for enhancing the intention of the citizens to use robots for many purposes including domestic usage in the context of appropriate restrictions imposed through AI regulation. Such use of robots would eventually improve the quality of life. Originality/value There are a few studies covering analysis of IAR as a moderator on the linkages of the predictors with the intention of the citizens to use robots. In this context, this study is claimed to have offered a novel contribution.

scholarly journals Enhancing cognitive and entrepreneurship competencies through EBL

2019 ◽  
Vol 4 (2) ◽  
pp. 280-292
Author(s):  
Kholilah ◽  
Vega Wafaretta ◽  
Dian Syariati
Keyword(s):  
Cognitive Abilities ◽  
Design Methodology ◽  
Industrial Revolution ◽  
Content Type ◽  
Whitney Test ◽  
Entrepreneurial Skills ◽  
Learning Challenges ◽  
The World ◽  
Student Center ◽  
And Control

Purpose Entrepreneurship-based learning (EBL) is one of the student-center learningmethods that can answer learning challenges in the era of industrial revolution 4.0. EBL is expected to improve students’ competencies and make students more adaptable to the changes in the world of work in the future. The paper aims to discuss this issue. Design/methodology/approach This study uses quasi-experiments and divides classes into project class and control class. The project consists of making business proposals, conducting business, liquidating the partnership, and recording business transaction using the Xero platform. The Wilcoxon Signed Ranks Test, Mann–Whitney Test and independent t-test were carried out to test whether there are differences of cognitive abilities and entrepreneurial (general, social and functional) competencies between the project class and control class. Findings The results of the study shows there are differences of understanding of partnership accounting and the achievement of social and functional entrepreneurial competencies between the project class and control class. Research limitations/implications This study implies in using EBL to improve entrepreneurial skills for students beyond cognitive abilities. Originality/value The novelty of this research is the implementation of EBL in partnership accounting topics.

Do anti-discrimination laws alleviate labour market duality?

2020 ◽  
Vol 41 (8) ◽  
pp. 1341-1361
Author(s):  
Hoon Choi
Keyword(s):  
Labour Market ◽  
Design Methodology ◽  
Small Firms ◽  
Difference In Difference ◽  
Difference In Differences ◽  
Equal Pay ◽  
Content Type ◽  
Labour Unions ◽  
Employment Insurance ◽  
Part Time

PurposeThis paper examines whether and how labour market duality can be alleviated through legislation that prohibits discrimination based on employment type.Design/methodology/approachIn 2007, the Korean government undertook a labour reform banning discriminatory treatment against fixed-term, part-time and dispatched workers. By exploiting a gradual implementation of the anti-discrimination law by firm size targeting a subset of non-regular workers, the paper identifies the treatment effects of the anti-discrimination law, taking a difference-in-difference-in-differences approach.FindingsThe results suggest that the anti-discrimination law significantly increases hourly wages and the probabilities of being covered by national pension, health insurance, and employment insurance for targeted non-regular workers in small firms relative to other workers. Anticipatory behaviours of employers and selective transitions of employees in response to the implementation of the anti-discrimination law do not underlie the estimated effects. The presence of labour unions contributes to reducing gaps in labour conditions between regular workers and targeted non-regular workers.Originality/valueThe main contribution of this paper is to provide empirical evidence on causal impacts of equal pay legislation on the gaps in labour conditions between different categories of workers, using a difference-in-difference-in-differences estimation.

scholarly journals Adoption of principle-based IFRS and intercompany comparability of operating performance

2020 ◽  
Vol 5 (2) ◽  
pp. 341-352
Author(s):  
Protap Kumar Ghosh ◽  
Ranajit Kumar Bairagi ◽  
Abinash Mondal
Keyword(s):  
Content Analysis ◽  
Design Methodology ◽  
Stock Exchange ◽  
Operating Performance ◽  
Financial Statements ◽  
Regulatory Agencies ◽  
Financial Reports ◽  
Content Type ◽  
Do So

PurposeThe study aims to investigate whether the adoption of IFRS could ensure ultimate intercompany comparability of operating performance in terms of uniformity in the application of accounting methods and reporting style.Design/methodology/approachUsing content analysis on 125 annual financial statements of 25 companies from five industries listed on the Dhaka Stock Exchange in Bangladesh, this study reports that only the sole adoption and application of principle based IFRS cannot ensure ultimate intercompany comparability of financial reports.FindingsThe findings document that the adoption of IFRS cannot ensure the application of same accounting methods as well as way of presentations which is a precondition of greater comparability of operating performance of competitive firms. The methodological and reporting direction through local regulatory agencies alongside maximum compliance with principle based IFRS can enhance intercompany comparability of financial reports in the same industry.Originality/valueThis study tries to manifest that sole adoption cum implementation of IFRS could not ensure ultimate intercompany comparability of operating performance within the same industry and urges to conduct further research to find out the ways to do so.

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