Mergers and acquisitions in indian banking sector mba project. Peter tsvetkov dissertation submitted in partial fulfillment of requirements for the degrees of msc in business administration, at the universidade catolica portuguesa september 2011 1 abstract due to the financial downturn and the emergence of new devices. The goal of a horizontal merger is to create a new, larger organization with more market share. Management buyouts 765 vii thompson 4e 00 fmt 31115 10. Structuring business deal after finalizing the merger and the exit plans, the new entity or the take over company has to take initiatives for marketing and create innovative strategies to enhance business and its credibility. Most existing studies paid little attention if at all to financial intermediation implications of merger and acquisitions, rather focused on the shareholders returns and operational efficiency of. A case study on indian pharmaceutical industry neha duggal research scholar, university school of management, kurukshetra university, india. Evidence from selected companies in india 1 bijoy gupta, 2 dr. Africa antarctica asia europe north america south america versatile business school, egmore, chennai 600 008 3. There is symbolic relationship between business and its environment and among the environmental factors. Case studies in business management, strategy, mergers. Amit singh sisodiya edited 2005 mergers and acquisitions strategies and insights the icfai university press, hyderabad. The key features of international business management. They are effective and efficient tools of the management to achieve greater efficiency and work efficiently by exploring synergies and growth opportunities.
This book is suitable as a text for students of business management and law. Twelfth revised edition 2014 mumbai new delhi nagpur bengaluru hyderabad chennai pune lucknow ahmedabad ernakulam bhubaneswar indore kolkata guwahati. Basic concepts of merger and acquisitions finance essay. Mergers types of merger theories of mergers operating, financial and managerial. Mergers and acquisitions edinburgh business school. An industrial company can also limit the extent to which the acquired company is integrated. Trend of corporate mergers, acquisitions newspaper dawn.
B, going international response strategies for indian sector, wheeler publishing co, new delhi. Aswathappa, international business, tata mc graw hill publications, new delhi. It provides a lucid treatment of the theory and practice of global business in the indian context. Merger, acquisition, and international strategies research. By deploying ratio analysis, kemal 2011 examined the postmerger financial performance of. Lexis nexis india 20 a comprehensive stepbystep approach is a fieldproven guide that gives owners, entrepreneurs, top managers, consultants, auditors and lawyers a quick introduction to approaches and methods for the successful implementation of mergers and acquisitions. International business management unit i versatile business school, egmore, chennai 600 008 2. It would be of immense use to the students and members of professional institutes including icai. Mergers and acquisitions in the banking sector and.
International journal of commerce and management research, toll free. Postmerger a survey of some selected indian companies. The nonprofit mergers workbook, part i will give you concrete assistance with your own merger plans and implementation. International journal of bric business research ijbbr volume 3, number 1, february 2014 4 tax savings that are achieved when a profitable company merges with or takes over a money loser. Although a number of factors influence mergers and acquisitions, the market is the primary force that drives them. Appendix a is a sample letter of intent for a merger, illustrating typical provisions requested by largeco. Imparting systematic knowledge of international business and enhancing managerial. If it is a purchase, the shareholders of the acquired company get highly benefited from the acquisition as the acquiring company pays a hefty amount for the acquisition. But actually are they able to generate that potential synergy or not, is the important issue. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. Impact of mergers and acquisitions business in india. Merger, acquisition, and international strategies in todays business world, distinction and uniqueness in which business is carried out is very fundamental to the success of the business itself. The strategies on merger and acquisition are devised to transform the strategic business plan of the organization to a list of target acquisition prospects.
So international business is bringing forth a common culture which brushes out all national and cultural barriers. Factors leading to growth in international business. It explains the business practices and strategies required to succeed in international markets. The present paper evaluates the effects of merger and acquisitions on the financial performance of the selected banks in india. International business case study qcf microsoft tuesday 5 december 2017, afternoon this is an openbook examination, and you may consult any previously prepared written material or texts during the examination. The impact of mergers and acquisitions on corporate. An investigation into nokia microsoft strategic alliance. The indian telecom giant bharti airtel is in talks for a merger with south african mtn. International business by joshi, rakesh mohan, publisher. Introduction to mergers and acquisitions 5 a horizontal merger horizontal mergers occur when two companies sell similar products to the same markets. This book discusses in a lucid and easytounderstand manner, the theory and practise of international business in the indian context. A case study on indian banking sector neha duggal research scholar, university school of management, kurukshetra university email. This situation was true in the 1990s, and it is still true now.
Such actions are commonly voluntary and involve stock s wap or cash. Deciding to merge is only the first step in a long process. Ebook k aswathappa as pdf download portable document format. Ib mission statement the international baccalaureate aims to develop inquiring, knowledgeable and caring young people who help to create a better and more peaceful world through intercultural understanding and respect. Kuchhal and vivekkuchhal, 4e, vikas publishing house, 20. This has led to the emergence of several theories that attempt to explain the motives or rationales. In a consolidation, both the acquiring firm and the. Merger of hdfc and centurion bank of punjab in 2007. Mergers and acquisitions are used as an effective and efficient strategic corporate restructuring tool in the business scenario worldwide for a long time since 1897. Corporate restructuring provides a complete yet concise treatment of important topics related to mergers, acquisitions, corporate restructuring and takeovers. Financial performance before and after mergers and acquisitions of the selected indian companies chapter1 introduction.
Market segmentation based on geographic segmentation 5. Q1 green comprises the quarter of the journals with the highest values, q2 yellow the second highest values, q3 orange the third highest values and q4 red the lowest values. Every uk company involved must deliver a copy of this order to companies house within seven days. Management practices and performance of mergers and. Aswathappa, 0070700877, 9780070700871, buy best price international business, 4th edition, k. Chapter 15 drafting stock purchase agreements, asset acquisition. Three features are common to this web of relationship between business and its environment.
Jauch, william f glueck, business policy and strategic management, mc graw hill international editions, fifth edition. The new edition continues to discuss basic concepts of international business in a comprehensive manner. If the company resulting from the merger is a uk company, an order is made from the high court or court of sessions approving the completion of the merger. The principal reason for a conglomerate merger is utilization of. R 2008 merger, acquisitions and corporate restructuring response books, business books from sage new delhi. Diversification that can stabilize earnings and boost investor confidence. It provides an indepthcoverage of various aspects of the subject, with the help of numerous reallifeexamples and cases, as well as ample facts and data. Lesson 1 business and its environment nature of business. Foreign exchange need for international business 1. Adhikary, manab, global business management, macmillan, new delhi. Jan bena and kai li are at the sauder school of business, university of british columbia.
International markets have more potential than domestic markets scope of international business 1. Business is the product of the technological, politicallegal, economic, social cultural, global and natural factors amidst which it functions. Merger includes merger by absorption or merger by formation of a new company. This is a research report on mergers and acquisitions in indian banking sector mba project by rajesh sekar in finance category. Mergers and acquisitions in india and its impact on.
The first issue identified above is the study of post merger accounting profits, operating expenses, and efficiency ratios relative to the pre merger performance of the banks. A merger may have separate meaning if a consolidation is the process. The entire phase emphasize on structuring of the business deal. For the same, the changes in the closing prices of the script and compare it with. The future of mergers and acquisitions legal definition of. In this article, emer moriarty crowley from beauchamps, discusses the merging of private irish companies under the companies act 2014 and examines some key features of this innovative process. Bindiya kunal soni authors gives good idea regarding the effect of pre and post merger from 2003 to 20 in cement industry 11 analyzing the long run financial performance of cross border acquisitions of indian acquiring. The first and foremost thing is to determine business plan drivers. The aim of every business is to grow, expand, and improve performance. For the study secondary data is used which has been taken from articles from magazines, newspapers, books and websites. This merger would create waves in the global telecommunication market. A consolidation is the same as the merger except that an entirely new firm is created. A survey of some selected indian companies malayendu saha reader, department of commerce, university of calcutta in this present global competitive environment there is increased pressure on growth through new breakthrough product lines and new business models or on achieving differentiation through higher. Some mergers and acquisitions take place when management of any business recognizes the.
Business planning for mergers and acquisitions corporate, securities, tax, antitrust. Appendix b is a sample time and responsibility schedule for a merger being accomplished pursuant to a form s4 registration statement. Merger and acquisition strategies are the roadmap for the corporate development efforts of an organization. Merger and amalgamation as for indian economy, by explaining a few arrangements of new companies act, 20. Master thesis in business and administration management accounting university.
Former director, canara bank school of management studies bangalore university, bengaluru. Merger and acquisition activity mergers, acquisitions, joint ventures, divestitures is at an alltime high. Available in print and ebook from amazon and barnes and noble. Provided in case, 75% is a fraction, then the same will be rounded off to the next number. So far in the first 6 months of 2009, indian bound mergers and acquisitions abroad have only been rs 20 billion live mint, 2009. In a merger, two organizations join forces to become a new business, usually with a new name. Corporate innovations and mergers and acquisitions bena. However, the dominant view in existing literature is that merger and acquisition are considered and treated as a single business phenomenon. This booklet does not discuss all the investment banking considerations or legal and. In the pre merger phase the process of the sale via a public offering or a sale to a private equity buyer can be the same as for a sale to a company integrating the acquired business. The trend is not restricted to a particular industry and form 1994 to 1999.
The net effect of these two practices, viz of acquiring control over ownership of companies and of acquiring control over managing agencies, was that large number of concerns passed into the hands of prominent industrial houses of the country kothari, 1967. Mergers and acquisitions in indian banking sector a. International business management is all about developing business operations on an international scale. In 1999, companies filed a record 4,700 hartscottrodino filings, about three times the number received in 1995. Mergers inside a corporations structure a case study of the motives behind merging. Mergers definition entrepreneur small business encyclopedia. Dulal chandra pattak assistant manager prime bank limited, bangladesh contract. In todays competitive business environment, successful business management depends on the proper understanding of the complexities and consequences of the merger and acquisition involved in it. Apr 01, 2010 the new edition continues to discuss basic concepts of international business in a comprehensive manner. That the date of establishment of the new demerged firm will be the date of demerger. Black and sundaram, international business environment, prentice hall of india, new delhi. This book is designed to discuss in a lucid and easytounderstand manner, the theory and practice of international business in the indian context.
Strategic issues relating to corporate mergers and. National conference on business innovation conducted by apeejay institute of management, jalandhar144001, punjab, february 27, 2010. International business management i about the tutorial international business is a subject that teaches how to nurture a local business and make it global. It is very important to convert business strategies to set of drivers or a source of motivation to help the merger succeed in all possible ways. Flourished with caselets drawn from contemporary businesses, it will acquaint the students with the fundamentals of global business.
University of gothenburg, school of economics, business and law. A glance at any business newspaper or business news web page will indicate that mergers and acquisitions are big business and are taking place all the time. Impact of merger and acquisitions on financial performance. Semester ii examination, 2010 computer specialization 202c. Search and upload all types of mergers and acquisitions in indian banking sector mba project projects for mbas on. A smart business merger can help you enter a new market, reach more customers, freeze out a competitor or fill a gap in your companys abilities. Institutional laws, and mergers and acquisitions in india. It also preserves the identities of individual entities in the business world. The case of microsoft and nokia luis franco hilario advisor. Read, highlight, and take notes, across web, tablet, and phone. Merger and acquisition is a highly researched phenomenon in strategy and strategic management. The late 1990s saw an unprecedented influx in mergers. Where the undertaking, property and liabilities of one or more companies, including the company in respect of which the compromise or arrangement is proposed, are to be transferred to another existing company, it is a merger by absorption. It is important to know about those mergers and acquisitions that have changed the scenario of corporate world.
Impact of mergers and acquisitions also include some economic impact on the shareholders. Where the oft is notified or becomes aware of a merger, it must decide whether its jurisdiction is triggered under the. Pdf international mergers and acquisitions in the airline. Only answers that are written during the examination in the answer book supplied by the examination centre will be marked. Merger, acquisition, and international strategies course name.
A company uses this type of merger in order to use the resulting ability to use the same sales and distribution channels to reach the customers of both businesses. Iosr journal of business and management iosrjbm eissn. Partner, emer moriarty crowley, recently wrote an article for accountancy plus on mergers under the companies act 2014. The set of journals have been ranked according to their sjr and divided into four equal groups, four quartiles. For readers who are lawyers, bankers, or studying to be one, this book can serve as an introduction to the legal and business terms including corporate and private equity sponsor terminology often encountered in the structuring, negotiation and execution of mergers. Following are some of the most essential strategies of merger and acquisition that can work wonders in the process. Vekaria institute of business management studies junagadh india abstract.
Mergers and acquisitions edinburgh business school ix preface an understanding of mergers and acquisitions as a discipline is increasingly important in modern business. Mergers, acquisitions, operating performance, premerger performance, postmerger performance, aviation industry suggested citation. Merger and acquisition strategies business in india. Here the merger is assumed to improve performance in terms of profitability by reducing costs or by increasing revenues. A conglomerate merger is a merger between two entities in unrelated industries.
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