Title: How beneficial are inward C-B M&A for European countries?

Authors: Rasto Ovin, Anita Macek

Addresses: Institute of Economic Diagnosis and Forecasting, Faculty of Economics and Business, University of Maribor, Razlagova ul. 20, 2000 Maribor, Slovenia. ' Dr. Ferk & Partner d.o.o., Management Consultants, Gregorciceva ul. 4, 2000 Maribor, Slovenia

Abstract: Based on the data obtained by experts in the field, the authors analyse inward Cross-Border Mergers and Acquisitions (C-B M&A) in European countries in 2004 and 2005. The authors questioned professionals at 91 European business schools dealing with the C-B M&A field. The questionnaire referred to positive effects and risks that inward C-B M&A are reportedly causing in European countries, as well as their treatment in the media and by economic policies. To enable a thorough insight into this process in Europe, the authors tested the differences between industrial European countries and the countries experiencing transition. As expected, the empirical analysis demonstrated differences in C-B M&A|s economic effects and treatment between the two groups of countries. However, responses| analysis also pointed to the fact that due to the changes they bring to important sectors of industrial economies, C-B M&A also have transitional impact in those countries.

Keywords: cross-border M&A; cross-border transactions; inward mergers; inward acquisitions; international capital flows; benefits; business schools; positive effects; risks; media treatment; economic policies; industrial economies; transitional impacts; transition countries; economic effects; Europe; international management.

DOI: 10.1504/EJIM.2010.034963

European Journal of International Management, 2010 Vol.4 No.5, pp.488 - 505

Published online: 31 Aug 2010 *

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