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International Conference on Management Science and Engineering Management

ICMSEM 2019: Proceedings of the Thirteenth International Conference on Management Science and Engineering Management pp 492–509Cite as

Do Firms Experience Enhanced Productivity After Cross-Border M&As?

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Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 1002))

Abstract

This paper used a dataset of 86 cross-border M&A cases by Chinese listed firms from 2007 to 2012 and matched them with 81 domestic M&A cases to examine the post M&A performances. First, Probit and Logistic estimation methods were used to analyze whether the Chinese listed firm M&A decisions (cross-border or domestic) affected productivity levels, after which FGLS and OLS estimations were conducted to estimate the productivity changes five years before and after the merger years. It was found that firms involved in cross-border M&As have higher productivity than the domestic M&A group. However, in contrast with the domestic M&A, there was no significant productivity enhancements after the cross-border M&As. Further investigations found that state-owned enterprises (SOEs) performed better than privately-owned enterprises after the mergers and that firms located in developed areas were more likely to experience significant productivity enhancements after the cross-border M&As.

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Acknowledgements

This paper is partially supported by The National Natural Science Foundation of China (No.61563044, 61762074); National Natural Science Foundation of Qinghai Province (2017-ZJ-902).

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Authors and Affiliations

  1. Business School of Sichuan University, Chengdu, 610065, People’s Republic of China

    Zihan Zhou & Dongmei He

  2. College of Computer Science of Sichuan University, Chengdu, People’s Republic of China

    Lei Zhang

Authors
  1. Zihan Zhou
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  2. Lei Zhang
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  3. Dongmei He
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Corresponding author

Correspondence to Dongmei He .

Editor information

Editors and Affiliations

  1. Business School, Sichuan University, Chengdu, China

    Jiuping Xu

  2. Department of Mathematics and Statistics, Brock University on McMaster, Hamilton, ON, Canada

    Syed Ejaz Ahmed

  3. Department of Management, Monash University, Melbourne, VIC, Australia

    Fang Lee Cooke

  4. Academy of Sciences of Moldova, Chisinau, Moldova

    Gheorghe Duca

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Zhou, Z., Zhang, L., He, D. (2020). Do Firms Experience Enhanced Productivity After Cross-Border M&As?. In: Xu, J., Ahmed, S., Cooke, F., Duca, G. (eds) Proceedings of the Thirteenth International Conference on Management Science and Engineering Management. ICMSEM 2019. Advances in Intelligent Systems and Computing, vol 1002. Springer, Cham. https://doi.org/10.1007/978-3-030-21255-1_38

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