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Measuring Performance of Japanese Outbound Acquisitions

Determining the Success or Failure of 116 Outbound Acquisitions
  • Shigeru Matsumoto
Chapter

Abstract

In this chapter, Matsumoto examines 116 cases of Japanese outbound acquisitions. He determines that of these, only 9 can be conclusively judged successful, and 51 were failures. Matsumoto outlines three basic criteria for determining whether an overseas M&A is a success: the acquiring company’s survival, continuous ownership of the acquired firm, and a growth in firm profits. The author emphasizes that one must look at long-term, sustained profit growth rather than the immediate impact of the acquisition on share price to determine whether the acquisition was successful.

References

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  • Shigeru Matsumoto
    • 1
  1. 1.Graduate School of ManagementKyoto UniversityKyotoJapan

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