ISSN:
0955-534X
Source:
Emerald Fulltext Archive Database 1994-2005
Topics:
Economics
Notes:
Cross-border mergers and acquisitions (M&As) are one way in which ECcompanies are meeting the challenge posed by the competitive threats ofthe Single European Market. Research in mergers has tended to look atthe theoretical and statistical aspects of merger strategies. There is alack of empirical data on the actual reasons that the companies have fortheir actions. The present study reports the results of the firstempirical investigation into how UK manufacturing firms view theirmerger strategies. A sample representing 70 per cent (34 companies) ofall M&A activity in UK manufacturing companies in 1991 responded to aquestionnaire on their respective M&As. The data presented include theirreasons and expectations, perceived barriers to Continental M&As, thealternative uses of capital considered and differences between small andlarge companies (〈 〉£500 million T/O). Also presents M&A preparation times,the significant correlation between merger size and time may be usefulin planning future M&As. Finally, discusses the comparison of thesecompanies' strategies with merger theory, e.g. as regarding synergies,whether these strategies are appropriate long-term strategies comparedwith alternatives or are a response to short-term pressures for growth.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1108/09555349410054141
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