Acquisitions and Corporate Strategy: Alliances, Performance, and Divestment

Corporate restructuring through acquisitions, alliances, and divestments is a visible form of corporate strategy, but research on average acquisition performance is limited. This book explores how acquisitions relate to other corporate strategy options, predict acquisition performance, and identify persistent acquisition research issues. It aims to illustrate promising areas for future research in strategic management, international business, and organizational studies.

Format: Hardback
Length: 260 pages
Publication date: 19 April 2022
Publisher: Taylor & Francis Ltd

Corporate restructuring, encompassing acquisitions, alliances, and divestments, serves as a prominent manifestation of corporate strategy. Notably, firms engage in substantial asset purchases, often surpassing the gross domestic product (GDP) of numerous nations. While much research has focused on acquisitions, the practical application of this knowledge is limited by examining acquisitions in isolation or with a narrow perspective. A persistent challenge arises from the average acquisition performance consistently hovering around zero, indicating the need to identify meaningful relationships that can inform practice.

To address this gap, this book delves into three fundamental questions:

1. How do acquisitions align with other corporate strategy options, such as internal development, alliances, and divestments?
2. What factors contribute to predicting the performance of acquisitions?
3. What are the enduring research issues in the field of acquisition research?

The first question seeks to overcome a research limitation by examining acquisitions in the context of other corporate strategies. This broader perspective aims to shed light on the interrelationships and synergies between acquisitions and other strategic choices. The second question explores novel relationships associated with the primary focus of acquisition research, which centers on understanding what drives acquisition performance. By investigating factors such as market conditions, management capabilities, and cultural fit, researchers aim to uncover new insights into the factors that influence acquisition success. The third question reflects on the inherent complexity of the acquisition phenomenon, making it challenging to identify the precise drivers of performance. This question encourages researchers to explore new approaches, methodologies, and data sources to unravel the intricacies of acquisition behavior and inform practice.

Overall, the purpose of presenting these fundamental questions is to highlight promising areas for future research in the fields of strategic management, international business, and organizational studies. This book provides a comprehensive and up-to-date examination of the topic, appealing to researchers, academics, and advanced students seeking to expand their knowledge and understanding of corporate restructuring and acquisition strategies.

Dimension: 229 x 152 (mm)
ISBN-13: 9781032036366