Cross Border Mergers And Acquisitions

“I did not know then how much was ended. When I look back now from this high hill of my old age, I can still see the butchered women and children lying heaped and scattered all along the crooked gulch as plain as when I saw them with eyes young.” These are the words of Black Elk, the medicine man of the Oglala Lakota, the tribe that was attacked by Wounded Knee Creek. The massacre included the killing of civilians, including women and children, by the Seventh Cavalry Regiment.

Throughout the study of this unit, I have enhanced my understanding of discrimination and stereotyping in society. I am able to recognise how assumptions of people can affect how society functions, how individuals are affected by other’s perceptions and how these themes can be identified in today’s society.

enter into another country. When a company is looking to enter in these different countries the

Another type of acquisition is a reverse merger, a deal that enables a private company to get publicly-listed in a relatively short time period. A reverse merger occurs when a private company that has strong prospects and is eager to raise financing buys a publicly-listed shell company, usually one with no business and limited assets. The private company reverse merges into the public company, and together they become an entirely new public corporation with tradable shares. Regardless of their category or structure, all mergers and acquisitions have one common goal: they are all meant to create synergy that makes the value of the combined companies greater than the sum of the two parts. The success of a merger or acquisition depends on whether this synergy is achieved.

Cross-border M&A studies on financial institutions are rare and inconclusive, possibly due to the unavailability of data and to sample differences. There is as yet no paper examining foreign financial institution M&As in one emerging market. This paper

* For the corporation that has acquired another company, merged with another company, or been acquired by another company, evaluate the strategy that led to the merger or acquisition to determine whether or not this merger or acquisition was a wise choice. Justify your opinion.

When one has a headache or is in pain, he or she takes a pill or two and then that’s it, the pain is gone, and everything is fine, right? Not necessarily. A lot of adults do not follow or know the recommended dosage for OTC (Over The Counter) pain medications. This is a serious issue because overdosing on these painkillers can have very detrimental affects on the body. According to a pharmacist of the Nonprescription Drugs Advisory Committee at the U.S. Food and Drug Administration, 50% of patients do not take the amount of medicine they are directed (Engle). The number of accidental adult overdose on OTC pain medication, such as TYLENOL®, Mucinex®, and Nyquil®, has sharply risen in recent years with a 27% increase in the amount of overdoses from the period of 2005-2010 alone (Gerth

Mergers and Acquisitions (M&A) is a precise significant strategic interchange to sustain in competitiveness within the global market and it turns out to be one of a popular tools for corporate-level strategy. M&A is the amalgamation of two corporate entities to convert into solitary legitimate entity by combining resources and capabilities in order to attain a competitive advantage. Merger typically means reunion two particular companies together on equivalent basic whereas acquisition ordinarily means a greater sized corporation procuring a smaller sized corporation. The M&A activity has been continuously increased over the last 100 years and this phenomena is described by several M&A ‘waves’ (refer to Table 1).

This level of activity was never seen in Indian corporate sector. InfoTech, Banking , media , pharma, cement , power are the sectors, which are more active in mergers and acquisitions.

Acquisitions have been the major business strategy employed by Indian MNCs to expand and capture the markets. The International acquisitions help Indian companies by:

Additionally, through acquisition, enterprise can be benefited with reduced industry rivalry and increased market power to bargain down the input price over suppliers and raise up the selling price to buyers. In contrast, there are challenges associated with acquisition. The biggest challenge in the international acquisition is how to deal with inter-culture difference. Overestimating the economic benefits also contributes to the failure to increase profitability.

Since 2000, the number of transnational mergers and acquisitions (M&A) is increasing not only for Chinese enterprises but slao for the international market as well. However the overall result of transnational M&A is not satisfactory. Analysis the international market, about 61% of mergers and acquisition in faliure (Mendenhal, 2005). Identically, more than 70% China companies were failed due to culture shock when they taken the process of merger, such as TCL, SAIC (Shanghai Automotive Industry Corporation) and others enterprises (Wang, 2010). It has been indicated (Wang, 2010) that the

The United States’ market for mergers and acquisitions formally began at the dawn of the 20th century, when industry began to evolve and capital needed to be more efficiently allocated. Economic historians and academics alike have concluded that the market advanced to its current stage through a series of cycles, the first of which began in the early 1900s, that occurred due to technological advances, disproportionate cash flows, and capital displacements. As the economy developed, the market for mergers grew and became more convoluted due to growing consumer bases in virtually all industries and a need for more efficient markets and lower costs.

The list of M&As analysed in this study were extracted from two databases: Bloomberg L.P and Zephyr. The reason for choosing these two sources were the fact that they were the only relevant databases that the researcher had access to. Having two databases gives a more round scope of M&A transactions and the share prices were extracted from Bloomberg L.P as Zephyr do not have any share price information. The criteria of the sample are as follows: the M&A deal was announced between 01/01/2003 and 31/12/2014, the deal to be completed, the acquiring country should be one of the GCC members (Saudi Arabia, Qatar, United Arab Emirates, Kuwait, bahrain, Oman) and finally the acquirer must be a listed company in its country’s stock exchange.

Mergers and acquisitions represent the ultimate in change for a business. No other event is more difficult, difficult, or chaotic as a merger and acquisition. According to oxford, the term "merger" means "the combination of two commercial companies into one." the term "acquisition" refers to the acquisition of assets by a company from another company. In an acquisition, the both companies may continue to exist. The acquiring company will remain in business and the acquired business will be integrated into the acquiring company and therefore, the acquired company ceases to exist after the merger. Technology transfer to developing perspectives of multiple challenges any business. The prospects include access to new markets that were previously closed because of the cost, regulatory or indirect obstacles, the ability to beat resources such as capital, knowledge and work. Challenges come from foreign competitors entering domestic markets businesses, as well as domestic competitors reduce costs through global sourcing in offshore production moving or saving money expansion in scale in new markets. Globalization challenges the businesses to become more streamlined and efficient, while simultaneously extending the geographical scope of their activities [kraemer et al., 2002]. The transition to faster growth and elimination of the position of the third largest economy, the indian