skip to main content

Merger and Acquisition Integration Model: A Practical Approach

*Suwinto Johan orcid scopus publons  -  President University, Indonesia
Open Access Copyright 2021 JURNAL BISNIS STRATEGI

Citation Format:
Abstract
This research aims to guide the merger and acquisition process for business practitioners in Asia. The research uses qualitative, descriptive analysis, and inductive approaches. This research is based on the samples of 20 transactions that have been performed in the last 25 years. The transactions involve companies from Indonesia, Malaysia, United States, United Kingdom, Japan, and Canada. The study proposes a merger and acquisition model with seven steps: determining the strategy, searching for the target, reviewing the target, confirmation and negotiation, transaction, and integrating into a business. The result of this study contributes to a new model of merger acquisition integration. The model will show the integration process in the financial services industry in South East Asia. The results support previous studies. The acquisition and integration model will assist the company's management in South East Asian countries to manage the merger integration process, especially in the financial industry. This research provides an integration model according to transactions in Asia in the financial service industry.
Fulltext View|Download
Keywords: Merger and Acquisition Model; Synergy; Merger; Acquisition Integration

Article Metrics:

  1. Adra S. and L.G. Barbopoulos. (2017). The Valuation Effects of Investor Attention in Stock-Financed Acquisitions. Journal of Empirical Finance 45: 108-125
  2. Ahammad, M.F., S.Y. Tarba, Y. Liu, and K.W. Glaister. (2016). Knowledge Transfer and Cross Border Acquisition Performance: The Impact of Cultural Distance and Employee Retention. International Business Review 25(1): 66-75
  3. Alalaya, M.M. and J. Alfarajat. (2018). Post Merger-Acquisition Integration (Theoretical Approach and Applied) For Jordan Companies. International Journal of Business and Social Science 9(6)
  4. Ashkenas, R., L. DeMonaco, and S. Francis. (1998). Making the Deal Real: How GE Capital Integrates Acquisitions. Harvard Business Review: 1-14
  5. Bauer F., D. King, and K. Matzler. (2016). Speed of Acquisition Integration: Separating the Role of Human and Task Integration 32: 150-165
  6. Brueller N.N., A. Carmeli, and G.D. Markman. (2016). Linking Merger and Acquisitions Strategies to Post-Merger Integration: A Configurational Perspective of Human Resource Management. Journal of Management. XX (X)
  7. Dierks, R.M.L, O. Bruyere, and J.Y. Reginster. (2018). Critical analysis of Valuation and Strategical Orientation of Merger and Acquisition Deals in the Pharmaceutical Industry. Expert Review of Pharmacoeconomics & Outcomes Research http://doi.org/10.1080/14737167.2018.1417040
  8. Dyer, J.H., P. Kale, and H. Singh. (2004). When to Ally and When to Acquire, Harvard Business Review 1-9
  9. Fisher, W., and R.I.D. Pooe. (2019). Organizational Citizenship and the Morning After – A Case of an Acquisition of a Local Hotel Chain by a Global Brand. African Journal of Hospitality, Tourism and Leisure 8(3): 1-19
  10. Graebner M.E., Heimeriks K.H., and Huy Q.N. (2014). The Process of Post-Merger Integration: A Review and Agenda for Future Research. Acadamy of Management Annals 11(1): 1-32
  11. Greve, H.R., and C.M. Zhang. (2017) Institutional Logics and Power Sources: Merger and Acquisitions Decisions. Academy of Management Journal 60(2):671-694 https://doi.org/10.5465/amj.2015.0698
  12. Han, B.S., E.K. Park, T.K. Kang. (2016). Determinants of Global Merger and Acquisitions (M&A) Deals Completion: Focus on the Role of the Firms' M&A Experience. Journal of International Trade & Commerce 12(3): 23-44. http://dx.doi.org/10.16980/jitc.12.3.201606.23
  13. Hassan, I., A. Chidlow, A.M. Romero-Martinez. (2016). Selection, Valuation and Performance Assessment: Are These Truly Inter-Linked Within the M&A Transaction? International Business Review 25: 255-266
  14. Huang, Z., Z. Huang, and D.J. Brass. (2016). Cross-Border Acquisitions and The Asymmetric Effect of Power Distance Value Difference on Long-Term Post-Acquisition Performance. Strategic Management Journal. Doi: 10.1002/smj.2530
  15. Johan, S. (2011). Implementasi Strategi Bisnis dan Korporasi Melalui Merger dan Akuisisi
  16. Ultima Management: Jurnal Ilmu Management 3 (1): 71-84
  17. Johan, S. (2018). Merger, Akuisisi, dan Restrukturisasi. IPB Press. Bogor
  18. P. Junni, R. Sarala, S. Tarba, and Y. Weber. (2015). The Role of Strategic Agility in Acquisitions. British Journal of Management 26(4): 596-616
  19. Koi-Akrofi, G.Y. .(2016). Mergers and Acquisitions Failure Rates and Perspective on Why They Fail. International Journal of Innovation and Applied Studies 17(1): 150-158
  20. Kucukkocaoglu, G., and M.A. Bozkurt. (2018). Identifying The Effects of Merger and Acquisitions on Turkish Banks' Performance. Asian Journal of Economic Modeling 6(3): 235-244
  21. Lewis, A., and D. McKone. (2016). So Many M&A Deals Fail Because Companies Overlook This Simple Strategy. Harvard Business Review
  22. Lin L.H., Y.L. Hob, and W.H. Lin. (2015). Post-Acquisition Performance: Contingency of Acquisition Strategy. Procedia - Social And Behavioral Sciences 207: 59-69
  23. Mortal, S and M.J. Schill. (2015). The Post-Acquisition Returns of Stock Deals: Evidence of the Pervasiveness of the Asset Growth Effect. Journal of Financial and Quantitative Analysis 50 (3): 477-507
  24. Popli, M., M. Akbar, V. Kumas, and A. Gaur. (2015). Reconceptualizing Cultural Distance: The Role of Cultural Experience Reserve in Cross-Border Acquisitions. Journal of World Business
  25. Reddy, K.S. (2015). The State of Case Study Approach in Mergers and Acquisitions Literature: A Bibliometric Analysis. Future Business Journal 1: 13-34
  26. Sarala, R.M., P. Junni, C.L. Cooper, and S.Y. Tarba. (2016). A Sociocultural Perspective on Knowledge Transfer in Mergers and Acquisitions. Journal of Management 42(5): 1230-1249
  27. Spacek, M. (2016). Post-Acquisition Integration As A Critical Success Factor To Effective M&A. The 10th International Days of Statistics and Economics, Prague
  28. Vulanovic, M. (2016) SPACs: Post-merger survival, ZBW – Deutsche Zentralbibliothek fur Wirtschaftswissenschaften, Leibniz-InformationszentrumWirtschaft, Kielund Hamburg. http://hdl.handle.net/10419/148304
  29. Zhu H., J. Xia, and M. Shige. (2015). How Do High Technology Firms Create Value in International M&A? Integration, Autonomy and Cross Border Contingencies. Journal of World Business

Last update:

No citation recorded.

Last update: 2024-12-26 17:06:48

No citation recorded.