scholarly journals Digital due diligence

2020 ◽  
Vol 1 (2) ◽  
pp. 54-66
Author(s):  
Mladen Turuk ◽  
Bojan Moric Milovanovic
Keyword(s):  
Mergers And Acquisitions ◽  
Digital Economy ◽  
Due Diligence ◽  
Digital Environment ◽  
Check List ◽  
Organic Growth ◽  
Target Company

Mergers and acquisitions (M&A) represent one of the most common ways for firms to achieve non-organic growth, and one of the main stages in the typical M&A transaction is due diligence of the target company. The aim of this paper is to provide a guideline for conducting due diligence process in the digital environment. After a brief introduction on the nature, purpose and elements of the due diligence, the paper elaborates various risks, and psychological and contextual hazards often occurred during due diligence process. Special attention has been paid to the elaboration of the role and importance of the digital due diligence as a new concept in today’s contemporary ‘digital’ economy. The outcome of this paper is to provide a comparison between ‘traditional’ and ‘digital’ due diligence, digital due diligence methodology, and easy understandable check list for conducting the process of digital due diligence.

scholarly journals The Management of Tax Risks in Mergers and Acquisitions - The Importance of Tax Due Diligence

2021 ◽  
Author(s):  
Arnaldo Marques de Oliveira Neto
Keyword(s):  
Risk Management ◽  
Mergers And Acquisitions ◽  
Merger And Acquisition ◽  
Point Of View ◽  
Exploratory Research ◽  
Due Diligence ◽  
Good Corporate Governance ◽  
Governance Practices ◽  
Target Company ◽  
Acquisition Processes

The purpose of this chapter is to demonstrate the importance of tax risk management in mergers and acquisitions processes by conducting an investigative work called due diligence. To achieve this objective, bibliographic and documentary research was used, as part of exploratory research. In topic 1 it is evidenced that the complexity of tax systems around the world has demanded increasing attention from companies to avoid undesirable cash disbursements for payment of infringement notices arising from questioning by tax authorities related to improper procedures of companies when paying taxes. Additionally, it has required them to be diligent in identifying lawful tax planning alternatives to optimize the tax burden on their operations. In topic 2 the responsibility of company administrators in the management of tax risks is exposed. Topic 3 explains the importance of accounting, tax and legal due diligence in merger and acquisition processes. Finally, topic 4 analyzes the main aspects of due diligence in the tax area. In view of all the exposed in this chapter, it will remain clear to readers the importance of the tax due diligence of the target company, as a way to minimize risks in the decision-making process of the managers of the purchasing company that may compromise the success of the merger and acquisition operation, as well as not subjecting them to administrative and judicial suits, for non-compliance with their fiduciary duties of diligence and loyalty in relation to the company of which they are executives. Additionally, the study’s results suggest that companies—in compliance with the guidelines and limits set by the board—choose the appropriate and specific techniques of risk management, especially those related to minimization, immunization, and transferring these risks. The recommendations derive from the need to identify and manage tax risks, from the point of view of good corporate governance practices. This study may serve as a reference to companies in general, when studying, developing, and implementing recommendations for the identification and minimization of tax risks, as well as in the development of a work program that allows them to conduct due diligence work in target companies.

SERVICES SECTOR DEVELOPMENT IN THE DIGITAL ECONOMY CONDITIONS

2021 ◽  
Vol 1 (7) ◽  
pp. 47-50
Author(s):  
E. V. BARDASOVA ◽  
◽  
L. G. KIRILLOVA ◽  
Keyword(s):  
Information And Communication Technologies ◽  
Communication Technologies ◽  
Digital Economy ◽  
Digital Environment ◽  
End User ◽  
Digital Platforms ◽  
Services Sector ◽  
Information And Communication

The article is devoted to the consideration of the features of the digital economy, which provide huge opportunities for the development of business and services. Information and communication technologies allow you to bring the manufacturer to the end user, reduce costs, and develop new services on digital platforms. The conclusion is made: to get development opportunities from the digital environment, it is necessary to master the relevant competencies.

scholarly journals Strategic and statistical analysis of regional socio-economic development in the conditions of the digital environment

Upravlenie ◽  
2019 ◽  
Vol 7 (3) ◽  
pp. 84-93
Author(s):  
V. Aleshnikova ◽  
T. Burtseva ◽  
H. Shadiev ◽  
A. Gubareva
Keyword(s):  
Economic Development ◽  
Regional Development ◽  
Development Strategies ◽  
Digital Economy ◽  
Assessment Model ◽  
Digital Environment ◽  
Strategic Orientations ◽  
Statistical Measures ◽  
Socio Economic Development ◽  
Regional Development Strategies

Тhe creation and development of the digital economy in the regions of Russia is a new factor in their socio-economic development. This should be reflected in near future in the strategies of socio-economic development of regions. In the Russian Federation, at present, for developing and evaluating the implementation of the socio-economic development strategy of the region, a universal methodology has not been developed, and the standard approaches for implementing strategic planning have been adapted from the management of corporate structures.The purpose of the article is to test the methodology of statistical evaluation of the socio-economic development of the region in the digital environment. The methodological basis of the study are: the general statistical method of dynamic standards, index and coefficient analysis, the method of pairwise comparisons. The scientific novelty of the presented results are the author’s methodological developments: the system of indicators of the socio-economic development of the region in the digital environment and the regulatory assessment model. The practical significance of the research results lies in the possibility of applying the author’s assessment methodology for monitoring regional development strategies.The creation of integral statistical measures (models) for monitoring traditional and new factors of the region’s development will provide solutions to their quantitative assessment, allow clarify both the planning and implementation stages of the region’s shortcomings and problems, ensure the implementation of the principle of integrated socioeconomic development of the region, contribute to enhancing the consistency of the objectives of regional development strategies, it will allow diagnostics of the development of the digital economy and develop new strategic orientations at the regional level, which in turn will make it possible to develop organizational mechanisms for involving people in the region in resolving issues of territorial strategic development.

Part 2 Specific Issues of Arbitration in Brazil, 15 Post M&A Arbitration

2020 ◽  
Author(s):  
Ferro Marcelo Roberto ◽  
de Souza Antonio Pedro Garcia
Keyword(s):  
Mergers And Acquisitions ◽  
Information Asymmetry ◽  
Dispute Resolution ◽  
Common Law ◽  
Cross Border ◽  
Fertile Ground ◽  
Legal Regimes ◽  
Target Company ◽  
The Common

This chapter addresses post-mergers and acquisitions (M&A) arbitration. M&A transactions provide fertile ground for litigation. These complex transactions usually give rise to a significant level of information asymmetry between the parties regarding the target company. Buyer and seller harbour opposing interests concerning the sale value. Representations and warranties, as well as the allocation of risk among parties, although aimed at facilitating the closing of the transaction, also frequently create tension and give rise to dissonant expectations during the post-closing phase. Cross-border M&A transactions add even more layers of complexity given the different business cultures and legal regimes involved. Even though M&A deals have established standard global commercial practices, which follow the common law framework, they still raise a series of challenges for parties, stakeholders, and legal advisors, generating all types of post-closing disputes. Although there are several means of dispute resolution, M&A parties have reliably chosen arbitration as a method for resolving their disputes in Brazil. The chapter then looks at the issues that most frequently feature in the arbitration of international M&A disputes in Brazil.

scholarly journals Due Diligence Driving the Success of Mergers and Acquisitions in Macedonia

2016 ◽  
Vol 6 (2) ◽  
pp. 1
Author(s):  
Dushica Stevchevska Srbinoska
Keyword(s):  
European Union ◽  
Mergers And Acquisitions ◽  
Due Diligence ◽  
The European Union ◽  
Public And Private ◽  
Republic Of Macedonia ◽  
Communications Industry ◽  
Potential Risks ◽  
The Republic ◽  
Set Up

The act of due diligence is of vital importance when considering the possibility to enter the Macedonian market through merger and/or acquisition transactions. In this paper, I discuss that due diligence helps reduce potential risks or even results with curtailing the transaction as most of the Letters of intent never come to life. Many Macedonian entities, both public and private, operate in an environment considerably different to the European Union economies, a fact that inspires many questions with potential investors, especially in those who come from the European Union. If proper preparation takes place, and the expectations and processes are duly taken into account, successful merger and/or acquisition can be conducted in the Republic of Macedonia in spite of facing numerous difficulties.  Finally, I discuss that several suggestions/factors can maximize the chances of success, demonstrated with the example of due diligence process set-up prior to the one.Vip merger that marked the Macedonian communications industry in 2015.

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