scholarly journals Research on the Synergy Effect of Cross-border Mergers and Acquisitions in High-tech Enterprises in Shanghai

Author(s):  
Yuzhu Feng
Complexity ◽  
2021 ◽  
Vol 2021 ◽  
pp. 1-18
Author(s):  
Yi Su ◽  
Wen Guo ◽  
Zaoli Yang

The high-tech industry is the main force promoting the development of China’s national economy. As its industrial economic strength grows, China’s high-tech industry is increasingly using cross-border mergers and acquisitions (CBM&A) as an important way to “go out.” To explore the rules governing the process and operation mechanism of reverse knowledge transfer (RKT) through the CBM&A of China’s high-tech industry under government intervention, a tripartite evolutionary game model of the government, the parent company, and the subsidiary as the main subjects is constructed in this paper. The strategies adopted by the three subjects in the RKT game process are analysed, and the factors influencing RKT through CBM&A under government intervention are simulated and analysed using Python 3.7 software. The results show that, under government intervention, the parent company and subsidiary have different degrees of influence on each other. Subsidiaries are highly sensitive to the compensation rate of RKT. Positive intervention by the government tends to foster stable cooperation between the parent company and the subsidiary. However, over time, the government gradually relaxes its intervention in the RKT and innovation of multinational companies.


Author(s):  
Alexandra V. Chugunova ◽  
Olga A. Klochko

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.


Author(s):  
Tsedal Neeley

For nearly three decades, English has been the lingua franca of cross-border business, yet studies on global language strategies have been scarce. Providing a rare behind-the-scenes look at the high-tech giant Rakuten in the five years following its English mandate, this book explores how language shapes the ways in which employees in global organizations communicate and negotiate linguistic and cultural differences. Drawing on 650 interviews conducted across Rakuten's locations around the world, the book argues that an organization's lingua franca is the catalyst by which all employees become some kind of “expat”—detached from their native tongue or culture. Demonstrating that language can serve as the conduit for an unfamiliar culture, often in unexpected ways, the book uncovers how all organizations might integrate language effectively to tap into the promise of globalization.


Author(s):  
Yilmaz Akyüz

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.


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