The phenomenon of merger and acquisition within the automotive industry
"Alexandru Ioan Cuza" University, Iaşi, Romania
PROCEEDINGS of
North International Conference of Economics,
Issue 1 / 2016,
pp.215-222
ISSN 2537-317X
ABSTRACT
M&A is a way to survive and succeed in a competitive global environment as a consequence of
new political, monetary and regulatory issues. The complex phenomenon that M&As represent
has received consistent attention from the research community over the last 30 years. Large
scaled M&As between automotive manufacturers, like the Daimler-Chrysler merger, the
alliance between Renault and Nissan and the acquisition of Volvo by Ford, have attracted
significant attention in the last decades. However, apart from this considerable interest, the
findings on the general performance of automotive M&As are inconsistent and contradictory.
This paper is focused on some critical success factors in automotive M&As like the connection
between pre-acquisition and post-acquisition processes, turnover of key people etc. The
phenomenon of merger and acquisition within the automotive industry needs further research
and discussions due to the fact that some strategic alliances and M&A proved to be successful
(e.g. Skoda - Volkswagen) and others not (e.g. Rover - BMW).
Keywords: mergers and acquisitions (M&As), M&A performance, automotive industry
