A Turning Points Analysis of Cross-Border Merger and Acquisition Negotiations
- Yadvinder S. Rana, yrana@neglob.com(compose email, opens in email app.), Economics, Catholic University Milan, None
- Daniel Druckman Daniel Druckman ORCID profile. (opens in new tab) , dandruckman@yahoo.com(compose email, opens in email app.), George Mason University, Macquarie University, University of Queensland, None
- Jesus Canduela, Edinburgh Business School, Heriot-Watt University, Edinburgh, UK, None
Abstract
Despite the recent increase in Cross-Border Merger and Acquisition (CBMA) activity, research has repeatedly determined that over 70 percent of CBMAs fail to deliver the promised results, with evidence pointing to ineffective negotiation process management as one of the crucial factors explaining CBMA failure. We perform a turning points analysis of nine negotiations between automobile manufacturers. The findings indicate that negotiation outcomes are significantly influenced by substantive and strategic elements internal to the negotiation process. In addition, coalition building is shown to be a critical process leading to successful outcomes in the CBMA negotiations. Implications of the findings for negotiating practice are discussed, including how researcher-practitioner collaborations can be conducted.Keywords:
- coalition building
- internal precipitants
- merger and acquisition negotiations
- research-practitioner collaboration
- turning points
How to Cite:
Rana, Y. S., Druckman, D. & Canduela, J., (2022) “A Turning Points Analysis of Cross-Border Merger and Acquisition Negotiations”, Negotiation and Conflict Management Research 15(3). https://doi.org/10.34891/20220406-397 (external link, opens in new tab).
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Published on
6 April 2022
Peer Reviewed