Strategic Mergers Research Articles

South Korea’s Megacorp and super app: Kakao’s paths to market dominance

This paper traces Kakao’s corporate strategies—with a focus on conglomeration and valuation—in order to trace how the company’s trajectory led to its current status as a near-monopoly. Starting as a chat app which now has 43 million active users in South Korea, Kakao became a conglomerate by expanding its operations across different business sectors such as transportation, entertainment, fintech, etc. Kakao’s diversification of businesses and conglomeration should be understood in relation to its corporate strategies and forms, not as the natural outcome of technological innovation. Aspiring to become an entertainment conglomerate, not just a platform company, Kakao has expanded the scope of its business by acquiring start-ups and competitors, spinning off in-house startups as subsidiaries, and making strategic mergers between subsidiaries. Kakao has also placed greater focus on boosting valuation rather than profitability, a crucial strategy for leveraging high valuations to consolidate its market dominance. Tracing Kakao’s affinities to chaebol, I further propose a framework for thinking about the relationship between the state, tech, and finance. Collusion between the state and tech has occurred through deregulation, which has allowed tech companies to become financial capital.

An SEM-ANN analysis of the influence of strategic merger on strategic postchange of family businesses

Purpose Companies seek to increase the percentage of acquisitions in different parts of the world by expanding operations. Many companies are adopting strategic mergers to expand their influence. However, most strategic change programs fail to achieve their objectives. This study aims to investigate employees’ reactions after strategic mergers through the mediating role of the employees’ psychological context. It was necessary to identify the most prominent postmerger employees’ behaviors. The study addressed this gap by investigating the outcomes of strategic mergers. Design/methodology/approach Data for this study were collected from 30 family businesses. Accordingly, 341 questionnaires were collected with an overall response rate of 64%. The structural equation modeling (PLS-SEM) approach and the nonlinear relationships approach were adopted by implementing artificial neural network (ANN) analysis. Findings The results confirm that there is a clear impact of strategic mergers on employees’ postmerger behavior because of the change at the hierarchical level and the process of distributing roles. Employees’ psychological context (individual incentives, anxiety and individual mobbing) mediates the relationship between strategic mergers and postmerger employees’ behavior. In addition, individual incentives are considered the main contributor to retaining or not retaining employees in family businesses after strategic merger. Research limitations/implications Policymakers in organizations must pay attention to employees’ possible reactions to the internal and external policies of the organization by increasing individual incentives and reducing individual mobbing toward strategic merger. This study has theoretical implications that are critical guidelines for academics in mitigating the negative consequences for employees’ postmerger behavior. This study captured linear and nonlinear relationships to discover the determinants and antecedents of a strategic merger in family businesses. However, future studies should focus on using more robust statistical methods by adopting decision-making methods to determine the best and worst companies in terms of adopting strategic mergers. Originality/value The scarcity of literature on the most important determinants of postmerger employees’ behavior is considered an encouragement to conduct the current study. To this end, this study enriches the ongoing and future literature by examining the most important factors influencing the strategic merger of family businesses. Family businesses have changed the economic landscape of many countries. The investigation of the strategic merger of these companies is considered a worthy matter of study to improve the nation’s economy.

Foreign investment screening mechanisms and emergent geographies of (post)globalization

Technologically advanced states and large emerging economies increasingly use foreign investment screening mechanisms (FISM) to block inward foreign investment targeting sectors considered critical. Is the proliferation of FISM auguring an era of deglobalization, a re-assertion of national-state sovereignty over globalized economic ties, and the end of neoliberal orthodoxies of liberalized investment regimes? To answer these questions, the article draws upon geographic political economy and legal geographies. It argues that the multiplication of FISM is a response to a strategic context defined by three macrogeographic trends: (1) contemporary industrial restructuring and the salience of intellectual property-based monopolies; (2) a historic episode of centralization of capital driven by strategic mergers and acquisitions; and (3) evolving landscapes of state capitalism under conditions of intensified geoeconomic competition. Although FISM reproduce the fiction of state power as expressing the will of the sovereign nation to defend itself against foreign interference, market distortion, and technology theft, they consist of legally enshrining state authority to support national champions, and making sure they engage favorably with competitive dynamics of capital centralization, notably by conserving their monopoly over key intangible assets and strategic resources. FISM are best seen as tools that explicitly mobilize state power and coercion to aggressively (re)negotiate globalization.

A Comprehensive Study on Post-Merger of VI and its Implications on the Telecom Industry

Abstract: This paper conducts a thorough analysis of the post-merger scenario between Vodafone India and Idea Limited, now collectively known as Vodafone Idea Limited (VIL). The study examines various financial ratios to evaluate the implications of the merger on the telecom industry. The findings suggest that despite the strategic merger, the financial performance of VIL has deteriorated, as evidenced by a decline in key financial ratios compared to the pre-merger period. This research sheds light on the challenges faced by telecom companies in mergers and acquisitions and underscores the importance of strategic planning and execution in such endeavours.

Merger and Acquistion in India Banking System

The landscape of the Indian banking sector has undergone significant transformations over the past few decades, with mergers and acquisitions (M&A) playing a pivotal role in its evolution. This trend has been primarily driven by the need for stronger and more resilient banking institutions capable of supporting India's burgeoning economic growth and expanding global footprint. The Indian government, along with the Reserve Bank of India (RBI), has actively encouraged consolidation in the banking sector to enhance operational efficiency, achieve economies of scale, and improve risk management practices. The rationale behind the push for M&A in the Indian banking system includes addressing the issue of non-performing assets (NPAs), which has plagued many banks; increasing competitive advantage in both domestic and international markets; and fostering the development of banks that can be classified as global or regional champions. Moreover, the digital transformation in the banking industry and the emergence of fintech companies have further necessitated traditional banks to reassess their business models and market positions, often leading to strategic mergers or acquisitions. This paper examines the impact of M&A on the Indian banking system, highlighting key transactions that have reshaped the industry landscape. It delves into the regulatory framework governing M&A in banking, evaluates the successes and challenges post-merger or acquisition, and discusses the implications for stakeholders, including implications for market competition, customer service, and employee welfare. The analysis also explores how M&A activities align with broader economic reforms and financial inclusion goals in India.

A Study on Indigo Airlines in India – Managing Mergers with Others

This study delves into the dynamics of mergers within the context of Indigo Airlines, a prominent player in the Indian aviation industry. In recent years, Indigo Airlines has been actively involved in strategic mergers aimed at expanding its market share and enhancing operational efficiency. Through an analysis of primary and secondary data sources, this research investigates the strategies employed by Indigo Airlines to manage mergers with other entities. The study explores the motivations driving Indigo Airlines towards mergers, examining factors such as market expansion, fleet enhancement, route optimization, and competitive positioning. Additionally, it scrutinizes the challenges inherent in merging with other airlines, including regulatory hurdles, cultural integration, operational harmonization, and stakeholder management. Furthermore, the research evaluates the impact of mergers on Indigo Airlines’ financial performance, customer satisfaction, and market competitiveness.

Analyzing the impact of mergers on stock prices in the banking sector: An implication for strategic merger planning and stakeholder communication

This research delves into the intricate effects of mergers and acquisitions (M&A) on stock prices within the Saudi Arabian banking sector, employing the event study methodology (ESM) to examine both short-term and long-term impacts on stock valuations. The study meticulously calculates expected and abnormal returns (ARs) around merger events, shedding light on the significant influence these corporate actions exert on market perceptions and investor behavior. The methodology encompasses an analysis of daily stock price data before and after merger events, providing a detailed view of market reactions. Key findings reveal an immediate positive market response to merger announcements, driven by the anticipation of synergistic benefits, alongside diverse long-term stock price effects that underscore the complex relationship between initial expectations and actual merger outcomes. The research concludes that strategic merger planning and effective communication with stakeholders are crucial for realizing the anticipated benefits of mergers. By offering new insights into the sector-specific and regional dynamics that affect M&A outcomes, this study enhances understanding of the significant implications for investors, financial institutions, and policymakers engaged with the Middle Eastern financial markets.

The Marketing Strategies of Disney

This article explores why the future prospects of Disney Company are good. This paper analyzes this problem from various aspects, such as marketing strategy, SWOT, financial analysis, and Disney Company's products. The Disney Company has demonstrated a strong future in the ever-changing entertainment and media industry. With the successful launch of Disney+, Disney has taken a critical step in digital media and is actively involved in content creation, production, and global market expansion. The company's strategic mergers and acquisitions, such as the acquisition of 21st Century Fox Media and Lucasfilm, have not only expanded its content library but also enhanced its international market share. After the analysis of the strategies of the Disney company, the paper concluded several strengths and weaknesses of the strategies and gave some suggestions for the Disney company in the future. The suggestions are about the short term and the long term, which may be applied by the Disney company.

Motivation, Business Ecosystem and Driving Synergies: The Strategic Merger of Dianping and Meituan

The landscape of the Chinese service business has been drastically altered by the combination of Dianping and Meituan. This study investigates the research background, substance, goal, importance, and policy suggestions while exploring the key results and fundamental concepts associated with this merger. The background research focuses on the dynamics of competition and the reasons for the merger in the Chinese service sector. The research looks at how the merger will affect consumer satisfaction, service diversity, and market share. It also looks at how combining resources and knowledge may improve both operational effectiveness and competitiveness. The goal of the research is to make legislative suggestions to maximize the benefits of the merger while also delivering insights for investors and business executives. These suggestions place a strong emphasis on the value of innovation, customer-focused tactics, and fair competition. The research also recommends that investors keep a careful eye on market movements and adjust their strategy as necessary.

A Prediction Hybrid Framework for Air Quality Integrated with W-BiLSTM(PSO)-GRU and XGBoost Methods

Air quality issues are critical to daily life and public health. However, air quality data are characterized by complexity and nonlinearity due to multiple factors. Coupled with the exponentially growing data volume, this provides both opportunities and challenges for utilizing deep learning techniques to reveal complex relationships in massive knowledge from multiple sources for correct air quality prediction. This paper proposes a prediction hybrid framework for air quality integrated with W-BiLSTM(PSO)-GRU and XGBoost methods. Exploiting the potential of wavelet decomposition and PSO parameter optimization, the prediction accuracy, stability and robustness was improved. The results indicate that the R2 values of PM2.5, PM10, SO2, CO, NO2, and O3 predictions exceeded 0.94, and the MAE and RMSE values were lower than 0.02 and 0.03, respectively. By integrating the state-of-the-art XGBoost algorithm, meteorological data from neighboring monitoring stations were taken into account to predict air quality trends, resulting in a wider range of forecasts. This strategic merger not only enhanced the prediction accuracy, but also effectively solved the problem of sudden interruption of monitoring. Rigorous analysis and careful experiments showed that the proposed method is effective and has high application value in air quality prediction, building a solid framework for informed decision-making and sustainable development policy formulation.

Corporate Merger between Volkswagen and Porsche

Abstract: Volkswagen and Porsche are two firms that are well recognized and established in the automotive industry. Based in Germany, both companies were founded by Ferdinand Porsche in the 1930s and have remained in the Porsche and Piech families to date. There has been contention and rivalry, some fuelled by family differences between the two firms, in 2005, Porsche, the smaller of the two, began a takeover bud that included buying Volkswagen stock. This plan might have worked had Porsche fallen into financial constraint. Volkswagen had to step in with a merger proposal which Porsche fought off fiercely but finally had to give in to because it would mean an infusion of much needed cash into the latter firms fried up coffers. The merger between the two companies, which hit a couple of snags, was finally ironed out in late 2009. This assignment depicts the strategic merger between Porsche and Volkswagen and the factors that caused these two different car companies to come together. One of the main reasons why these companies merged because of Porsche’s engineering expertise which was highly valued by other auto manufacturers in the industry.

Internationalization of education in China - pedagogical analysis of historical development and political context

The article concerns the development of internationalization of higher education in China. The paper describes the historical development of higher education and the development of internationalization of higher education, recalling the most important facts. The author points out that the first forms of internationalization took the form of student and scientific international exchanges, and over time, along with the introduction of the country's economic development strategy, the country focus on creating strategic mergers, alliances and international cooperation, which are regulated directly by the PRC (e.g. OBOR) or are transnational (e.g. BRICS), where the Chinese state plays one of the main role. The article is based on the analysis of existing research by Chinese researchers, where the analytical perspective of a researcher from a different culture, participating in the process of internationalization of higher education in the world, is presented.

Direct Light-Enabled Access to α-Boryl Radicals: Application in the Stereodivergent Synthesis of Allyl Boronic Esters.

Operationally simple strategies to assemble boron containing organic frameworks are highly enabling in organic synthesis. While conventional retrosynthetic logic has engendered many platforms focusing on the direct formation of C-B bonds, α-boryl radicals have recently reemerged as versatile open-shell alternatives to access organoborons via adjacent C-C bond formation. Direct light-enabled α-activation is currently contingent on photo- or transition metal-catalysis activation to efficiently generate radical species. Here, we disclose a facile activation of α-halo boronic esters using only visible light and a simple Lewis base to enable homolytic scission. Intermolecular addition to styrenes facilitates the rapid construction of highly versatile E-allylic boronic esters. The simplicity of activation permits the strategic merger of this construct with selective energy transfer catalysis to enable the complimentary stereodivergent synthesis of Z-allylic boronic esters.

Direct Light‐Enabled Access to α‐Boryl Radicals: Application in the Stereodivergent Synthesis of Allyl Boronic Esters**

AbstractOperationally simple strategies to assemble boron containing organic frameworks are highly enabling in organic synthesis. While conventional retrosynthetic logic has engendered many platforms focusing on the direct formation of C−B bonds, α‐boryl radicals have recently reemerged as versatile open‐shell alternatives to access organoborons via adjacent C−C bond formation. Direct light‐enabled α‐activation is currently contingent on photo‐ or transition metal‐catalysis activation to efficiently generate radical species. Here, we disclose a facile activation of α‐halo boronic esters using only visible light and a simple Lewis base to enable homolytic scission. Intermolecular addition to styrenes facilitates the rapid construction of highly versatileE‐allylic boronic esters. The simplicity of activation permits the strategic merger of this construct with selective energy transfer catalysis to enable the complimentary stereodivergent synthesis ofZ‐allylic boronic esters.

Era of growth by Strategic Merger and Acquisition; A study of Banking sector

Era of growth by Strategic Merger and Acquisition; A study of Banking sector

Era of growth by Strategic Merger and Acquisition; A study of Banking sector

Era of growth by Strategic Merger and Acquisition; A study of Banking sector

Proton gradients from light-harvesting E. coli control DNA assemblies for synthetic cells

Bottom-up and top-down approaches to synthetic biology each employ distinct methodologies with the common aim to harness living systems. Here, we realize a strategic merger of both approaches to convert light into proton gradients for the actuation of synthetic cellular systems. We genetically engineer E. coli to overexpress the light-driven inward-directed proton pump xenorhodopsin and encapsulate them in artificial cell-sized compartments. Exposing the compartments to light-dark cycles, we reversibly switch the pH by almost one pH unit and employ these pH gradients to trigger the attachment of DNA structures to the compartment periphery. For this purpose, a DNA triplex motif serves as a nanomechanical switch responding to the pH-trigger of the E. coli. When DNA origami plates are modified with the pH-sensitive triplex motif, the proton-pumping E. coli can trigger their attachment to giant unilamellar lipid vesicles (GUVs) upon illumination. A DNA cortex is formed upon DNA origami polymerization, which sculpts and deforms the GUVs. We foresee that the combination of bottom-up and top down approaches is an efficient way to engineer synthetic cells.

ASSESSMENT OF MODERN FEATURES OF THE ORGANIZATION

In modern conditions, there is a need to rethink the behavior and parameters of the organization. A business organization operating in uncertain and unpredictable conditions must be flexible in responding to new challenges. This is achieved through new ways to achieve market advantages such as strategic alliances, mergers and acquisitions, franchise and licensing agreements, etc. This article is devoted to the study of these possibilities.

Strategic Mergers and Acquisitions in Higher Education: A Case Study from the UK

A recent trend for higher education in the UK sees increased collaboration and partnerships between technical colleges and universities. This represents a significant step in the redesign of the educational landscape that aims to synergise the industry advantages of colleges with the academic strengths of universities. The initial research fort this paper consists in investigations into technical college mergers with universities and university acquisitions of the period 2018-2020, along with an analysis of the advice and guidance circulated by the Association of Colleges (AoC) since April 2016. A case study has then been chosen to illustrate the main features of such merges across higher education. SWOT, PESTLE and Porter’s Five Forces analyses of a merger case study are followed by stakeholder analysis of the Board and Trustees, the companies that are closely or remotely linked to the success of the trust and the links that exist between the various players in this emerging network of educational institutions and organisations. The paper examines published financial statements from Coventry University, analysing the economic and other effects of the mergers. This paper focuses on Better Futures Multi Academy Trust (BFMAT), a collective of sixth form colleges now part of Coventry University Group (CUG). The work examines the Trust institutions and the effects the mergers have had on strategic business development, analysing BFMAT colleges pre- and post- merger, utilising CATWOE and Balanced Scorecard analyses. Some of the benefits noted so far are the increase of the sphere of influence of CUG, a broader recruitment pool, with greater diversity and inclusivity potential, which leads to a better fit with Government policies, market trends and industry demand. Given current data made available by the institutions, the paper presents a range of recommendations for future development and concludes that overall performance is positive, and the alliance represents a good example of a valuable merge. Keywords: strategic business development, education business DOI: 10.7176/EJBM/12-33-01 Publication date: November 30 th 2020

Predictability and strategic behavior under frontier regulation

Frontier-based yardsticks, as applied in European energy network regulation, are not immune to strategic behavior. Under yardstick regulation, the regulator gauges the operator against a cost target set by the other firms in the sector. Many regulators have implemented frontier-based yardsticks where the cost function is defined by the most efficient firms (peers). This paper demonstrates that when it is possible to predict peers in advance, firms can manipulate the frontier to their advantage. We single out horizontal mergers as a plausible means to achieve such strategic objectives and develop a measure to identify strategic mergers ex ante. Using data from the electricity distribution sector in Norway that is subject to stable frontier-based regulation allows us to identify firm behavior that is consistent with our predictions. The paper contributes to the modern yardstick literature as existing evidence of strategic behavior in related regulatory settings is either based on anonymized questionnaire responses from regulatory authorities or relies on simulations using unidentified firms that are not actually exposed to such benchmarking in practice. The paper concludes by discussing policy implications.