Abstract:
As we all know that there has been a vast increase in number of mergers and acquisitions in the last decade all around the world. This development of the number of transaction happening, in many studies shows that the majority of the mergers and acquisitions fail’s in their main purpose of creating value for the shareholder. This failure of the reason has lead me to the next research question of: What are the reasons behind the failures of merger and acquisition?
This study will introduce basic concepts to the reader that should be known before understanding and answering the research question, as well as reasons made by other authors in understanding this failure ratio.
To understand this study thoroughly, after the theoretical study we have conducted a comparative research study of three case-studies, some with a successful outcome and some with the failure ones to determine the crucial factors that can explain the reasons behind the success or failure of merger and acquisitions?
This study determines a wide range of aspect when concluding the success or failure. Analysis of case-studies will help us indicate the reasons behind the success or failures which were previously considered by other authors too, how so ever new reasons shall be presented too.