Picking Cherries or Lemons: A unified theory of cross-border mergers and acquisitions
| dc.cclicence | CC-BY-NC | en |
| dc.contributor.author | Luong, Tuan Anh | en |
| dc.date.acceptance | 2017-04-02 | en |
| dc.date.accessioned | 2017-04-04T12:42:38Z | |
| dc.date.available | 2017-04-04T12:42:38Z | |
| dc.date.issued | 2017-06-08 | |
| dc.description | The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link. | en |
| dc.description.abstract | This paper provides a theoretical framework that enhances understanding of empirical evidence suggesting that international mergers and acquisitions, a key source of Foreign Direct Investment, seemingly target in-country firms that are at the extremes of the productivity spectrum – either high-productivity firms, so-called ‘cherries’, or low-productivity firms, the ‘lemons’. The framework demonstrates that foreign firms with intermediate inputs seek high-productivity domestic firms, while foreign firms with managerial expertise seek low-productivity domestic firms. We also show that because of the difference in available outside options, high-productivity domestic firms can demand a significantly higher portion of profits in the partnership than low-productivity domestic firms. | en |
| dc.funder | N/A | en |
| dc.identifier.citation | Luong, T.A. (2017) Picking Cherries or Lemons: A unified theory of cross-border mergers and acquisitions. The World Economy, | en |
| dc.identifier.doi | https://doi.org/10.1111/twec.12500 | |
| dc.identifier.uri | http://hdl.handle.net/2086/14010 | |
| dc.language.iso | en | en |
| dc.peerreviewed | Yes | en |
| dc.projectid | N/A | en |
| dc.publisher | Wiley | en |
| dc.researchinstitute | Institute for Applied Economics and Social Value (IAESV) | en |
| dc.subject | FDI | en |
| dc.subject | Mergers and Acquisitions | en |
| dc.subject | Firm productivity | en |
| dc.title | Picking Cherries or Lemons: A unified theory of cross-border mergers and acquisitions | en |
| dc.type | Article | en |