Postacquisition Management and Performance of Cross-Border Acquisitions

Abstract

This study investigates the impact of the postacquisition management process on the performance of cross-border acquisitions (CBAs) using data from a sample of CBAs made by U.K. firms. We find that knowledge transfer to and from the acquired firm is a significant positive determinant of CBA performance. The findings also indicate that the level of integration positively influences CBA performance. There is limited support for the view that employee retention positively influences CBA performance. There is also limited support for the view that organizational cultural differences negatively influence CBA performance.