Does Corporate International Diversification Destroy Value? Evidence from Cross-Border Mergers and Acquisitions

2003 ◽  
Author(s):  
Marcelo Braga Dos Santos ◽  
Vihang R. Errunza ◽  
Darius P. Miller
Keyword(s):  
Mergers And Acquisitions ◽  
International Diversification ◽  
Cross Border ◽  
Corporate International Diversification

Does corporate international diversification destroy value? Evidence from cross-border mergers and acquisitions

2008 ◽  
Vol 32 (12) ◽  
pp. 2716-2724 ◽  
Author(s):  
Marcelo B. Dos Santos ◽  
Vihang R. Errunza ◽  
Darius P. Miller
Keyword(s):  
Mergers And Acquisitions ◽  
International Diversification ◽  
Cross Border ◽  
Corporate International Diversification

Relationship between Cross-Border Mergers and Acquisitions and International Trade: The Case of Russian Pharmaceutical Industry

2020 ◽  
pp. 81-94
Author(s):  
Alexandra V. Chugunova ◽  
Olga A. Klochko
Keyword(s):  
International Trade ◽  
Mergers And Acquisitions ◽  
Volume Growth ◽  
Pharmaceutical Products ◽  
Pharmaceutical Companies ◽  
Cross Border ◽  
Export Volume ◽  
Relationship Of ◽  
Geographical Diversification ◽  
The Relationship

This research studies the relationship of cross-border mergers and acquisitions to international trade through the lens of Russian pharmaceutical market. To this aim, the study analyses the woks of foreign economists dedicated to evaluating the link between foreign direct investment and international trade, and the influence of mergers and acquisitions on countries’ export and import flows. The research also presents a correlation analysis between the volume of Russian pharmaceutical exports and imports and cross-border deals performed by foreign pharmaceutical companies in Russia. We characterize these deals and conduct a comparative analysis of the regional structure of Russian pharmaceutical exports and imports as well as of the countries of origin of buyers in cross-border mergers and acquisitions. The results of the analysis indicate a positive relationship between cross-border mergers and acquisitions and Russian pharmaceutical exports, which is reflected in the export volume growth and its geographical diversification. However, it is outlined that particular problems of the industry hinder the amelioration of Russian positions in international exports. Similarly, the relationship between cross-border deals and Russian imports is positive: the major pharmaceutical products supply flow occurs from the countries of origin of buyers in cross-border mergers and acquisitions conducted in the Russian pharmaceutical sector.

International Diversification and Analysts' Forecast Accuracy and Bias

2002 ◽  
Vol 77 (2) ◽  
pp. 415-433 ◽  
Author(s):  
Augustine Duru ◽  
David M. Reeb
Keyword(s):  
Forecast Accuracy ◽  
Earnings Forecasts ◽  
International Diversification ◽  
Corporate International Diversification ◽  
Consensus Analysts

We investigate the association between corporate international diversification and the accuracy and bias of consensus analysts' earnings forecasts. We find that greater corporate international diversification is associated with less accurate and more optimistic forecasts. Our results suggest that international diversification reflects unique dimensions of forecasting difficulty that are not captured in previously identified determinants. This evidence suggests that as firms become more geographically diversified, forecasting their earnings becomes more complex.

Foreign Direct Investment

2017 ◽  
Author(s):  
Yilmaz Akyüz
Keyword(s):  
Foreign Direct Investment ◽  
Mergers And Acquisitions ◽  
Financial Markets ◽  
Foreign Exchange ◽  
Direct Investment ◽  
Balance Of Payments ◽  
Productive Capacity ◽  
Cross Border ◽  
Direct Contribution ◽  
High Profit

Recent years have also seen increased openness of EDEs to foreign direct investment (FDI) in search for faster growth and greater stability. However, FDI is one of the most ambiguous and least understood concepts in international economics. Common debate is confounded by several myths regarding its nature and impact. It is often portrayed as a stable, cross-border flow of capital that adds to productive capacity and meets foreign exchange shortfalls. However, the reality is far more complex. FDI does not always involve inflows of financial or real capital. Greenfield investment, unlike mergers and acquisitions, makes a direct contribution to productive capacity, but can crowd out domestic investors. FDI can induce significant instability in currency and financial markets. Its immediate contribution to balance-of-payments may be positive, but its longer-term impact is often negative because of high-profit remittances and import contents.

Geographical and cultural patterns in cross-border mergers and acquisitions: the role of experience

2021 ◽  
pp. 1-19
Author(s):  
Massimo Del Gatto ◽  
Carlo S. Mastinu
Keyword(s):  
Mergers And Acquisitions ◽  
Cultural Patterns ◽  
Cross Border

Cross-border mergers and acquisitions for innovation

2021 ◽  
Vol 112 ◽  
pp. 102320
Author(s):  
Po-Hsuan Hsu ◽  
Peng Huang ◽  
Mark Humphery-Jenner ◽  
Ronan Powell
Keyword(s):  
Mergers And Acquisitions ◽  
Cross Border
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