scholarly journals Institutional Cross-Ownership and Corporate Strategy: The Case of Mergers and Acquisitions

2017 ◽  
Author(s):  
Chris Brooks ◽  
Zhong Chen ◽  
Yeqin Zeng
Keyword(s):  
Mergers And Acquisitions ◽  
Corporate Strategy ◽  
Cross Ownership

scholarly journals A STUDY ON THE MAGNITUDE OF HUMAN RESOURCE IN SUN AND RANBAXY MERGER

2016 ◽  
Vol 10 (1) ◽  
pp. 29
Author(s):  
S Anjalidaisy ◽  
C Vijayabanu
Keyword(s):  
Mergers And Acquisitions ◽  
Product Development ◽  
Change Management ◽  
Employee Engagement ◽  
Human Resource ◽  
Generic Drug ◽  
Corporate Strategy ◽  
Drug Market ◽  
Pharmaceutical Sector ◽  
A Company

ABSTRACTSun Pharmaceutical is a trailblazer in Indian pharmaceutical sector, and one of the foremost competitors in the generic drug market sets its eye onRanbaxy. Sun pharmacy which was established in 1983 listed from 1994 has its upper hand in product development. Ranbaxy was incorporated in1973, and Daiichi Sankyo, a Japanese firm, got a controlling share from 2008. This amalgamation between Sun Pharmacy and Ranbaxy would getprofitable transaction for the former. The process of the coalition was a cloak and dagger affair until April 6, 2014. Before mergers and acquisitions,a company has to create an urgency call among the employees which will result in better understanding of the whole scenario. The aspects are abouthow financial motives and non-financial motives play a major role in mergers. This case deals with the human resource issues and complexities facedby the two players in the same business.Keywords: Merger, Acquisition, Change management, Human resource, Employee engagement, Corporate strategy.

Exploration and exploitation in mergers and acquisitions

2014 ◽  
Vol 22 (1) ◽  
pp. 30-47 ◽  
Author(s):  
Liang-Hung Lin
Keyword(s):  
Integrated Circuits ◽  
Mergers And Acquisitions ◽  
Corporate Strategy ◽  
Credit Rating ◽  
Information Service ◽  
Exploration And Exploitation ◽  
Acquisition Performance ◽  
Content Type ◽  
Acquisition Integration ◽  
Exploitation And Exploration

Purpose – The central concern of organizational learning and corporate strategy has, in recent decades, focused on the rational choice and appropriate balance between exploration and exploitation. Dividing mergers and acquisitions (M&As) into related and unrelated M&As, this study applies the exploration vs exploitation construct to examine how different M&A strategies affect exploration and exploitation of the combined firm, how post-acquisition integration affects exploration and exploitation of the combined firm, and how organizational ambidexterity affects post-acquisition performance. The paper aims to discuss these issues. Design/methodology/approach – Organizational and industry level data were drawn from the top 1,000 Taiwanese electronic and computer firms reported by 2009 China Credit Information Service, an authorized credit-rating company in Taiwan. The companies are classified into four industries: computer and associated equipments manufacturing (SICs 271x, 274x, 276x); integrated circuits (SIC 261x), opto-electronics and telecommunication (SICs 264x, 272x, 277x) and electronic components (SICs 262x, 263x, 264x, 269x, 275x). Questionnaires were distributed to general managers of the top 1,000 electronics companies. Findings – This investigation of Taiwanese electronic and computer firms revealed that related acquisitions with high degrees of acquisition integration positively affect the combined firm's exploitation; unrelated acquisitions with high degrees of R&D expenditure and acquisition experience positively affect the combined firm's exploration. The firm's ability of simultaneously pursuing exploitation and exploration positively affects its post-acquisition performance. Originality/value – The contribution of this study is to understand how acquisitions influence exploitation and exploration. With regard to the relationship between acquisition and exploitation/exploration, this study finds that unrelated acquisitions enhance exploration, whereas related acquisitions enhance exploitation.

Lockheed Martin Acquisitions: stay the course or change strategy?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Susan White ◽  
Protiti Dastidar
Keyword(s):  
Mergers And Acquisitions ◽  
Corporate Strategy ◽  
Flow Analysis ◽  
High Growth ◽  
Vice President ◽  
Growth Strategy ◽  
Growth Strategies ◽  
Strategy Analysis ◽  
Content Type ◽  
Academic Level

Theoretical Basis In a typical strategy course, growth strategies like mergers and acquisitions (corporate strategy) are introduced in the second half of the course. To analyze the case, students will use strategies such as Porter’s five forces and resource-based view and will discuss why firms pursue mergers as a growth strategy, along with sources of synergies and risks in mergers. Finance theory used includes analyzing a given discounted cash flow analysis and perform a comparable multiples analysis to find the value of a merger target. Research Methodology The industry and financial information in the case comes from publicly available sources, including company 10K reports, business press reports and publicly available industry reports. The information about Lockheed Martin’s strategy comes from interviews with Peter Clyne, former vice president for Lockheed Martin’s IS&GS division. He then held the same position for Leidos Holding Corp., after the IS&GS division was divested and incorporated into Leidos. Case overview/synopsis This case is an interdisciplinary case containing aspects of strategy and finance. Lockheed Martin made a strategic move in 2016, to divest its Information Systems & Global Strategies Division (IS&GS), which engaged in government consulting, primarily in the defense and aerospace industries. Lockheed wanted to reassess its decision to divest consulting, given the high growth rates expected in this business, particularly in cybersecurity consulting. On the other hand, if Lockheed decided to maintain its hardware focus, it wanted to expand its offerings. In addition to a strategy analysis, two possible target firms can be analyzed: Fortinet and Maxar. Complexity Academic Level This case raises a broad set of issues related to the evaluation of M&A transactions across two different industries and corporate strategy, as it relates to strategic fit of the potential targets and LM’s current capabilities. It is appropriate for the core course in strategy at the MBA or senior undergraduate level. It can also be assigned to specialized courses in Mergers and Acquisitions. It is not appropriate for a lower level strategy or finance course, as it requires students to have prior knowledge of basic finance valuation techniques.

scholarly journals Chilled to the Pill: The Japanese Judiciary’s Cool Reception of the Poison Pill and Potential Repercussions

2006 ◽  
Vol 67 (4) ◽  
Author(s):  
Douglas G. Gruener
Keyword(s):  
Corporate Governance ◽  
Mergers And Acquisitions ◽  
Corporate Strategy ◽  
Shareholder Activism ◽  
Business Environment ◽  
Share Ownership ◽  
The Past ◽  
Poison Pill ◽  
Lost Decade ◽  
Major Factors

While the 1990s is frequently referred to as Japan’s “lost decade” because of the nation’s economic underperformance and weak structures for corporate governance, the past few years have shown a business environment that is in the midst of significant transition. Most importantly, Japan is experiencing a boom in mergers and acquisitions (M&A), with the first half of 2005 alone accounting for an aggregate value of $108.9 billion in Japanese M&A transactions (greater than the $108.5 billion of deal value accumulated in all of 2004). Among the major factors contributing to this trend are the improved cash positions of many companies, a record level of foreign share ownership that has helped strengthen shareholder activism, and, perhaps most significantly, the gradual unwinding of stable cross-shareholding relationships that were previously a staple of Japanese corporate strategy and stability.

scholarly journals Mergers and Acquisitions in CEE Countries

2017 ◽  
pp. 7
Author(s):  
Angelika Kedzierska Szezepaniak
Keyword(s):  
Mergers And Acquisitions ◽  
Corporate Finance ◽  
Market Economy ◽  
Corporate Strategy ◽  
World Market ◽  
Local Market ◽  
Company Performance ◽  
Long Period ◽  
The World ◽  
Corporate Actions

The world market economy is currently characterized by the tendency to globalization, which means that companies have to cooperate and tighten their relations. Companies working on the local market do not have many possibilities for development, so mergers and acquisitions (M&A also called consolidations or takeovers) can be a chance for them to cooperate with companies from all over the world. Consolidations (M&A) concern the aspect of management, corporate finance and corporate strategy dealing with buying, selling and merging of different companies. The main goal of mergers and acquisitions is usually an improvement of company performance and shareholder value over a long period of time. Mergers and acquisitions are similar corporate actions - they combine two previously separate companies into a single legal entity. In some cases, terming the combination a "merger" rather than an acquisition is done purely for political or marketing reasons. In a merger of two corporations, the shareholders usually have their shares in the old company exchanged for an equal number of shares in the merged entity.

Why are China's companies doing overseas M&As? The case of Geely and Volvo

2012 ◽  
Vol 2 (8) ◽  
pp. 1-7 ◽  
Author(s):  
Chunjia Han ◽  
Stephen Rhys Thomas
Keyword(s):  
Mergers And Acquisitions ◽  
Corporate Strategy ◽  
Strategic Change ◽  
Subject Area ◽  
Global Market ◽  
Situational Factors ◽  
Content Type ◽  
Mba Students ◽  
Market Interaction ◽  
Fiscal Conditions

Subject area Mergers and acquisitions, corporate strategy. Study level/applicability This case could be applied in several courses: a mergers and acquisitions (M&A) course, to introduce the various motives for firms doing M&A, a strategy course exploring a company's strategy exploration and decision processes, or in a marketing course as an example about emerging and global market interaction. The target audience is primarily final year or Masters' and MBA students. It would also be useful for executive education seminars. Case overview The Case provides learning opportunities about how companies encounter threats due to changing market or fiscal conditions, find ways to address their individual challenges yet achieve mutual benefit, by taking advantage of market-induced opportunities for strategic change, which have been triggered by a combination of situational factors. Expected learning outcomes The case can be used to illustrate and discuss several important aspects of the growth of companies in emerging markets, including: motives for making M&As; strategic options and selection in the emerging industry; and how regional firms can respond to globalization. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes.

Competitive or Complementary? Exploration, Exploitation and Acquisitions in the Taiwanese Electronic Industry

2011 ◽  
Vol 403-408 ◽  
pp. 5260-5264
Author(s):  
Liang Hung Lin ◽  
Yu Ling Ho ◽  
Wei Hsin Lin
Keyword(s):  
Mergers And Acquisitions ◽  
Rational Choice ◽  
Corporate Strategy ◽  
High Tech ◽  
Exploration And Exploitation ◽  
Electronic Industry ◽  
Central Concern ◽  
Exploration Exploitation

The central concern of corporate strategy for high-tech firms has focused on the rational choice and appropriate balance between exploration and exploitation. This study applies the exploration vs. exploitation construct to examine (1) how different strategies affect exploration and exploitation when firms undertake mergers and acquisitions (M&As), and (2) how ambidextrous design alters associated results. This investigation of Taiwanese electronic and computer firms reveals that M&A strategy, structure and suited matches are decisive factors, and ambidextrous design is useful for simultaneously pursuing both activities.

scholarly journals Mergers and Acquisitions as Vital Instruments of Corporate Strategy: Current and Historical Perspective

2015 ◽  
Vol 2 (1) ◽  
pp. 15-21
Author(s):  
M. Jibran Sheikh ◽  
◽  
Mah-a-Mobeen Ahmed ◽  
Qudsia Arshad ◽  
Wajid Shakeel
Keyword(s):  
Mergers And Acquisitions ◽  
Historical Perspective ◽  
Corporate Strategy
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