THE PERFORMANCE IMPACT OF STRATEGIC SIMILARITY IN HORIZONTAL MERGERS - EVIDENCE FROM THE US BANKING INDUSTRY

Authors
RAMASWAMY K
Citation
K. Ramaswamy, THE PERFORMANCE IMPACT OF STRATEGIC SIMILARITY IN HORIZONTAL MERGERS - EVIDENCE FROM THE US BANKING INDUSTRY, Academy of Management journal, 40(3), 1997, pp. 697-715
Citations number
49
Categorie Soggetti
Management,Business
Journal title
Academy of Management journal → ACNP
ISSN journal
00014273
Volume
40
Issue
3
Year of publication
1997
Pages
697 - 715
Database
ISI
SICI code
0001-4273(1997)40:3<697:TPIOSS>2.0.ZU;2-C
Abstract
This study examined the impact of strategic similarities between targe t and bidder firms on changes in postmerger performance. Set in the U. S. banking industry, the empirical examination shows that mergers betw een banks exhibiting similar strategic characteristics result in bette r performance than those involving strategically dissimilar banks.