A glance at any business newspaper or business news web page will indicate that mergers and acquisitions are big business and are taking place all the time. Pdf a qualitative research of mergers in nonprofit sector. Effective employee communication and culture integration are most difficult to achieve but have maximum importance in merger success. The aggregate implications of mergers and acquisitions. Published in qualitative research in organizations and management, 2016, 11 3. Profitability analysis of mergers and acquisitions. Harvey university of ghana business school this study analyzes the impact of mergers and acquisition on performance of the acquiring firm using a ttest to test the difference between the average pre and postacquisition performance indicators. Try to determine its strengths and weaknesses see swot analysis and perform a financial valuation to determine the attractiveness of the potential target. Mergers and acquisitions with a reference to ethical, social and human resource. The premerger studies focus on events or activities that mainly takes place in the premerger phase. It is a well known fact that whenever there is a merger or an acquisition, there are bound to be lay offs. By deploying ratio analysis, kemal 2011 examined the post merger financial performance of.
This chapter is concerned with the issue of why researchers combine quantitative and qualitative research. Pdf the vast majority of people perceive mergers as being done by businesses to increasing the value of shareholders, strengthening. In a merger, the acquiring company assumes the assets and liabilities of the merged company. In this study i have chosen two largescale mergers, the merger of statoil and hydros oil and gas activities, and the failed attempt made by. Combine qualitative and quantitative data better evaluation. In the event when a new resulting company is efficient business wise, it would require less.
Underutilized qualitative methods in leadership studies 183 7 grounded theory, ethnography, and historiometry 185 grounded theory. Additionally, there is a large number of empirical studies focusing on measuring the gains and split from merger using eventstudy analysis of. Mergers and acquisitions with a reference to ethical. Mergers and acquisitions edinburgh business school ix preface an understanding of mergers and acquisitions as a discipline is increasingly important in modern business. Yet there is still relatively little direction on and much confusion about how to combine qualitative and. Think of a cone supplier merging with an ice cream maker. It gives sellers an opportunity to cash out or to share in the risk and reward of a newly formed business. I propose a categorization of such motives based on the residual. Qualitative research design a common feature of qualitative projects is that they aim to create understanding from data as the analysis proceeds. Evaluation and synthesis of studies using qualitative methods.
Applications of leadership studies combining qualitative methods and quantitative methods between mixed methods designs 170 summary 181 part iii. The results from studies with a qualitative method of analysis cannot be merged. The effect of mergers and acquisitions on the performance. The post merger studies are classified based on their main research perspective being strategic, human resource, or cultural angwin and vaara 2005. The current study examined the motivation to recognize. Differentiating the two terms, mergers is the combination of two companies to form one, while acquisitions is one company taken over by the other. The merger proposal from the bidder must be accepted by the board of directors of the target and then stockholders vote to approve or reject the bid. Mergers and acquisitions case studies and interviews. Merger and acquisition activity mergers, acquisitions, joint ventures, divestitures is at an alltime high. Two strategies for collecting qualitative and quantitative datasets are described, and processes by which they can be merged are presented in detail. Pdf quantitative assessment of organisational cultures. International association of business communicators iabc indicated that most. Most evaluations will collect both quantitative data numbers and qualitative data. The basics of mergers and acquisitions investopedia.
Willig department of justice merger analysis, industrial organization theory, and merger guidelines the leadership of the antitrust division of the u. Article pdf available in qualitative research in organizations and. Mergers and acquisitions edinburgh business school. The importance of mergers and acquisitions in todays. On top of that, some authors suggests that such combination is worthy of. As part of its due diligence investigation, a corporate. This study on an evaluation of this end uses deductive approach in which qualitative survey was conducted among the students of the business school is supposed to prospective employees.
The pre and postmerger studies cover activities in both the preand the postmerger phases. This means that the research design of a qualitative study differs from that of a study that starts with an understanding to be tested, where often the. Indepth case studies of 5 mergers from among the 25 cases. Journal of european research studies, volume xii, issue 2, pp.
An alternative approach for mergers and acquisitions. A merger, two firms coming together to form a single entity, has a different meaning than an acquisition, an asset bought or obtained, but is used as one abbreviation. International journal of economics, commerce and management, united kingdom licensed under creative common page 187. Mergers and acquisitions motives jrisy motis 1 toulouse school of economics ehess gremaq and university of crete jrissy. Merger analysis, industrial organization theory, and. Amit singh sisodiya edited 2005 mergers and acquisitions strategies and insights the icfai university press, hyderabad. Free access to this course is given to all premium subscribers if you dont know what commercial law is or what commercial lawyers do, its.
An outcomeoriented definition such as that proposed by nkwi et al. A statutory merger is one in which all the assets and liabilities of the smaller company is acquired by the bigger acquiring company. The paper reports, first, that the alternative goodwill is negatively associated with acquirers longterm returns, even after controlling for risk factors. You are technically calculating the npv of the company but this calculation likely is not going to be asked in the case interview. Mergers and acquisitions higher school of economics.
The postmerger studies are classified based on their main research perspective being strategic, human resource, or cultural angwin and vaara 2005. The effects of mergers and acquisitions on research and. Impact of mergers and acquisitions on workers or employees. Value creation through mergers and acquisitions a study.
For a business planning to make a deal, it can be intimidating. Marketextension mergertwo companies that sell the same products in different markets. This merger, closed in june 2018, would be the fourth largest deal ever attempted in the global telecom, media and entertainment space, according to thomson reuters data and the 12th largest deal in any. Johnson, mba, ca, cma, cbv, cpa, cfa campbell valuation partners limited overview financial statement analysis is fundamental to a corporate acquirers assessment of an acquisition or merger candidate. The pre merger studies focus on events or activities that mainly takes place in the pre merger phase. When those main sources are known, hopefully the identi cation process of. Sometimes, the term statutory merger is used to refer to this type of business transaction. The pre and post merger studies cover activities in both the preand the post merger phases. Actually, it is a broadly covered issue in the literature. Qualitative research, quantitative research, mixed methods, merged. Merger of smithkline beecham and glaxo wellcome, the two largest uk pharmaceutical companies is a good example in parallel with above definition, where smithkline beecham and. As a result, the smaller target company loses its existence as a separate entity.
Studies by mckinsey proved that management of the human side of the merger is the real key to maximizing the value of the deal. Strategy studies show this 1 thing can kill any merger or acquisition mergers and acquisitions have reached historically distressing levels of failure, with rates as high as 90 percent. There have been three merger waves in the 1960s with the multinational takeovers, in the. Strategic issues relating to corporate mergers and. The mergers can be classified as follows on the basis of forms of integration. Aftermath of mergers and acquisitions impact the employees or the workers the most. Although both quantitative and qualitative methods are frequently applied separately, the truth is that its combination is more and more common. Mixed methods, merged methods, integration, writing, analysis. Coates iv1 the core goal of corporate law and governance is to improve outcomes for participants in businesses organized as corporations, and for society, relative to what could be achieved. The effects of mergers and acquisitions on firm performance. Financial statement analysis in mergers and acquisitions howard e. Bibliography books mergers and acquisitions strategies and. Mergers and acquisitions case studies and interviews a guide for future lawyers.
Moreover, although the buying firm may be a considerably different organization after the merger, it retains. External expansion is also an option most of the organizations are resorting to in order to increase the size of their business. Profitability analysis of mergers and acquisitions mergers and acquisitions around the globe represent a huge reallocation of resources, within and across countries and therefore, it has been the interest of empirical studies for many years. The purpose of qualitative study, like was the case with the current study was to enhance deeper understanding of a situation castellan, 2010, in this case university of nairobis culture. This is why merger and acquisition firms step in to lead the buying and selling process. This is to be done by analyzing and mapping what the main sources of risk in businesses in the ictindustry are. Why the organizations sought to merge how the participants went about finding an appropriate partner how they conducted negotiations how they met the challenges that occurred along the way in order to achieve. Gaughan 3 defined a merger is a combination of two corporations in which only one corporation survives and the merged corporations goes out of existence. What is it that makes a nonprofit merger work well. Types, regulation, and patterns of practice john c. Merging qualitative and quantitative data in mixed methods research.
The role of mergers and acquisitions in firm performance. Vertical merger a customer and company or a supplier and company. The companies who form a merger are seldom completely equal to each other, and it is therefore argued that a merger also can be held as an acquisition humpal, 1971. Organization of mergers and acquisitions 2 4 6 16 12 4. After analyzing the target industry, understand the target company. Non nancial risk assessment in mergers, acquisitions and. R 2008 merger, acquisitions and corporate restructuring response books, business books from sage new delhi. Horizontal merger two companies that are in direct competition and share the same product lines and markets. Methods of funding the deals connected with mergers and acquisitions 2 2 4 16 8 total volume of hours 14 14 28 80 54 course content lecture 1. Thus, the entire focus on timing is driven by the enterprises strategic needs and a market and. Studies show this 1 thing can kill any merger or acquisition. How to combine qualitative and quantitative research. Overall the market expectation to a merger effect on changing firm performance is quite consistently related to what has actually happened to the firm after. Bryman 1992 identifies up to eleven ways of integrating both perspectives.
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