The Cross‐Border Merger and Acquisition Strategy: A Research Perspective

Abstract

Cross‐border mergers and acquisitions present significant opportunities for firms wishing to diversify their activities geographically, learn new knowledge, and gain access to valuable resources. Cross‐border mergers and acquisitions present multiple challenges as well. These include the difficulty of evaluating target firms, cultural and institutional differences, and the liabilities of foreignness among others. We compare acquisitions to enter new markets with other market entry mechanisms (strategic alliances and greenfield ventures), and conclude with suggestions for future research to advance our knowledge of this strategy of increasing importance globally.

Citation

Hitt, M.A. and Pisano, V. (2003), "The Cross‐Border Merger and Acquisition Strategy: A Research Perspective", Management Research, Vol. 1 No. 2, pp. 133-144. https://doi.org/10.1108/15365430380000522